New Capacity Roundup - August 2022

30th August 2022

Here is a selection of the major steelmakers' latest production and capacity investments announced this month. 

North America 

Nucor is investing US$100 million on a new melt shop at its bar mill in Kingman, Arizona. The line will have an annual production capacity of up to 600,000 short tons. Construction is expected to take two years to complete. According to the company, this site was selected as it is in an ideal location to meet the growing demand for steel bar products in the Western United States. The company has also confirmed that its Gallatin hot rolled strip plant in Ghent, Kentucky, has resumed production following the installation of new equipment. 

During its second quarter earnings call, Gerdau announced its intention to invest US$55 million to increase production at its bar mill in Midlothian, Texas. Upon completion of the work, the plant’s overall output will increase to approximately two million tonnes. 

Europe 

Voestalpine plans to spend €100 million modernising the galvanising lines at its Linz facility. The investment will enhance the quality of zinc-coated and uncoated cold rolled strip produced at the site. The project will start with the overhaul of line No.4 later this month. Refurbishment of the remaining units is scheduled to be completed by 2027.  

Tata Steel Netherlands has contracted FIMI group to install a new straightening and cut-to-length line at its Maastricht Service Centre in Feijen, Netherlands. The new decoiler will process high-tensile coils faster and with greater accuracy than is currently achievable. It is scheduled for commissioning in mid-2024.  

The modernisation of the continuous pickling line operating at ArcelorMittal’s Mardyck steel plant, in northern France, has been completed. The company is also in the process of installing a new electrical steel line, with an annual capacity of 200,000 tonnes, at the facility. This is due to be commissioned in 2024.  

Spanish long product specialist, Megasider Zaragoza, part of the Megasa Group, plans to upgrade its merchant bar mill with the installation of a new 120 tonnes per hour capacity walking beam furnace. The new equipment can operate using natural gas or hydrogen as a fuel source, helping the company achieve its aim of reducing CO2 emissions.  

A new basic oxygen furnace has entered service at ArcelorMittal’s steel plant in Ghent, Belgium. The unit has a heat size of 330 tonnes, making it one of the largest in the world. It has an optimised converter shape that is designed to increase both yield and energy efficiency. 

Equipment manufacturer, Danieli, will modernise the EAF operated by Polish steelmaker, Cognor. The project involves replacing the existing furnace transformer with a digital power feeder. This reduces electrode usage and energy consumption by approximately 10 percent. Commissioning is scheduled for the third quarter of 2023. 

Asia 

Nippon Steel confirms that the US$360 million refurbishment of blast furnace No.3 at its Nagoya steelworks, in Japan, has been completed. The unit has been out of service since the end of January for relining, which has increased its internal volume to 4,425 cubic metres. It will re-enter service by the end of August. 

Source:

International Steel Review

The MEPS International Steel Review is an essential monthly publication, offering professional analysis and insight into carbon steel prices around the world.

Go to productRequest a free publication