CAIRO: Orascom Construction Industries said on Monday its new steel fabrication plant in Algeria with capacity of 12,000 tons annually would start production this month.
The new plant, which cost $18 million, will raise OCI s overall annual steel fabrication capacity to 67,000 tons, the company said.
OCI said in a statement the new plant would provide structured steel products, pressure vessels, industrial tanks and plate work primarily for clients including some in the oil and gas sector.
Significantly higher spending on infrastructure and industrial projects in the Middle East and North Africa are key drivers of growth for the construction sector during the next several years, resulting in inevitably strong demand for steel fabrication services, OCI Algeria General Manager Khaled El-Degwy said in the statement.
We are also witnessing a surge in European-based demand for our fabrication services in North Africa from clients and projects which aim to capitalize on short travel distances and competitive cost structures, he added.
