SSAB to Expand its Montpelier Steel Plant Capacity

WASHINGTON (Scrap Monster): On Thursday SSAB announced that they are mulling an expansion at its Montpelier steel plant thereby expanding the production capacity.

The company has hired an engineering service to calculating the requirements needed for the plant expansion. A significant expansion process would enhance the plant’s melting and casting capabilities. Presently, the production capability is about 800,000 tonnes of finished products per annum together with 400,000 tons of melting capacity. The final product is in form of slab which is then delivered to SSAB’s Mobile, Ala. Facility for rolling and finishing.

After the expansion, Montpelier’s annual production capacity would increase up to 2.1 million finished tonnes. Chief commercial officer of SSAB Americas, Jeff Moskaluk said that SSAB Americas is constantly reviewing opportunities to continue to grow in the steel plate U.S. market and to support the increasing needs of their customers.

He added that the company was planning to enhance growth in both heat treated plate products and rolled plates products. SSAB got the control over the Montpelier operation after the acquisition of former Ipsco Inc in 2008, which has started the steel plant in 1997 in Muscatine County. In 2010, SSAB spend around $11 million for the plant for constructing a 20,000 square foot research and development facility. This has created around 17 new jobs at the company which includes full time professional engineers and four support staff.

In Montpelier plant there are about 600 workers, in which 100 are private contractors. Through the expansion process, the number of jobs will also increase and the number will be known after the study completion in July. The engineering company’s scope will comprise equipment specifications and requirements, infrastructure needs such as power and transportation, permitting and compliance needs, and investment incentives and opportunities.