Alkanavex joint venture takes Alkagesta into steel trading

The Alkanavex joint venture has been established in Malta by commodity trading house Alkagesta and France-headquartered steel trader Navex SAS. The new business represents Alkagesta’s formal entry into metals trading and will initially concentrate on steel for construction and industrial supply chains. Alkagesta, whose established activities include petroleum products, fertilisers and biofuels, will hold a majority interest in the venture.

The partners have spent the past two years bringing their commercial approaches, operating procedures and governance arrangements into alignment. Their agreement to create the company has been completed, while legal formalisation and the integration of operations remain in progress. The venture will draw on Alkagesta’s international trading presence, logistics capabilities, risk controls and governance systems alongside Navex’s specialist steel-market experience.

China sourcing and African customer base

Navex primarily procures steel from China and has established customer relationships in West and East Africa. The company was founded by industry veterans, each with more than 25 years of experience. Its chief executive, Jean-Pierre Artigala, has worked in the steel sector for more than five decades, including senior positions at Usinor/Sacilor, now part of ArcelorMittal, as well as Fercometal and Descours & Cabaud.

Artigala’s experience covers steel production, international procurement and export trading in the US, Europe, Brazil, Africa, China and the Middle East. Navex said the partnership would give it access to Alkagesta’s financial resources, governance arrangements and global footprint while retaining its existing operating model. It also intends to expand its African presence and examine additional sourcing opportunities and product routes with its partner.

Alkagesta broadens commodity portfolio

Alkagesta board member Pierre Gay said the companies shared the objective of developing a competitive and well-governed steel trading operation. Alkagesta chief executive Orkhan Rustamov described steel and wider metals trading as a logical extension of the group’s business, supported by controlled risk management and an appropriate commercial structure. The move broadens a portfolio previously centred on petroleum products, fertilisers and biofuels, with selective spot activity in other commodities.

Founded in Malta in 2018, Alkagesta has 17 offices and representations worldwide and employs more than 150 people. The privately held company trades across 42 countries and works with 28 international banks. It facilitates annual commodity movements exceeding 7mn tonnes and has access to more than 700,000 cubic metres of storage capacity in Europe and Asia. Its services span procurement, storage and delivery, supported by compliance, risk-management and corporate-governance systems.