Steel Mills
Liberty House Pursuing Canada Steel Mills
Written by Sandy Williams
July 19, 2016
A new bidder may step forward for Essar Steel Algoma, according to UK publication Financial Times.
According to the Financial Times, Liberty House, a metal trade and integrated steel producer, hopes to secure deals for both Essar Steel Algoma and US Steel Canada.
Liberty is also watching the developments in the Chapter 11 bankruptcy at Essar Steel Minnesota as a possible future supplier for the Canadian mills.
Liberty House is currently pursuing Tata Steel’s assets including the largest plant at Port Talbot. Liberty House announced a “GreenSteel” strategy for the UK mills that include using renewable energy and electric arc furnaces to melt UK scrap into steel. To Liberty House’s frustration, Tata Steel put the sale of its assets on hold following the Brexit vote. Tata Steel is now discussing a joint venture with German steelmaker ThyssenKrupp.
The USW has backed a proposal by Essar Global to regain Essar Steel Algoma along with US Steel Canada. Bedrock Industries remains interested in US Steel Canada, after KPS Capital pulled out of the bid process for both Essar Algoma and USSC.
US Steel Canada has asked the court for an extension of three weeks to find a suitable buyer for the company. William Aziz, chief restructuring officer for USSC, said in a motion on July 15 that the remaining bidders are working toward a conclusion in the SISP transaction and asked that the process be extended to August 5. He noted that even if a successful purchase is negotiated, it will be Fall 2016 before it will be concluded.
Wrote Aziz. “The requested Stay Extension Period reflects the time required to permit USSC to determine whether it remains possible to complete a going concern transaction with one of the remaining bidders and proceed to implement such a transaction or, in the alternative, to assess and purse an alternative transaction or combination of transactions.”
US Steel Canada is prohibited from commenting on the identity or intentions of bidders due to a confidentiality agreement.
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.