Arcelor Mittal Signs Agreement to Develop Iron Ore Mining in Senegal
Rotterdam/Luxembourg, February 23, 2007 - Arcelor Mittal, the world's largest and most
global steel company, today announces that it has signed various Agreements with the State of
Senegal in West Africa to develop iron ore mining in the Faleme region of South East Senegal.
The project is expected to entail an investment of approximately $ 2.2 billion. The total
estimated reserves are approximately 750m tonnes, located in 4 locations in the Faleme region
and comprising both haemetite and magnetite deposits.
The project is an integrated mining project and will encompass the development of the mine,
the building of a new port near Dakar and the development of approximately 750 km of rail
infrastructure to link the mine with the port.
The mine is expected to commence production in 2011. The project will be developed in
phases to achieve an annual production capacity of between 15 million 25 million tonnes per
year at peak operations. The Company will also consider selective investments in the
downstream steel facilities.
The agreements will become effective upon fulfillment of certain conditions precedent by the
State of Senegal.
The Company has also pledged its support to the community and the people of Senegal as part
of its commitment to Corporate Social Responsibility in the countries in which it operates
Commenting, Mr.Lakshmi N. Mittal, President and CEO, Arcelor Mittal said:
"We are delighted at having signed the binding agreements with the State of Senegal in Dakar
yesterday and are now looking forward to moving forward with this important project. Once
completed, the Faleme project will prove to be an important and competitive source of iron ore
supplies for our European plants
"This project is an important step in our strategy of creating West Africa as a mining hub for iron
ore supplies to our steel plants around the world. We are confident Senegal will prove to be a
strategic location to extend our existing footprint in the promising West African markets."
About Arcelor Mittal
Arcelor Mittal is the world's number one steel company, with 330,000 employees in more than 60 countries. The
company brings together the world's number one and number two steel companies, Arcelor and Mittal Steel.
Arcelor Mittal is the leader in all major global markets, including automotive, construction, household appliances and
packaging, with leading R&D and technology, as well as sizeable captive supplies of raw materials and outstanding
distribution networks. An industrial presence in 27 European, Asian, African and American countries exposes the
company to all the key steel markets, from emerging to mature, positions it will be looking to develop in the high-growth
Chinese and Indian markets.
Arcelor Mittal key pro forma financials for the first nine months of 2006 show combined revenues of USD 65.4 billions,
with approximate production capacity of 130 million tonnes a year, representing around 10 per cent of world steel
output.
Arcelor Mittal is currently listed under the legal entity Mittal Steel NV on the stock exchanges of New York (MT),
Amsterdam (MT), Paris (MTP), Brussels (MTBL), Luxembourg (MT) and on the Spanish stock exchanges of Barcelona,
Bilbao, Madrid (MTS) and Valencia.
