The Swiss firm “8B Capital SA,” which has leased the Forge and Steel Plant of “EPCG – Željezara” in Nikšić, officially established its subsidiary “20B Capital Montenegro” on January 8 of this year.

As per the registration data, the company’s activity code is designated for “production of pig iron, steel, and ferroalloys,” with Igor Šamis appointed as the executive director.

The Swiss company has secured a 50-year lease for the facilities of the Nikšić factory from the state-owned Electric Power Company (EPCG), with the lease commencing on October 1 of last year; the lease agreement was finalized two days prior.

Under the terms of the contract, the lessee is required to initiate production within one year of the lease commencement, employ 150 workers within six months (25 per month), and remit a monthly rental fee to EPCG totaling 31,000 euros.

“The intention is to commence ingot production in July, focusing on maximizing the output of ingots made from special steel types alongside packaging. Sales will be conducted through Austrian traders and directly, with additional companies being established for the collection of transport materials,” a source close to “EPCG – Željezari” informed “Vijesti.”

Furthermore, the company “Danieli” has made a proposal to purchase a mill for producing fittings, with plans to manufacture fittings in quantities ranging from 150,000 to 250,000 tons.

The source from “Vijesti” also noted that a team of experts hailing from the Czech Republic, Poland, and Ukraine, each possessing 25 to 30 years of experience in the metallurgical industry, has been assembled to initiate production.

Šamis previously reported that the available equipment at the Steelworks is capable of generating over 300 tons of steel. He highlighted that producing approximately 100 tons of raw steel is essential to create around five thousand various alloy steel profiles in the Forge, with the remaining capacity of up to 300 tons allocated for high-quality concrete reinforcement production.

Additionally, Šamis stated that hot-rolled strips are also planned to be produced in Kovačnica, along with a range of other products demanded by the market.

Former Minister of Energy Saša Mujović remarked during a working breakfast with journalists in December that the lessee of the “Steelworks” and “Kovačenice” facilities, Swiss-based “8B Capital,” is fulfilling all obligations outlined in the lease agreement.

“It may seem odd, but we will face a challenge when the investor hires contract workers, as we will have a shortage of personnel for the tasks they are currently managing, particularly in the welding sector,” noted the minister.

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