Service Centers

ATI Considering US Steel as Potential Joint Venture Partner
Written by Sandy Williams
September 23, 2014
Allegheny Technologies, Inc. (ATI) is considering US Steel as a potential partner for a joint venture on its new hot-rolling and processing facility in Brackenridge, Pa., according to equity research firm Cowen and Co.
ATI, a diversified specialty materials and components producer, is working with two steel mills to secure the joint venture, according to ATI spokesperson Dan Greenfield, but is not releasing names at this time. The $1.2 billion facility would ideal for processing Generation 3 and ultra high strength steels says Cowen analysts.
Start up and qualification costs for the HRPF were $2.3 million in Q1 and $4.0 million in Q2. ATI expects pre-tax start-up costs of $12 million for Q3 as the hot commissioning process ramps up.
Cowen says a joint venture would be in the range of $400 to $600 million over a period of time with the partners sharing time at the mill. AK Steel and ArcelorMittal are also said to be potential partners but Cowen analysts say US Steel would be the geographical favorite.

Sandy Williams
Read more from Sandy WilliamsLatest in Service Centers

Reliance reports record tons sold in Q1
A factor in the sales was customers buying ahead of tariff-related price increases.

Galv buyers notched strong Q1, but see uncertainty on the horizon
Participants on the HARDI Sheet Metal/Air Handling Council call said underlying demand is solid but there are slower pockets in some markets.

GM names Worthington a 2024 Supplier of the Year
This is the Ohio-based steelmaker’s fourth time winning the award.

Olympic taps Hegler for GM role at Action Stainless
Olympic Steel has named Alex Hegler as general manager for its Action Stainless facility in Rock Hill, S.C.

Olympic opens new Houston facility for Action Stainless unit
Olympic Steel has opened a new facility in Houston to support its Action Stainless business.