Liberty Steel- the fully integrated steel manufacturer and distributor announced plans to invest in EAF blast furnaces even amidst drastic cost-cutting measures announced last week.

In a memo issued to its employees, Sanjeev Gupta, executive chairman, GFG Alliance noted that the proposed investment at its hot-rolled coil line in Newport is still under consideration. In addition, the company also plans to invest in Rotherham steel furnaces. Also, the group intends to implement pilot projects in order to explore hydrogen steelmaking at various manufacturing sites.

Meantime, the company has launched drastic cost-cutting measures, including job cuts, across its various facilities in response to subdued market demand conditions on account of coronavirus pandemic. It had recently launched review of operations at its Whyalla steelmaking plant. Similar initiatives will be launched across the group, wherever required. However, it intends to minimize the impact on its employees as far as possible.

Liberty Steel announced that it will focus on attaining 20-30% efficiency gains by reducing costs and boosting the productivity of existing plants. The primary focus will be on operational improvements and overhead optimization, it added.