European Investment Bank: No loans for ArcelorMittal

ZAGREB, Croatia -- "We have recently discovered that the EIB is considering a loan for steel company ArcelorMittal and that this will be discussed by the Board of Directors this Wednesday, 21st October. ArcelorMittal has an extremely poor environmental, social and transparency record in many countries, including during projects financed by international financial institutions. As the world’s largest steel company we also believe that ArcelorMittal could access financing from other sources, and that there is no added value in providing a low-interest public loan to the company. We therefore urge the EIB not to approve any loan to ArcelorMittal in the foreseeable future,"

-- Pippa Gallop, CEE Bankwatch Network, Global Action on ArcelorMittal.

• Letter to the European Investment Bank from Global Action
• Letter to the European Commission from Global Action
• Response from the European Investment Bank

Mittal dismisses pollution claims in South Africa

VANDERBIJLPARK, South Africa -- "Strike Matsepe used his life savings to buy a small plot of land near the country's biggest steel mill, hoping it would become a thriving farm in his old age. Now, weathered and sick, the 80 year old has had to abandon his dream -- the land and ground water are so polluted his cattle have died and crops failed. On Friday, ArcelorMittal SA, the world's largest steel marker, dismissed allegations of severe environmental damage and unethical business practices at the mill. In 2002, the company took over the 67-year-old plant that residents and environmental groups say has polluted their live,"

-- Celean Jacobson, Associated Press.

Read the whole story

Mittal set to quit $20bn Indian steel project

LONDON, UK -- "Lakshmi Mittal is close to pulling out of a $20bn plan to build two large steel plants in India – the centrepiece of efforts by one of the world’s most prominent industrialists to expand in the country of his birth. Delays in persuading farmers and others to sell the land he needs for the developments in the states of Jharkand and Orissa are 'unacceptable,' the chairman and main owner of the ArcelorMittal steel company told the FT. 'If we cannot make progress in these two sites we will have to abandon the idea of starting the projects there and look for other places in India for our expansion,' Mr Mittal said,"

-- Peter Marsh, Financial Times.