Steel Dynamics, Inc. today announced the selection of Sinton, Texas, as the site for the company's previously announced new electric-arc-furnace (EAF) flat roll steel mill. Sinton is located approximately 30 miles Northwest of the port of Corpus Christi, Texas. Final determination is still subject to the anticipated receipt of necessary permits and continued state and local government support, which the company expects to be forthcoming, it said in a statement.
The planned facility is anticipated to have an annual production capacity of approximately 3.0 million tons with the capability to produce the latest generation of Advanced High Strength Steel grades. The project will include value-added finishing lines, including a galvanizing line with an annual capacity of 550,000 tons, and a paint line with an annual coating capacity of 250,000 tons.
The product offering is anticipated to include various flat roll steel products, including hot roll, cold roll, galvanized, Galvalume and painted steel, primarily serving the energy, automotive, construction, and appliance sectors. The current estimated required investment is approximately $1.9 billion, which does not include the benefit of anticipated state and local incentives. Upon the receipt of required environmental and operating permits, the company expects to begin construction early 2020, followed by the commencement of operations mid-2021.
Mark. D. Millett, President and Chief Executive Officer, commented, “Based on casting capability of up to 84 inches wide and up to a 5.5-inch cast thickness, it will be the world's largest thin-slab facility. The steel mill will also have a unique rolling mill configuration, providing the capability to produce Advanced High Strength Steel grades, including some energy sector products not available in the US today. The mill will also have the capability to produce up to 52.5-ton coils, creating meaningful cost efficiencies for certain energy customers. These advances will further reduce the gap between existing EAF and integrated steel mill production capabilities. We have already placed orders for a majority of the equipment and filed for the required permitting.”