Canadian pipe and tubing producer Lakeside Steel on Tuesday announced that it has increased production on its Stretch Reduction Mill by adding additional production shifts to meet stronger demand for its OCTG products. In addition, the company has recalled all of its temporarily laid off employees and has returned to full employment for the first time since November 2008.
Lakeside says that based on current orders, the company expects its Stretch Reduction Mill and ERW 2"-8" Mill to operate at or near capacity through April of 2010. The company says that increased demand for its OCTG products has been driven by both the enhanced end finishing capabilities of Lakeside Steel's new upsetting and threading operations which became operational in December 2009, and also by the increase in prices for oil and natural gas, and favorable rulings in OCTG-related trade cases in Canada and the US involving Chinese manufactured products.
Ron Bedard, Lakeside Steel's President and COO stated, "We are very pleased to be able to return to full employment at Lakeside Steel as we have one of the most skilled and dedicated workforces in the industry. Our upsetting and threading capabilities and our new rail yard have positioned the company to take full advantage of the increased demand we are seeing in 2010. By adding additional shifts to our mills we will be able to shorten lead times, improve customer service and continue to realize operational efficiencies. Our focus is to continue this positive momentum through 2010."