National Building says Ajeej’s smelter capacity expansion cost SAR 16 mln

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National Building and Marketing Co. (NBM) said that the costs to expand the smelter’s capacity of its wholly-owned subsidiary, Ajeej Steel Manufacturing Co., stood at SAR 16 million.

The expansion work commenced on March 3, 2020, which was before completing Ajeej’s acquisition deal on Dec. 31, 2020, NBM said in a bourse filing.

The trial operations will continue for 90 days, the company added, indicating that commercial operations start date will be announced later.

The expansion is expected to have a positive impact on the company starting from Q1 2022 and following the commercial operations.

Earlier this week, NBM said that its wholly-owned subsidiary, Ajeej Steel Manufacturing Co. has commenced trial operations to expand the smelter’s capacity to 100,000 tons annually, according to data compiled by Argaam.