Steel Mills
AM/NS Greenlights Construction of EAF at Calvert Mill
Written by Sandy Williams
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.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
USS Q3 guidance: Prices have bottomed, expansions on track
U.S. Steel expects third-quarter adjusted earnings of approximately $300 million, according to figures released on Thursday. The Pittsburgh-based steelmaker said the result was in line with prior guidance and came despite “challenging pricing dynamics.” The company also said the third quarter likely reflected a “bottoming steel price environment.”
Decision on fate of USS/Nippon deal pushed to after elections: Report
The US government’s decision on whether it will block Nippon Steel’s acquisition of U.S. Steel on national security grounds has been pushed until after the November elections.
Cliffs steadfast in commitment to Middletown decarb project
Cleveland-Cliffs Inc. on Monday reiterated its commitment to a major decarbonization project at its Middletown Works in Ohio, despite an earlier report suggesting otherwise.
Nucor expects lower steel prices to drive Q3 earnings decline
Nucor blamed lower steel prices for weaker third-quarter results in earnings guidance released on Tuesday.
SDI guides toward lower Q3 earnings on weaker flat-rolled steel prices
Steel Dynamics Inc. (SDI) expects lower third-quarter earnings on the heels of “meaningfully lower” prices at its flat-rolled steel operations. The Fort Wayne, Ind.-based steelmaker expects Q3’24 earnings of $1.94 to $1.98 per diluted share, according to figures released on Monday. That’s down from $2.72 per share in Q2’24 and down from $3.47 per share in Q3’23.