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ArcelorMittal Tubular ProductsJubail Project (“AMTPJ”)2nd Sept 2013

Confidential Information

•Constructing a 600,000 t/yr Seamless Tube Mill in Saudi Arabia to supply the energy tubes market of the Middle East & North Africa from a local source:

– Product: OCTG (Oil Country Tubular Goods) & Line Pipe for Oil and Gas

– Manufacturing Size range from 4 1/2” to 16” – Finishing Size range 2 3/8” to 16” (Green pipe

sourced from inter-company units)– Approximate split: 60/40: OCTG / Line Pipe– Heat treatment capability at 330 kt/yr

•Joint venture with Al-Tanmiah Company for Industrial and Commercial Investment of Riyadh:

Jubail

ArcelorMittal JubailProject overview capability highlights

Man hour worked to Date 21 822 822

Frequency Rate 0.14WEEK No :2

10th to 16th Aug

AMJ IBSF NSH SAS IICS GTS AAF PICO AQY KTZ EBTI

Total to

week

Accident 0 0 0 0 0 0 0 0 0 0 0 0

Incident 0 0 0 0 0 0 0 0 0 0 0 0

Near Miss 1 0 0 0 0 0 0 0 0 0 0 1

W*letter 0 0 7 1 0 0 0 1 0 0 0 9

T** letter 0 0 0 0 0 0 0 0 0 0 0 0

*W : Warning letter ** T: Termination letter

Severity Rate * 0.0003

Safety focus for the week : STORAGE OF FLAMMABLE LIQUIDS SUBSTANCE

Man hour for the week (total) 94748

LTI Free Hour From Last LTI 7 949 849

WEEK No : 2 AMJ IBSF NSH SAS IICS GTS AAF PICO AQY KTZ EBTI

Man hour 23892 407 60005 1370 0 660 0 2808 0 5606 0

Safety Concern: - Housekeeping- Repeated none compliance to AMJ Safety requirements Mitigation:- AMJ Site Management to assist in enforcing safety requirements

AMTPJ – Health & Safety Performance Health and Safety – June 2013

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Project OverviewPlant Layout and Equipment Capacities

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ArcelorMittal JubailBuilt with state-of-the-art technology

Hot mill: PQF® (premium quality finishing) SMS Meer (Germany)

Heat treating: SMS Elotherm (Germany) and Tenova LOI Italiampianti (Italy)

Furnace: Tenova LOI Italiampianti (Italy) Electrical systems: ABB (Switzerland) Cutting: Linsinger (Austria) Straightening & hydrotesting: Bronx

(USA) Non destructive testing: Tuboscope

(USA) Threading: PMC–Colinet (Belgium and

USA)12-stand sizing mill

Priority 1Q1 ‘13

•Health & Safety•People•Product Quality•Supply Chain

Priority 2

Q2/3 ‘13

•Performance Management•Organizational Structure•Marketing & Sales•SystemsPriority

3Q3/4 ‘13

•Government Relations•Professional Maintenance•Autonomous Maintenance•Environment & CSR•Cost Deployment•Projects

(9) Operational Readiness – Our Business Pillars Launch Priority

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Product: Specification and Grades

Seamless OCTG Casing & TubingGrades: H40, J55, K55, M65, L80, C95, N80-1, N80-Q, C90, T95, P110, Q125

High collapse grades also available.End finishes include: P-plain end, S-short round thread, L-long round thread, B-buttress thread, H-Hunting Energy Services premium connection

Seamless Line PipeGrades: API5L B, X42, X46, X52, X56, X60, X65, X70 EN 10208-2 L245NB, L290NB, L360NB, L360QB, L415QB, L450QB ASTM A53* A, B A106* A, B, C ASTM A333* 1, 3, 6 * Standard pipe; high and low temperature services

• Around 1,300 full time researchers • Annual R&D expenditure of $300 million• Number one R&D in the industry• Working on all development axes

– Research into products & steel solutions

– Process research– Technical assistance to the plants

• Worldwide network of 11 research centres, further supported by a network of scientific and academic partners worldwide

• R&D spending focused on 7 areas: – Automotive, Packaging, Construction,

Energy, General Industry, Long products and Special Plates

R&D Key challenges in accordance with the Group strategy

• Product: Differentiated product offer• Geography: Support the transfer of technology

between plants• Value chain: Transverse projects optimising the

product value along the complete value chain

from mining to finished products

Research & development enables to realize our ambitions in technological innovation and sustainability

… strongly supporting specialtiesArcelorMittal R&D…

ArcelorMittal – Global R&D

• Fully equipped chemical characterisation laboratory

• Extensive electron microscope facilities

• Complete coating laboratory including novel curing techniques and corrosion laboratory

• All major welding and cutting techniques available ((hybrid) laser, SAW, MIG/MAG/TIG)

• Forming and rapid prototyping capabilities

• Complete facilities for electromagnetic characterisation

• Large experience in Finite Element Modeling

• Wide range of casting possibilities

• 5 rolling stand of which 2 continuous

• Multi-purpose dynamic annealing line with transverse flux inductor

• Complete mechanical testing facilities

• Advanced characterisation equipment like dilatometry, torsion and easy access to high speed-compression

• Complete sampling preparation facilities including waterjet cutting

• Unique reactive continuous annealing simulator

• Fully equipped hydrogen lab

Unique facilities in processing, characterization and testing of metal alloys

Unique facilities in processing and characterization of metal alloys

Completely integrated metallurgical processing center

R&D Centre – Gent, Belgium

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APPENDIX – A Picture paints a thousand words

AM Jubail – OverviewBuilding

AM Jubail – OverviewBillet Preparation Area

• Construction completed• Equipment Commissioning ongoing• First billet cut on 9 May 2013

AM Jubail – OverviewRotary Heart Furnace

• 200t/hr Capacity• 48m diameter – 5.5m max billet

length• Construction completed• Under Commissioning

AM Jubail – OverviewCone Type Piercer

• Construction walkthrough• Under Commissioning

AM Jubail – OverviewPQF – Premium Quality Finishing Mill

• Construction walkthrough• Under Pre-Commissioning

AM Jubail – OverviewInduction Furnace

• Construction completed - walkthrough

AM Jubail – Overview12 Stand Sizing Mill

• Under Construction

AM Jubail – OverviewCooling Bed

• Construction completed• Under Commissioning

AM Jubail – OverviewHydraulic Systems

• Construction completed• Under Pre-Commissioning

AM Jubail – OverviewLayer Saw Line

• Most Construction completed• Under Pre-Commissioning

AM Jubail – OverviewStraightening

• Most Construction completed• Under Pre-Commissioning

AM Jubail – OverviewInspection and Prove-up Area

• Most Construction completed• Under Pre-Commissioning

AM Jubail – OverviewHeat Treatment 1 - Induction Furnace

• Construction ongoing• Under Pre-Commissioning

Quench

Induction

AM Jubail – OverviewHeat Treatment 2 – Gas fired Furnace

• Construction ongoing• Under Pre-Commissioning

Hardening Furnace

Tempering Furnace

AM Jubail – OverviewOCTG Line

• Construction completed• Under Pre-Commissioning

Threading Machine

MPI End Inspection

CouplingTorque

AM Jubail – OverviewHydrostatic Machine

• Construction completed• Under Pre-Commissioning

AM Jubail – OverviewCoating System

• Construction completed• Under Pre-Commissioning

Coating System

AM Jubail – OverviewBundling for OCTG 2

• Areas still under Construction• Under Pre-Commissioning

Bundling System

AM Jubail – OverviewFinal Material Storage

• Area ready

AM Jubail – OverviewLPG / SNG Storage

• LPG Storage ready• Access road completed• Awaiting final approval before gas

delivery

AM Jubail – OverviewWater Treatment Stock

• Construction completed• Under Commissioning

Sea Water Cooling TowerWater Treatment Filter

AM Jubail – Overview115kV Substation

• Completed