ArcelorMittal denies plant bankruptcy

The company8217;s managing director Vincent Le Goic said yesterday that ArcelorMittal,which holds the controlling stake in El Hadjar steelworks in the eastern region of Annaba,had filed insolvency papers with a court there.

Yesterday,Algerian Prime Minister Ahmed Ouyahia said the government would not allow the steelworks,which is 70-per cent owned by ArcelorMittal,to be closed.

He said the multinational,which employs nearly 7,000 in Algeria,had threatened to declare bankruptcy because of a funding crisis.

ArcelorMittal had asked for 14 billion dinars USD 180 million from a state-owned bank and had been granted 64 million US dollars but required guarantees before lending any more,he added.

Algeria8217;s state-owned Sider controls the remaining 30 per cent in the El Hadjar complex.