Nucor Corporation announced Monday that it is evaluating locations in Pennsylvania, Ohio and West Virginia for a new state-of-the-art sheet mill.
The board of directors approved the new mill’s construction, which will be geographically located to serve the company’s Midwest and Northeast markets. The mill will have a significantly lower carbon footprint than nearby competitors, the company said.
“This greenfield sheet mill complements Nucor’s existing operations, allowing us to more effectively service customers in the region, and grow our core business, while creating substantial value for our shareholders. Consistent with Nucor’s long-established strategy for profitable growth, this expansion of our product capabilities will enable us to provide a superior value proposition to our customers,” Leon Topalian, president & CEO of Nucor, said. “This mill will allow us to competitively meet the growing need that many of our customers, particularly in the automotive market, have for high quality steel with a lower carbon footprint.”
The new sheet mill is estimated to cost $2.7 billion, and will have the capacity to produce three million tons of steel annually. The mill will be able to produce hot-rolled sheet products with downstream processing including a tandem cold mill, and annealing capabilities. Two galvanizing lines will be included in the initial mill construction and will include a high-end automotive line with full inspection capabilities and a construction-grade line.
Once a location is selected and state and local incentives, permitting and other regulatory approvals are received, the company will begin construction which is anticipated to take two years.
“The green and digital economy is being built with steel, and Nucor, as one of the cleanest steel makers in the world, is poised to be able to meet these unique opportunities,” Topalian said.