SDI taps SMS group for hot strip mill upgrade at Butler mill

Steel Dynamics Inc. (SDI) has contracted SMS group to complete a comprehensive upgrade of the process automation system at its hot strip mill in Butler, Ind.

German metals equipment supplier SMS will install the new X‑Pact level 2 system there.

The system integrates advanced process models developed by the group. These include modern ProconTEL‑based communication architecture and the X‑Pact Vision webHMI to support high‑precision rolling, improved strip geometry control, and consistent product quality.

“With this upgrade, we are strengthening the long-term capability of our Butler operations and ensuring that our customers receive consistently high-quality products,” Randy Patterson, hot mill manager at SDI Butler, said in a statement on May 28.

First coil production with the new system is anticipated for late 2026. The target for the final acceptance certificate is early 2027.

Financial details of the deal were not disclosed.

The Butler Division is the original mill of Fort Wayne, Ind.-based Steel Dynamics. The Butler flat-roll mill is capable of producing over 3 million tons of steel annually, according to the company’s website.

Ethan Bernard

Ethan Bernard is managing editor for Steel Market Update. He previously worked for American Metal Market as a copy editor in the New York office for two years, starting in 2008. Later, he copy edited AMM’s monthly magazine on a freelance basis from 2015 until 2017. With experience in financial copywriting and textbook publishing, he holds a BA in Comparative Literature from UC Berkeley, and an MFA in Creative Writing from New York University. He can be reached at ethan@steelmarketupdate.com or 724-759-7871.

Ethan Bernard

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