Tata Steel's Port Talbot Electric Arc Furnace Received Green Signal

Tata Steel expects that the new furnace would create a financially and environmentally sustainable business.

SEATTLE (Scrap Monster): The Neath Port Talbot Council’s Planning Committee on Tuesday gave approval to the proposal submitted by Tata Steel’s UK arm to build a £1.25 billion electric arc furnace steelmaking facility at Port Talbot in South Wales. The company expects to begin construction this summer. The furnace is expected to become operational by early 2028.

The proposed new furnace would replace the two blast furnaces which were closed last year. Tata Steel expects that the new furnace would create a financially and environmentally sustainable business.

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Sir Robert McAlpine has already been chosen by the firm to be the arc furnace project's contractor. The project includes building a water treatment facility, a scrap processing plant, and a fume and dust treatment plant in addition to the furnace complex.

The UK government is providing £500 million in funds to support the investment. The new electric arc furnace would help to maintain about 5,000 jobs in the UK in addition to lowering carbon dioxide emissions from the site by about 90% when compared to the previous blast furnace operation.

Commenting on the development, Rajesh Nair, CEO, Tata Steel UK said that it is the most significant investment made in the UK steel industry in decades. It will safeguard steelmaking in Port Talbot for generations to come, he added.