ArcelorMittal South Africa Ltd. will pay a fine of 3.6 million South African rand for breaching its atmospheric emissions license at its Vanderbijlpark steel operation in 2016.

The company will pay the fine to South Africa's Department of Environmental Affairs. The fine is part of a plea agreement between the ArcelorMittal unit and the prosecution, which flagged three violations by the company.

The company on June 10 acknowledged that it exceeded allowed hydrogen sulfide levels at the site's coke plant. It said steps were taken to address the issue but they were not enough to resolve the problem.

ArcelorMittal South Africa said authorities have recognized its "significant investment" for a sustainable solution but did not provide details.

In November 2019, ArcelorMittal South Africa started winding down its loss-making operations. In April, the unit declared force majeure amid a nationwide coronavirus lockdown.

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