The Ministry of Industry and Construction of the Republic of Kazakhstan and JSC ArcelorMittal Temirtau (AMT) have issued a joint statement, QazMonitor reports citing the Ministry of Industry and Construction.
The document states that negotiations regarding the transfer of ownership of ArcelorMittal Temirtau to the government of Kazakhstan have been ongoing for several months, and the government and ArcelorMittal have recently reached a preliminary agreement regarding the future direction of AMT's steel and mining operations, along with its subsidiaries:
“ArcelorMittal Temirtau is one of the most important steel suppliers in domestic and regional markets. For many years, the company has proven itself as a strategic partner for steel consumers across selected markets," the statement notes.
"We wish to assure all stakeholders of AMT, especially its customers, contractors, and suppliers, that:
1. All rights and obligations related to ArcelorMittal Temirtau (which includes the steel plant in Temirtau, Coal Division, Orken, subsidiaries including the pipe plant in Aktau, and its representative offices in the CIS countries) will be complied with.
2. The government of the Republic of Kazakhstan and AMT will ensure complete business continuity concerning the compliance with all rights and obligations of AMT, including supply agreements with customers, receipt of goods and services, contractor services from suppliers, employee commitments, etc.
3. AMT’s business processes including order booking, contracting, dispatches, invoices, and supplier contracting, are operating normally.”
On October 28, 2023, at 2:33 AM, a fire occurred at the Kostenko coal department mine of ArcelorMittal Temirtau at a depth of approximately 700 meters, resulting in the tragic death of 46 miners.
On October 29, President Kassym-Jomart Tokayev instructed the government to terminate investment cooperation with the shareholders of ArcelorMittal Temirtau.
