ArcelorMittal to Invest CAD$70 Million to Modernize Quebec Facilities

SEATTLE (Scrap Monster): ArcelorMittal Long Products Canada has announced major investment of up to CAD$70 million by 2020 at its Contrecoeur, Quebec steel making facilities. The investments are aimed at modernizing the manufacturing facilities and reducing the environmental footprints through installation of most modern technology and machinery. The proposed investment is expected to help the company maintain its position as a leading steel producer in the entire North American region.

According to company press release, the reheating furnaces at its Contrecoeur-East wire rod mill  and Contrecoeur-West bar mill will be replaced at a cost of approximately CAD$30 million and CAD$33 million respectively. The installation of the new furnaces is expected to boost the company’s rolling capacity by at least 100,000 tonnes. In addition to greater productivity, the new furnaces are also expected to lead to reduced greenhouse gas emissions and optimal energy use. The works on the new furnaces are expected to complete during H1 2020.

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In addition, the company plans to spend approximately CAD$6 million towards replacement of dust collector at the Contrecoeur-West steelworks. This in turn in expected to increase the mill’s performance. Also, the investment is aimed at addressing the health and safety concerns raised by workers as well as neighboring communities. The new dust collector is expected to be in operation by end of this year.

Meantime, ArcelorMittal CEO Lakshmi Mittal, during a conference call last week, announced that the company has made significant progress both financially and strategically. The company reported nearly 30% jump in profits last year to $5.4 billion. The sales surged higher by 25% to touch $17.7 billion. The Q4 ’17 profits more than doubled to $1 billion. The series of cost-cutting initiatives and strategic investments have helped the company to improve its bottom line, Mittal noted.