ArcelorMittal and Nippon Steel have signed a joint-venture agreement for an electric-arc furnace (EAF) at their existing shared facility in Calvert, Alabama.
The plan to produce 1.5 million tonnes of steel slabs was first announced in August. ArcelorMittal puts the cost of the project at US$ 775 million (EUR 630 million). Construction will begin this year and the company expects the EAF to be operational by the first half of 2023.
Brad Davey, ceo of ArcelorMittal North America, says it is an important project for the Calvert facility, building additional flexibility to its slab sourcing and increasing its responsiveness to short lead time orders.
‘AM/NS Calvert is already one of the world’s finest steel finishing facilities. Adding this state-of-the-art EAF will further strengthen its capabilities and enhance its ability to serve its full range of customers.
‘I am very pleased we will be undertaking this with Nippon Steel; it is a natural extension of our existing, successful partnership.’
The plant, which the partners bought in 2014, is currently capable of producing 5.3 million tonnes of flat-rolled carbon steel products annually. It serves the automotive, construction, pipe and tube, and other industries and currently uses 31.5% recycled steel scrap in its products.
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