Steel Mills
SDI to Buy Kentucky Electric Steel
Written by Sandy Williams
July 26, 2018
Steel Dynamics Inc. confirmed in its second-quarter earnings call that it is in the process of acquiring the idled Kentucky Electric Steel Mill in Ashland, Ky.
“I would put it in the classification of a planned acquisition right now,” said CEO Mark Millett. “We haven’t closed on it, although it’s looking favorable.”
Kentucky Electric, maker of special bar quality steel bar flats, ceased operations in January 2018, laying off 113 workers. In June, American Metal Market reported that SDI was interested in acquiring the plant and restarting the rolling mill later this year.
Millet said on Tuesday, “Our intent is not currently to start up the hot side, just to better utilize our Steel West Virginia and our Roanoke billet capacity.”
Kentucky Electric Steel will add 200,000 tons of rolling capability for Steel Dynamics, said Millett, which will “give us some solid diversification.” He added that KES will improve the through-cycle utilization and earnings profile for Steel West Virginia and Roanoke.
The KES facilities include an electric arc furnace with a melting capacity of 400,000 tons. When operational, the mill produced special bar quality (SBQ) and merchant bar quality (MBQ) flat products for the OEM and merchant markets.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
Hybar lowers output forecast, owning up to EAF startup delay
Hybar LLC’s rebar mill in Osceola, Ark., is now melting scrap and will soon be fulfilling orders, according to CEO David Stickler, despite a six-to-eight-week delay caused by commissioning the world’s first Aura electrical system.
Steel Dynamics guides to more metal, more money in Q3
Steel Dynamics Inc. is bullish heading into the close of the third quarter, with all three of its operating segments tracking higher.
AHMSA opens doors to potential buyers as $1.3B asset auction nears
AHMSA is opening its doors to potential buyers to tour its steel plant and mining operations in northern Mexico in preparation for the next stage of its bankruptcy process: the auction of its assets.
USW seeks clarity on USS plans for Granite City Works
The United Steelworkers union has asked U.S. Steel to elaborate on its Granite City Works plans following reports that the steelmaker is ending processing at the facility.
Nucor maintains plate prices, opens October order book
Nucor aims to keep plate prices flat for a seventh straight month with the opening of its October order book.