May 23, 2013

ANNOUNCEMENT

Technical assistance agreement with DAIDO STEEL Co. Ltd.

Following our strategy for export orientation and product portfolio enhancement, SIDENOR SA informs the investor community of the signing of a technical assistance agreement between its 100% subsidiary in Bulgaria, STOMANA INDUSTRY SA and DAIDO STEEL Co. Ltd. Japan.

This agreement relates to technical assistance from DAIDO STEEL for further development of STOMANA INDUSTRY SA' Special Quality Bars (SBQ) existing business, targeting industrial sectors, such as the Automotive Industry, that demand higher quality steel grades and also consulting on the installation of degassing equipment.

DAIDO ranks among the world's largest steel manufacturers of specialty steel. Along with the manufacture of value-added steel, DAIDO provides services and solutions for a wide range of high-end market sectors and customers, including major Japanese auto makers. DAIDO is also active in producing parts for Automobile Equipment, in Electronic and Magnetic materials, in Industrial Equipment manufacturing and in New Materials (powder metals, super alloys and other).

STOMANA INDUSTRY SA, the only Electric Arc Furnace (EAF) steel maker in Bulgaria, with a long experience in steel manufacturing and continuous investments in new equipment and in the development of its production technology, aims at becoming a major SBQ supplier in Central and Eastern Europe and a reliable partner of DAIDO in a strategic geographic area.