May 2004 Financial News

T&T, V'zuela look to steel industry

May 04, 2004

By Curtis Rampersad
Trinidad Express
PORT SPAIN
Petroleumworld.com 05 02 04


EVEN AS the two countries continue to strengthen ties in oil and gas, Venezuela and Trinidad and Tobago are now closer to forging new bonds in the steel industry.

Government representatives met last week with one of Venezuela's major steel producers to examine the possibility of cooperating on new shared steel ventures.

Energy Minister Eric Williams confirmed that Venezuela was interested in developing an initiative in which local and overseas steel-makers could do business together.

Speaking with the Express on Monday, he explained that one possible project would require an investment in the steel industry here and capital injection by the Venezuelans at their steel company.

Trinidad's industry produces steel rods and billets while Venezuela manufactures steel sheets.

But these sheets are not marine-grade, Williams said, while Trinidad does not have the facility to press and roll these sheets for commercial use.

Sidor is Venezuela's largest steel-producing company. It was privatised in 1997 and the Venezuelan Government increased its share of the operation to 40 per cent in 2003 in a debt-restructuring deal.

However, "with a little investment on their side (to make marine-grade steel sheets) and a little involvement on our side (to be able to press those sheets), it could happen", Williams said.

Any project like this would of course be a several years down the road.

But both countries are talking and are excited about the synergies of such a project, he added.



Trinidad Express
Thursday, April 29th 2004