North Carolina-based US steel producer Nucor has selected its Kingman, Arizona, bar mill as the site for the installation of a new $100 million melt shop, it said on Wednesday.
According to the company, this site was an ideal location for the investment due to the mill lacking a melt shop and its close proximity to Western buyers.
"This investment in a new melt shop at our Arizona bar mill is part of our strategy to grow our core steelmaking business and will help us maintain our market leadership position in steel bar production. Adding new melt shop capacity will help meet the growing demand for steel bar products in the Western region, which is one of the fastest growing areas in the US," explains Nucor chief executive Leon Topalian.
The melt shop construction is projected to take two years, with the expected start-up of the shop planned in 2024. Nucor currently has an annual production capacity totalling approximately 9.56 million tons of steel bar. This shop is projected to increase that by 600,000 st.
"Nucor's new sustainable steel production facility will strengthen Arizona's vibrant manufacturing ecosystem. Nucor's new facility will produce quality steel and steel products while maintaining the highest safety and sustainability standards. We are grateful for Nucor's commitment to Kingman, creating high-wage jobs while driving further economic growth in the area," adds Arizona Commerce Authority ceo Sandra Watson.
Kallanish notes that Nucor initially announced its plan to invest in a new melt shop at one of its West Coast facilities in September of last year.
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