Fontana, California-based steelmaker California Steel Industries (CSI) has announced plans for a new pipe mill. Cost of the equipment, including installation, is expected to exceed $100 million. The mill will produce high-strength electrical resistance welded (ERW) pipe, up to 24 inches in diameter and up to 80 feet in length; CSI's existing pipe mill is limited to 16-inch diameter and 60-foot lengths. Installation of the new mill equipment is expected to begin in Q3 2012 and be concluded by end of 2014.
Using induction welding technology, the new mill will be capable of increased wall thicknesses and improved yields. Annual production capacity is expected to be approximately 400,000 net tons (nt), bringing CSI's total tubular product capacity to over 600,000 nt. CSI also produces hot rolled, cold rolled and galvanized sheet products, with a total rolling capacity approaching 3 million nt.
"This will be the largest single capital investment in CSI history, and we have invested about a billion dollars since the Company was formed in 1983," said outgoing president and CEO Vicente Wright.