DOE Cancels $730M Loan For Mich. Steel Project

Law360, New York (January 6, 2012, 6:53 PM EST) -- The U.S. Department of Energy has backed out of a conditional agreement to loan $730 million to Russian steel company OAO Severstal for updates to its Dearborn, Mich., metal finishing facility serving advanced technology vehicle manufacturers, the company said Friday.

The DOE did not provide details about the reason for canceling the loan, but a spokesman said the project had merit and had received investments from private entities.

“Severstral is deeply disappointed by the decision of the U.S. Department of Energy not to close on the...
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