Funding will be used to finance new steel melt shop to produce 1.1m tonnes of steel a year
Qatar Steel, a wholly-owned subsidiary of Industries Qatar, has secured a $250m subordinated loan facility from two banks to finance expansion, it said on Sunday.
International Bank of Qatar (IBQ) is acting as facility agent and will provide $150m of the total while Abu Dhabi-based Union National Bank will fund the remainder.
The statement did not provide details of the pricing or other terms of the medium-term loan facility.
The funding will be used to finance a new steel melt shop, which will produce 1.1 million tonnes of steel a year and is expected to launch in the first quarter of 2013, targeting local and regional markets, Qatar Steel said in a statement said.
Qatar, the world's largest exporter of liquefied natural gas, has been investing in industries other than gas. It launched a $5.7bn aluminium plant in December 2009 which was inaugurated last year.