Steel Mills

SunCoke Energy Performs Well in Q2 on Strong Commodity Markets
Written by Laura Miller
August 2, 2022
Despite lower domestic coke sales in the second quarter, SunCoke Energy is seeing favorable export coke pricing and is increasing its earnings guidance for the year as a result.
“Our domestic coke and logistics segments continued to perform well in the second quarter with the backdrop of strong commodity markets. Although our coke production was impacted due to planned outages this quarter, it was more than offset by higher margins from our export coke sales,” commented president and CEO Mike Rippey in the company’s Q2 earnings report.
SunCoke’s Q2 net income of $18 million was a significant increase from the loss of $8.8 million it incurred in Q2 2021. Q2 revenues of $501.9 million were up 38% year-on-year.
The company’s domestic coke operations shipped just over 1.007 million tons in Q2—a decline of 56,000 tons from the year-ago quarter. The segment is made up of coke-making facilities and heat recovery operations in Jewell, Va.; East Chicago, Ind.; Franklin Furnace, Ohio; Middletown, Ohio; and Granite City, Ill.
For the full year, SunCoke now expects to produce 4.1 million tons of coke domestically and thinks it will continue to see higher export margins.
SunCoke plans to add pig iron production to its raw materials portfolio in the coming years. During Q2, the company entered into a non-binding letter of intent with US Steel to acquire the steelmaker’s Granit City blast furnaces and to build a 2-million-tons-per-year pig iron facility. Permitting and construction of the pig iron plant is expected to take approximately two years.
By Laura Miller, Laura@SteelMarketUpdate.com

Laura Miller
Read more from Laura MillerLatest in Steel Mills

Explosion rocks ArcelorMittal’s DR plant in Mexico
ArcelorMittal reported a "strong" explosion at the direct reduction part of its massive Lazaro Cardenas mill in Mexico.

SDI to acquire remaining stake in New Process Steel
Steel Dynamics Inc. (SDI) announced that it has agreed to acquire the remaining 55% equity interest in New Process Steel.

North Star results improve despite buyer caution as tariffs drive prices higher
North Star BlueScope said it is optimistic that US tariffs will bolster selling prices and tighten the spread the Australia-based steel maker suffered in 2025.

AISI: Domestic steel production edges down
US raw steel production declined last week, according to the latest data released by the American Iron and Steel Institute (AISI).

Cliffs inks longer-term contracts with US automakers hedging tariff inflation: Report
Cleveland-Cliffs Inc. has reportedly signed "unusually long" fixed-price supply agreements with multiple US automakers.