New steel factory in Abu Dhabi

The Abu Dhabi National Company for Industrial Projects has signed an agreement with the German Machine-Fabric Ernest to establish a steel factory.

The United Arab Emirates' Gulf News daily said on Wednesday that the UAE company will own the majority of shares in the said joint venture project, which is expected to cost 170 million dirhams (US $46.3 million), while the German partner will own 27.5% of the project's shares and will be responsible for the factory's administration and product marketing, locally and internationally.

The paper added that as a start, the factory will produce some 80,000 tonnes of iron and steel.