Polish PGNIG Signs Steelworks Supply Deal
Poland's dominant gas supplier PGNiG has signed a three-year gas supply contract with steelmaker ArcelorMittal starting from January 1 this year. The company values the contract, if extended to 2023, at zloty 1.4bn ($345mn), for an aggregate 1.6bn m³.
The price is linked to power prices, PGNiG said February 8, citing it as proof that the company is able to tailor its conditions to the needs of its customers.
"We are actively working on developing the best individual solutions for each of them," said PGNiG's trade manager Maciej Wozniak. "We are glad that we will be able to sell gas to such a significant and demanding recipient from the industry sector which ArcelorMittal is. We expect further extension of our co-operation," he added.
Gert Verbeeck, the Polish boss of Luxembourg-based ArcelorMittal, said the contract "provides us with competitive conditions for gas purchases for the next years." ArcelorMittal's CEO is the UK-based Indian magnate Lakshmi Mittal who is also the steel giant's largest shareholder.
William Powell