Steel Mills

AM/NS Greenlights Construction of EAF at Calvert Mill

December 22, 2020

ArcelorMittal and Nippon Steel Corp. have committed to building an electric arc furnace at AM/NS Calvert, reducing the mill’s reliance on imported slabs. The companies signed a definitive agreement on Monday to construct the 1.5 million MT (1.65 million ton) EAF at a cost of $775 million. Construction will begin in 2021 with initial production anticipated in the first half of 2023. The EAF project will be funded by the 50/50 joint venture.

“This is an important project for AM/NS Calvert, which builds additional flexibility to its slab sourcing and will increase its responsiveness to short lead time orders,” said Brad Dave, CEO, ArcelorMittal North America. “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.”

Calvert produces steel sheet products by processing slabs from domestic and overseas suppliers. The new EAF will produce the steel slabs required for processing, increasing production and increasing the ratio of domestic procured slabs. In addition, the EAF is expected to produce Gen3 advanced high-tensile steel sheets for the automotive industry.

AM/NS Calvert is located in Calvert, Ala., just north of Mobile. Completed in 2010 and purchased by ArcelorMittal and Nippon from ThyssenKrupp AG in 2014, the plant can process 5.3 million tons of flat rolled steel annually. The facilities include a hot strip mill, cold rolling mill, three hot-dip galvanizing lines and one continuous annealing line.