ArcelorMittal announced Tuesday that it will restructure its steel production activities in Canada as well as add a $380 million beam mill to its Montreal operations.
As part of the restructuring, flat carbon production will be consolidated in Hamilton (Dofasco Facility) and long carbon production in Contrecoeur (Arcelor Mittal Montreal). Accordingly, the Contrecoeur site will close down its hot mill operations on January 31 and its cold mill operations on February 29.
In the company's press release, Jos Jacqué, CEO of the Long Carbon, North America division, stated, "ArcelorMittal wants to develop a sustainable Canadian steel business. With the former Dofasco facility now part of ArcelorMittal in Hamilton, it does not make business sense to have Contrecoeur compete with a sister company in the flat carbon segment while Dofasco has unused capacity."
In addition, ArcelorMittal confirmed that it will invest in an 800,000 metric ton state-of-the-art beam mill in Contrecoeur, which could begin production as soon as 2010.
"With everyone's cooperation and this new investment, we have the potential to transform the Contrecoeur facilities and make them some of the best performing mills in North America," concluded Mr. Jacqué.