The Algerian Investment Promotion Agency (AAPI) has granted a land concession to China’s Jingdong Steel for the construction of a major steel production facility in M’Sila province.
The agreement allocates a 36-hectare plot within the Dhraa El-Hadja industrial zone for the development of a steel plant with an annual capacity of 500,000 tons.
The project, valued at USD 500 mln, will be executed in two phases. The first phase involves setting up a steel plate production line with a capacity of 200,000 tons per year. The second phase will see the establishment of a steel pipe manufacturing unit, adding a further 300,000 tons of annual capacity.
According to AAPI, the plant aims to source approximately 80pct of its raw materials locally. Half of the production will be supplied to the domestic market, while the remaining 50pct will be exported.