JSW Steel Italy SrL, a subsidiary of JSW Steel today signed a Commercial Agreement with Metinvest Adria S.p.A. The Commercial Agreement is in line with the MoU dated 01 March 2024 signed between JSW Steel Italy SrL and The Ministry of Industries and Made in Italy(MIMIT) wherein the mechanism for the transfer of rights relating to the northern area of the property was defined.
As per the Agreement, Metinvest is obliged to pay a release fee of Euro 30 Mn. to JSW Steel Italy Piombino SpA. as all inclusive consideration for the transaction.
The performance and transfer of rights to Metinvest are subject to Metinvest complying with certain procedures with the Government and Institutions within a specific timeframe. Above commercial agreement is furtherance of the MoU and will lead towards realisation and execution of the Accordo Di Programma(AdP or The Program Agreement).
As per the MoU, JSW and MIMIT have identified various areas of cooperation between JSW and the Government Institutions for the implementation of the Rail Mill Modernisation Project which includes Revamping of the Rolling Mills, Setting up Hardening Facility and Increasing the length of the Rails being produced to upto 120 meters.
The cooperations with MIMIT and Government Institutions are aimed at revival of Industrial Site of Piombino as Steel Hub. |