Leading the world in sustainable steel

LEADING THE WORLD IN SUSTAINABLE STEEL PRODUCTION

Arcelor Mittal is the global leader in integrated mining and steel production. Philip Yorke looks at how this huge concern is pioneering high-tech solutions both in steel production and sustainability and at its continuing programme of investment in new plant and renewal.

Arcelor Mittal is the world’s leading steel and mining company and is the successor to Mittal Steel, which was originally founded by Mr Lakshki N. Mittal in 1976. The new company was created by the merger between Arcelor and Mittal Steel in 2006. Today, with more than 100 million tonnes annual production capacity and over 260,000 employees spread across 60 countries, Arcelor Mittal is the clear market leader. The company is also the leader in all major global steel markets, including automotive, construction, household appliances and packaging. Furthermore, Arcelor Mittal manages its own leading research and development operations and its sizeable, captive supplies of raw materials and extensive distribution networks worldwide.

Currently Arcelor Mittal employs more than 1400 full-time researchers at 11 laboratories worldwide and in 2010 invested more than USD320 million in research and development. Arcelor Mittal is listed on the NY stock exchange as well as on other leading stock exchanges throughout Europe, and in 2011 posted revenues of more than USD94 billion. With an industrial presence in more than 20 countries, spanning four continents, the company covers all the key steel markets, from emerging to mature. Developing sustainable mining and steel production

Through its core values of sustainability, quality and leadership, Arcelor Mittal commits to operating in a responsible way with respect to health, safety and the well-being of its employees as well as to contractors and the communities in which it operates. The company is also committed to the sustainable management of the environment.

As a testament to this commitment, the company’s recent commencement of iron ore production in Liberia meant developing a sustainable mining operation there. This involved finding solutions to a number of key

challenges. To date, Arcelor Mittal has invested more than USD800 million in repairing roads and infrastructure, whilst also supporting the need for education and healthcare among the local population. In addition, the company supported the reconstruction of a 240km railway, port and hospital, as well as new school facilities. These developments will not only serve and enhance the local communities, but will enable the iron ore to be mined efficiently and in a more environmentally friendly manner. Within the first twelve months Arcelor Mittal expects to ship over four million tonnes of iron ore from Liberia.

At the official opening ceremony held in Monrovia, Lakshmi N. Mittal said, “It gives me great pleasure to announce the formal launch of our mining operations in Liberia. Quite apart from the significant impact this will have on the local economy, I’m also proud that our approach to this exciting new market represents best-practice in terms of responsible business.”

In further support of its commitment to environmental protection, Arcelor Mittal Poland recently invested more than PLN 140 million in the construction of two new production facilities at its plant in Dabrowa Gornicza, Poland. This investment involved the installation of a new PCI (pulverised coal injection) blast furnace and the complete modernisation of its number 2 sinter belt. The latter will result in a significant increase in the production of sinter, which is the charge material for its blast furnaces. In addition, two brand new electrofilters with a capacity of 900,000m3/h in total, will contribute to a major reduction in dust emissions at the site.

Manfred Van Vierberghe, CEO and deputy BOD chairman of ArcelorMittal Poland, said, “We are proud of the fact that we are able to continue our investments despite challeng-

ing market conditions. Both PCI installation and modernised sinter belt are excellent investments, not only from a business point of view, but also because they improve our environmental footprint.”

Optimising service and value

Arcelor Mittal has grown steadily through the acquisition of numerous steel-making companies and other assets. These in turn constitute its major operating subsidiaries. The group is divided into six major operating segments: Flat Carbon Americas, Flat Carbon Europe, Long Carbon Americas and Europe, AACIS (Asia, Africa, & Commonwealth of independent states), as well as Mining and Distribution Solutions. All the company’s operating subsidiaries belong to one of these clearly defined business segments.

Arcelor Mittal’s commitment to a programme of continuous improvement in terms of service, innovation and sustainability is supported by its significant global presence and its ability to use its size and reach to optimise customer services across the company. At the same time, Arcelor Mittal customers can benefit from the economies of scale, only possible with such a large organisation. The company has also expressed a commitment to ensure that different parts of the business are empowered to make decisions, thus guaranteeing accountability at the right level within the company. Arcelor Mittal’s shared services include those of purchasing, energy, shipping, IT, legal, real estate and by-product sales. The company’s shared service teams work diligently to make sure that best practice is followed throughout the group, whilst also sharing the best local practices with the entire organisation. n

For further information about Arcelor Mittal, its products and services, visit: www.arcelormittal.com