Steel Dynamics to invest for expansion
Recent news in the market reports that Indiana based
US steel mill Steel Dynamics Inc (SDI) and a group of partners are planning to invest $100 million at Butler with the purpose of establishing a new plant, which will produce a less expensive substitute especially for
pig iron.
The project will be materialized to compensate surging raw material costs.
The expansion project of SDI covers establishment of two plants, one in Indiana and the other in Minnesota. The plants will produce pellet-sized iron nuggets. SDI will probably have 50% and 20% stake respectively in the aforementioned plants. The price of the nuggets will be half the price of
iron ore ingots.
The parties have reached an agreement on the establishment of the aforementioned plant in Minnesota, however negotiations for the plant in Indiana is going on.