Otavi Steel Receives the Support of the Namibian Government

 

Otavi Steel is in line with the Fourth National Development Plan of Namibia, whereby manufacturing have been identified as one of the key strategic areas to bring about economic growth and employment opportunities in Namibia.

OTAVI, Namibia, September, 2012 –(PR.com)– The Government of Namibia through the National Planning Commission under the Office of the President has given an endorsement support for the development of Otavi Steel in Otavi, Namibia.

National Planning Commission states that the development of Otavi Steel is in line with the Fourth National Development Plan, whereby manufacturing have been identified as one of the key strategic areas to bring about economic growth and employment opportunities in Namibia.

On March 7, 2012, Otavi Steel signed a Commercial Agreement with the Italy-based company, Danieli, one of the world’s largest providers of steel making technology and equipment, for the development and construction of the Otavi Steel Nanomill in Otavi, Namibia. The Company plans to expand its steel mill facility to an annual gross production capacity of 10.3 million net tons of steel, making it the largest integrated steel manufacturer in Africa.

Budgeted at US$3 billion (N$25+ billion) for the development and construction, the Otavi Steel Mill expects to create more than 25,000 of direct manufacturing jobs in Otavi with more than 150,000 of sustainable indirect jobs throughout Namibia. It is being financed privately, through a combination of debt and equity through a network of connected financial institutions including pre-selected commercial banks in Southern Africa and Europe.

Otavi Steel will have an exponential positive impact on the overall Namibian economy as it will affect nearly every sector; from energy, water, roads, railway, shipping, mining, human capital, medical clinics, agriculture, education, and more. It is an economic ecosystem by itself as more developers and investors are expected to flock to the Otavi area to setup new businesses to offer products and services for the Otavi Steel Mill workers.

Otavi Steel is a joint-venture between Groot Group, SDS Group, Otavi Town Council, and Andre Neethling Family Trust. The construction of Otavi Steel Nanomill is planned to start in May 2013 and be commissioned 22 months later.

About Otavi Steel (Pty) Ltd
Otavi Steel (Pty) Ltd is a premier company plans to focus on the manufacturing of a wide range of short and long steel products as well as value-added steel sheet and tubular products for the automotive, appliance, container, industrial machinery, construction, and oil and gas industries around the world.

Contact
Simon Kapenda, Project Director
Otavi Steel (Pty) Ltd
Otavi, Namibia
Mobile: +264-81-250-9027
Email: simon@grootgroup.com

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