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ARCELORMITTAL SOUTH AFRICA LIMITED - ACL - Business Update: Restart of Blast Furnace C at Vanderbijlpark Works

Release Date: 29/09/2020 10:08
Code(s): ACL     PDF:  
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ACL - Business Update: Restart of Blast Furnace C at Vanderbijlpark Works

ArcelorMittal South Africa Limited
(Incorporated in the Republic of South Africa)
(Registration Number 1989/002164/06)
Share Code: ACL ISIN: ZAE000134961
(“ArcelorMittal South Africa” or the “Company”)

BUSINESS UPDATE: RESTART OF BLAST FURNACE C AT VANDERBIJLPARK WORKS

On the 16 July 2020 shareholders were informed that, having reassessed it strategic asset footprint for 2020, the
Company had decided to idle Blast Furnace C (“BF C”) at Vanderbijlpark and the Vereeniging Electric Arc Furnace
until demand recovered.

In terms of the recent assessment of the market, an increase in demand is evident resulting from construction
projects in process of being completed, retail outlets responding to higher demand and destocking (running at lower
stock levels) in the steel value chain prior to lockdown.

Responding to the increased demand, the Company has taken the decision to restart the second Blast Furnace at
its Vanderbijlpark site in January 2021. This will add around 600 000 tons of additional annual flat steel production
volumes. The additional volumes are the minimum that can be added through the restart of BF C and given the
current demand expectations for 2021, exports will be required for certain of the additional volumes. This restart
will no doubt provide the necessary support to the local industry.

The impact of the lockdown, while necessary, has had a significant impact on the South African economy. This
must also be seen in the context of already flagging growth prior to the lockdown. Now more than ever we need to
take decisive steps to protect the national economy and ensure that South Africa can be put on a sustainable path
of growth and development.

Vanderbijlpark
29 September 2020

For further information please contact:
Tami Didiza: Manager: Corporate Communications
Tel: (016) 889 2549

Company Secretary: FluidRock Co Sec (Pty) Ltd

Sponsor to ArcelorMittal South Africa Limited
Absa Bank Limited (acting through its Corporate and Investment Banking division)

Date: 29-09-2020 10:08:00
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