Steel Mills
Construction of US Steel's EAF Postponed
Written by Sandy Williams
December 22, 2015
US Steel Corp announced it will postpone construction of the electric arc furnace at its Fairfield Works operation in Alabama due to “continued challenging market conditions in both the oil and gas and steel industries.”
The $230 million EAF was scheduled for completion next year, giving US Steel the flexibility of its first EAF. The furnace was expected to have an annual capacity of 1.6 million net tons and would use scrap metal instead of iron ore.
US Steel cited as reasons for the postponement, oil prices that hit an eight year low in December as well as continued high levels of imports that have resulted in low steel pricing.
In November, when reporting third quarter results, the company cut its EBITDA forecast for 2015 to $225 million due to weak market conditions.
US Steel said the delay in construction of the EAF will not impact customers. US Steel will continue to operate the Fairfield pipe mill, and its steelmaking operations in Indiana, Michigan and Pennsylvania. Fairfield’s #5 coating line and the Double G hot-dip galvanizing joint venture in nearby Jackson, Miss. will continue to operate.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
Cleveland-Cliffs quietly removes name from Steelton mill
The Cleveland-Cliffs name has been removed from its idled Steelton rail mill. SMU asked Cliffs about the move and if it might signal that it is selling the mill...
Nucor sees sequentially lower Q3 profits across all three business segments
Nucor's third-quarter earnings will be down quarter-over-quarter, but still higher than a year earlier.
Hyundai still on for Louisiana steel mill despite US raid at Georgia battery plant
Hyundai has reaffirmed its commitment to build a steel plant in Louisiana following a US government immigration raid at its battery facility in Georgia.
Hybar lowers output forecast, owning up to EAF startup delay
Hybar LLC’s rebar mill in Osceola, Ark., is now melting scrap and will soon be fulfilling orders, according to CEO David Stickler, despite a six-to-eight-week delay caused by commissioning the world’s first Aura electrical system.
Steel Dynamics guides to more metal, more money in Q3
Steel Dynamics Inc. is bullish heading into the close of the third quarter, with all three of its operating segments tracking higher.