ArcelorMittal, Algerian firm to invest $110 mln

ALGIERS, June 10 (Reuters) - ArcelorMittal (ISPA.AS) MTP.PA, the world's largest steelmaker, and an Algerian partner are to spend $110 million building a facility to produce iron and zinc, Algeria's official news agency reported.

The facility, to be owned by ArcelorMittal and Algerian mines and iron company SOMIFER, a subsidiary of Ferphos group, will enrich iron and produce zinc. It will also include an iron ore quarry, APS news agency reported late on Tuesday.

The agency, which cited unnamed SOMIFER executives, did not give details about ArcelorMittal's stake in the project.

The plant will be in Algeria's eastern province of Tebessa and will produce between 1,000 and 2,500 tonnes of iron and 400 tonnes of aggregate a day, the agency reported.

It said ArcelorMittal and Ferphos currently produce between 4.5 and 5 million tonnes of raw iron per year from their Ouenza and Boukhadr facilities in Tebessa province. (Reporting by Hamid Ould Ahmed; Editing by Keiron Henderson)