Steel Products

SDI Considering $231-Million Expansion at Heartland

Written by David Schollaert

July 31, 2021

Steel Dynamics Inc. (SDI) has proposed a major investment at its Heartland Division flat-rolled steel processing operations in Terre Haute, Ind., company President and CEO Mark Millett told Steel Market Update.

SDI

The cost of the planned expansion – a 390,000-square-foot addition that would increase the facility’s footprint by 50% – is estimated at $231 million and would include enhancements to Heartland’s cold mill as well as its galvanizing and paint lines.

The project hinges on the approval of a 10-year tax abatement by the Vigo County Council. “Heartland is a favorable site for this investment, but we are waiting on the approved package from the county,” Millett said.

The investment would include $196.35 million for the physical expansion and $34.65 million for the installation of new equipment. The project would also add 84 new employees to Heartland’s payroll at an annual cost of roughly $6.7 million in wages, according to SDI’s tax abatement filing. Millett declined to comment on the possible timeline for the project.

SDI’s Heartland Division is a finishing mill specializing in light-gauge galvanized and cold-roll steel products. Its pickling and cold-reducing lines have a annual capacity of one million tons, with the ability to galvanize up to 360,000 tons each year. The facility is comprised of a continuous pickle line, a two-stand reversing cold mill, batch annealing bases, a temper mill and a galvanizing line.

The Heartland Division facility has helped SDI expand its annual flat rolled steel shipping capacity to 8.4 million tons and total shipping capability to 12.4 million tons.

By David Schollaert, David@SteelMarketUpdate.com

 

David Schollaert

David Schollaert is a senior analyst for Steel Market Update. David joined SMU after more than a decade in the metals and mining industry in a myriad of different roles. Much of his early experience and expertise were within the coverage and analysis of steel-making raw materials and served previously as senior editor of the CRU Prices Service. Most recently, however, before his return to market analysis, David held roles as a metals buyer and an operations manager for raw material suppliers. Based in CRU’s Pittsburgh office, David can be reached at david@steelmarketupdate.com or 724-720-1008.

Read more from David Schollaert

Latest in Steel Products