SDI Considering $231-Million Expansion at Heartland

The cost of the planned expansion – a 390,000-square-foot addition that would increase the facility’s footprint by 50% – is estimated at $231 million and would include enhancements to Heartland’s cold mill as well as its galvanizing and paint lines.

The project hinges on the approval of a 10-year tax abatement by the Vigo County Council. “Heartland is a favorable site for this investment, but we are waiting on the approved package from the county,” Millett said.

The investment would include $196.35 million for the physical expansion and $34.65 million for the installation of new equipment. The project would also add 84 new employees to Heartland’s payroll at an annual cost of roughly $6.7 million in wages, according to SDI’s tax abatement filing. Millett declined to comment on the possible timeline for the project.

SDI’s Heartland Division is a finishing mill specializing in light-gauge galvanized and cold-roll steel products. Its pickling and cold-reducing lines have a annual capacity of one million tons, with the ability to galvanize up to 360,000 tons each year. The facility is comprised of a continuous pickle line, a two-stand reversing cold mill, batch annealing bases, a temper mill and a galvanizing line.

The Heartland Division facility has helped SDI expand its annual flat rolled steel shipping capacity to 8.4 million tons and total shipping capability to 12.4 million tons.

By David Schollaert, David@SteelMarketUpdate.com