HISTORY OF GIIC

In 1970s the Arab countries became increasingly aware of their industrial potential, particularly for development and expansion of iron and steel, for their own consumption and, at later stage for export. Existing and planned indigenous steel industry could not cope with the demand, and this material became synonymous with economic progress as it was used in all fields of modern industrial activities. It was in this context that the Arab Iron and Steel Company (AISCO) was planned to be set up in Bahrain- with a view of narrowing the gap between ever-increasing steel demand and the local supply.

1980 The Government of Bahrain authorized the setting up of the Arab Iron and Steel Company on 26th October as an Exempt Joint Stock Company registered in Bahrain. The Arab Iron & Steel Company (E.C.) (AISCO) was a joint investment venture of Arab Organizations and the Public Sectors in Bahrain, Kuwait, Saudi Arabia and U.A.E.

1981 AISCO signed the Contract with Kobe Steel of Japan on 2nd November for constructing the Iron Ore Pelletizing plant. Kobe Steel provided engineering, supply of equipments and construction services. Al Jazira Construction & Investment Company was responsible for civil work and construction of all facilities.

1983

It took only 27 months to complete the mechanical construction of the Pelletizing Complex, including 4 months of testing and commissioning. 1984 The Fitting of the Rotary Kiln and Balling Discs was completed in June Completion of the Fitting of the Travelling Grate and the Rotary Kiln was in August. The Arrival of First Iron Ore Carrier was in September. Iron Ore reclamation for pellets production began in November and the plant started production

1988 Kuwait Petroleum Company (KPC) acquired the Arab Iron & Steel Company (AISCO) and renamed it as Gulf Industrial Investment Company (GIIC). KPC gave strong material, moral and technical support. GIIC through its own financial resources had been able to self-finance all expansion projects and implementation of operational plans.

1989- 1996 Under the new management, pellets production rose significantly from 0.9 million tons in 1989 to more than 3.0 million tons in 1996. At the same time, GIIC was continuously increasing its market share in the region with exports to Saudi Arabia, Qatar, Iran, and the Gulf Region and outside the Gulf to India, China and Malaysia

1996

In response to environmental requirements, GIIC signed a contract with M/s FLS Miljo of Denmark for designing and installing an Electrostatic Precipitator to reduce the dust emission from GIICs main stack.

1998 The lighterage operation commenced on 18th of June

2000 On the 15th October the Bahraini based Gulf Industrial Investment Co. (GIIC) was purchased by Brazils Companhia Vale do Rio Doce (CVRD) in conjunction with Gulf Investment Corporation (GIC) in a deal worth US $183 million. The deal signaled a return of Bahraini involvement in one of their key industries and a further demonstration of the progress of privatization in Bahrain. CVRD held 50 % of equity with the other half held by GIC. For CVRD this was a logical extension of the conglomerates activities into the Gulf area. For GIC, which is the Arab worlds 8th largest bank and equally owned by the GCC governments, the deal fell squarely into its mandate of attracting and encouraging foreign investments.

2003 On the 20th November the port facility expansion was completed by Bulktransfer, a Norwegian shipping company, in cooperation with GIIC. Bulktransfer, which had pledged to improve its opertions in the Gulf region, had constructed two dolphins, allowing vessels with a capacity up to 65,000 tons commonly known as Panamax, to berth and unload iron ore at these dolphins

2004 Det Norske Veritas assessed the Integrated Management System of Gulf Industrial Investment Co. (GIIC) and successfully certified it to be compliant with ISO 9001:2000 and 14001:1996 standards On the 26th of June the GIIC Port was certified as compliant with the International Code for the Security of Ships and Port Facilities (ISPS) and effective from 1st July, all ships intending to use any port facility in Bahrain had to comply with the code.

2006 On the 27th of May Gulf Investment Corporation acquired the 50% shares of GIIC from Brazils Companhia Vale Rio Doce, its joint venture partner. The acquisition was a part of GICs plans to expand its operations and presence in the regions steel industry sector. In December GIC disinvested 50% of shares acquired from CVRD and accordingly the new shareholders are as follows: Gulf Investment Corporation (GIC) - 50% Qatar Steel Company (QSC) - 25% Mohamed Abdulmohsin Al-Kharafi & Sons Co.WLL - 10% National Industries Group (NIG) - 10% Kuwait Foundry Company - 5%.

2007 On the 16th of January GIIC awarded the contract for Engineering, Procurement and Construction of a second Palletizing plant to Kobe

Steel Ltd of Japan. The new plant will have an annual capacity of 6.0 million tons. Construction work is expected to start by June 2007 and commercial production expected to start by July 2009.