Steel Mills
Algoma Lenders Make Deal on Taxes with City
Written by Sandy Williams
August 16, 2017
Lenders pursuing the purchase of Canadian steel mill Algoma have reached an agreement with the City of Sault Ste. Marie regarding payment of Algoma’s back taxes.
We have settled the tax issue,” Mayor Christian Provenzano told The Sault Star. “We are satisfied that we recovered enough moneys in our negotiations to ensure that we were very fair to the taxpayers of the City of Sault Ste. Marie and that they’re protected. We won’t have to pass on any tax increases or service cuts as a result of this issue.”
Algoma owes approximately $20 million to the city resulting from a suspension of payments during the company’s restructuring under the Companies Creditors’ Arrangement Act. In May, Justice Frank Newbould ordered Algoma to resume payments in the amount of $350,000 per month for city taxes. Under the agreement reached with the DIP lenders, that amount will increase to $500,000 in August providing the acquisition by the lenders is concluded successfully.
Mining land for sale
Algoma has also posted for sale 10 potential mining sites it owns in Northern Ontario. The sites have not been explored for over 40 years, according to the Algoma listing. The sites were originally acquired for potential iron ore mining and may contain jasper, magnetite, pyrite, siderite and gold.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Mills
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.
AHMSA opens doors to potential buyers as $1.3B asset auction nears
AHMSA is opening its doors to potential buyers to tour its steel plant and mining operations in northern Mexico in preparation for the next stage of its bankruptcy process: the auction of its assets.
USW seeks clarity on USS plans for Granite City Works
The United Steelworkers union has asked U.S. Steel to elaborate on its Granite City Works plans following reports that the steelmaker is ending processing at the facility.
Nucor maintains plate prices, opens October order book
Nucor aims to keep plate prices flat for a seventh straight month with the opening of its October order book.