Cleveland-Cliffs to build iron nugget plant in Mich.

Cleveland-Cliffs has announced that, together with joint venture partner Kobe Steel Ltd., it will build an iron nugget production facility at its Empire Mine site in Palmer, Michigan to supply high-purity iron nuggets to US mini-mills.
 
The facility will use Kobe's patented ironmaking technology to produce 500,000 net tons annually of high-purity iron nuggets that contain over 96 percent iron.
 
Unlike the 65 percent iron nuggets Empire Mine currently produces, used in blast furnace steelmaking, the iron nuggets produced with Kobe's technology will be used in the electric arc furnaces of mini-mills.
 
The mini-mill segment of the steel industry continues to grow in the United States. According to Cleveland-Cliffs' press release, in 2006 mini-mills produced more than 55 million tons of steel, compared to the 45 million tons produced at integrated steel operators.