On Monday, an explosion occurred during routine maintenance work at the DRI intake of an electric arc furnace at steelmaker Ternium's Guerrero facility in Monterrey, Mexico. The causes of the incident, which killed four and injured 10, are under investigation.
Ternium Mexico said in a press release that is following the contingency plan prepared for these situations, which includes notification to the appropriate governmental agencies. At this time Ternium cannot estimate the cost and required time for completion of the repairs or restart of steelmaking operations, as investigations and damage-assessment are in the initial stage.
The Guerrero facility has an annual thin-slab casting production capacity of 2.3 million tons per year. Ternium's total annual finished products production capacity is approximately 10.8 million tons. Ternium does not currently expect that these events will materially impact customer shipments.