MultiServ Inks More Contracts

The MultiServ division of Harsco announced that its mill services division has been awarded its first contract in Peru, as well as the expansion of two other contracts for additional services in Europe. The company reported that the new business should increase revenue to close to $25 million over the duration.

The contract, the first for MultiServ in Peru, will involved the start of a new metal recovery operation at SiderPeru, the country’s largest steel producer. The mill produces steel slabs, hot and cold rolled flats, billets, rebar and grinding bars for the local construction and industrial markets as well as the local and export mining markets.

Over the years, the mill has accumulated a substantial on-site stockpile of recoverable material, which MultiServ will now process for its reusable metallic content, providing the mill with a significant cost savings from the rapidly rising prices of commercially purchased scrap.

The anticipated four-year operation is already leading to additional discussions relating to the mill's requirements for on-site scrap management and slag handling services. ``We are excited by the enthusiastic interest and professional approach we have found at SiderPeru and look forward to establishing a successful, long-term service relationship with them and other potential customers in Peru,'' said Percy Oliver, MultiServ's Vice President for Latin America.

In Central Europe, MultiServ has been awarded two contracts for additional services at U. S. Steel Serbia as that mill continues to increase production towards a targeted capacity of 2.4 million tons per year. The contracts come in addition to the previously announced 10-year main services contract awarded to MultiServ last year, soon after U. S. Steel's acquisition of the Serbian operations.

Under these latest awards, MultiServ will increase its role to include additional scrap processing, blast furnace pit digging, and melt shop services, also for a 10-year period, while over the next three years MultiServ will process an existing, on-site stockpile of desulphurization slag for its re-usable metallic content, utilized by the mill in the production of new steel.

In addition, MultiServ has been awarded a 10-year renewed contract of its ongoing mill services to U. S. Steel Kosice, Slovakia's largest steelmaking operation and the second largest in Central Europe, where MultiServ provides a range of on-site material handling, slag processing, and metal recovery services.