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Steel News November 27, 2018 01:30:21 PM

SDI to Build New $1.8 Billion U.S. Flat Roll Steel Mill

Paul Ploumis
ScrapMonster Author
The proposed plant will have production capacity of approximately 3 million tonnes per annum.
SDI to Build New $1.8 Billion U.S. Flat Roll Steel Mill

SEATTLE (Scrap Monster): The Board of Directors of Steel Dynamics, Inc. has approved the proposal to construct a new state-of-the-art EAF flat roll steel mill in the U.S. The facility will be located somewhere in southwestern U.S. The company expects to begin construction of the plant in 2020. The operations at the new plant are expected to commence in the second half of 2021, the company press release stated.

The location of the facility in the southwestern region will help the company to serve the southern U.S. market as well as the neighboring Mexican market. The final site selection will be based on infrastructure and incentive support offered by various local governments. The company plans to invest around $1.7-$1.8 billion to construct the plant. In addition to nearly 600 well-paid direct jobs, the plant is expected to create hundreds of indirect job opportunities in the region.

The proposed plant will have production capacity of approximately 3 million tonnes per annum. It will also have value-added finishing lines including a 450,000 tpa galvanizing line and 250,000 tpa paint coating line.

Mark. D. Millett, President and Chief Executive Officer stated that the new steelmaking facility will help the company to better serve the growing customer demand for flat roll steel products in the region. The facility will utilize modern technologies aimed at reducing the gap between existing EAF and integrated steel mill production capabilities, he added.