Revived steel plant in Nikšić will have huge overall impact on Montenegro’s economy, PM Lukšić says

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Podgorica, Montenegro (24 July 2012) – Prime Minister Igor Lukšić paid a visit to the steel plant Željezara Nikšić and held a meeting with the management of the company Toscelik, part of the Tosyali Holding, which acquired Željezara Nikšić in May 2012 for EUR 15 million.

The first stage of the investment cycle has witnessed significant results, PM Lukšić told the press following the meeting. The production has resumed as announced, and the first investments concerned with environmental protection are being realised, he underlined. Also the new electric arc furnace, which is expected to decrease energy consumption, has been put into operation, he added.

The Prime Minister said that new investments are expected in other segments of the steel plant, as well.

“All these measures will have the effect of increasing production and employment in the steel plant, and the overall impact on the Montenegrin economy will be immeasurable,” PM Lukšić highlighted.

Bearing in mind the appreciable increase in production in the future, PM Lukšić continued, it is essential to make a development project in the area of energy in order to define, in cooperation with partners from Toscelik, how to valorise energy potentials and enable long-term growth of GDP and income in Montenegro.

All these will have positive effects on industrial production and export, showing that the Montenegrin economy has development perspective and that Tosyali deserves huge support, Prime Minister Lukšić remarked.

“The Montenegrin Government fully and at all levels, both state and local, needs to provide support for the Turkish partner to continue its activities,” PM Lukšić concluded.

President of Tosyali Holding Group Fuat Tosyali voiced satisfaction that they succeeded in putting the steel plant, which is the symbol of the Montenegrin economy, into operation, stressing that their goal is to bring the production to its maximum level.

Steel plant Željezara Nikšić used to play a vital role in the region, Mr Tosyali emphasised, adding that his company will make extensive efforts to bring back Željezara Nikšić to the right place not only in the Montenegrin economy but in the economy of Europe as well.