The enduring global financial crisis might foil Voestalpine's plans to build a five billion euro plant in the Black Sea region, the Austrian specialty steelmaker said in a statement. A final decision on back-out or not though, will be taken on review of an updated feasibility study.

The warning came despite the company's excellent fundamentals in 2007 and the first quarter of 2008 and lavish stimuli of governments fighting to harbour the large-scale investment.

Nonetheless, on announcement of the company's latest financial report, the Voestalpine chief executive Wolfgang Eder hinted of a return to "business as usual" or sticking to traditional markets.

"Everyone closely tracking international business headlines in recent months must have remained under the impression that the world has been on the brink of economic collapse," Eder was quoted in a corporate statement as saying. "The bulk of global players, in a number of regions, have been considering a return to business as usual."

The steelmaker ended the fiscal year ending March 31 2008 with net profit less acquisition costs of one billion euro, up 31 per cent on the year, on revenues of seven billion euro, a 51 per cent year-on-year increase. During the first quarter of fiscal year 2008/2009, Voestalpine beat analysts' forecasts with pre-tax profit of 575.6 million euro on revenues of 3.255 billion in what was an increase by 68.5 per cent on the year.

Bulgaria's Deputy Economy and Energy Minister Yavor Kouyumdzhiev said Bulgaria did not receive an official back-out notification and preparations to meet Voestalpine's needs continued.

Bulgaria announced October 6 a tender for a consultant of the Bulgarian Government in potential talks with the Austrian investor. The tender winner will receive 0.3 million leva.

In the past month, both Bulgaria and Romania signed a memorandum of understanding with the Austrian company. Bulgaria's Economy and Energy Minister Petar Dimitrov said recently the Government was ready to build an industrial zone to fit the needs of Voestalpine and other international giants.

Voestalpine has previously said it scrutinised coastline sites in Bulgaria, Romania, Turkey and Ukraine. Scales to date have weighed in Romania's favour as the Austrian company already runs operations in the country and has signed preliminary contracts for 200 hectares of land near Constanţa, southeastern Romania, Romanian news agency Mediafax reported.

Voestalpine plans to transport raw materials primarily by sea.

Bulgarian Dnevnik daily quoted the head of Varna municipal council Borislav Gutsanov as saying that Constanta's container terminals process 12 times as much cargo than Varna's. Constanta's progress is attributable to its new specialised container facilities, whereas Varna has built none. Varna's first specialised facilities will be operational in 2014.

Voestalpine's new steel mill will take five years to build.