Voestalpine intends to buy its most expensive land in Romania

The group plans to pay the owners of land in the southern Romanian Constanta-Agigea area not to increase prices. “We will offer 5 percent of the total price to the land owners. If the investment is not be made in Romania, the owners can keep the money. We are talking about 100 owners of 700 hectares,” said Schiefer. 

Schiefer added that prices are lower in other countries because land is acquired directly from the state or offered through concessions after expropriations. The decision regarding an investment in Romania could be made by the end of 2008, based on a feasibility study and availability of land, shows a company release. 

According to Monica Barbuletiu, Vice President of the National Agency for Foreign Investments (ARIS), the feasibility study was finalized in early June, and negotiations between Voestalpine and the Romanian state have lasted some nine months.
Voestalpine is already present in Romania through British Emsteel branch, which owns a factory in Satu Mare in northern Romania, which produces 50 million steel tubes for the auto industry.