GE Commercial Finance Corporate Lending, a unit of General Electric Co., announced Wednesday that it will lend an additional $100 million to the Severstal Columbus (formerly SeverCorr) mill, owned by OAO Severstal, for the mill's expansion. The financing total for the Severstal Columbus project is now $577.5 million.
The new loan will go towards doubling the mill's current steel producing capacity to 3 million net tons per year.
Severstal Columbus produces high-quality flat rolled steel for the southern US market. Construction of the Severstal Columbus mill, located in Columbus, Mississippi, began in 2005 with project financing led by GE.
"Their [GE's] project finance and steel industry experts have worked closely with us to stay abreast of our business strategy and provide financing to help execute our plans," Jim Hrusovsky, CEO of Severstal Columbus, told press.