US Steel modernizes Sartid mill

US Steel modernizes Sartid mill

US Steel Balkan of Serbia (USSD), which is a subsidiary of United States Steel Corp., completed acquisition of Serbian steel producer Sartid earlier this month with the cost of $23 million plus $5 million transaction cost, as previously reported by SteelOrbis. Up to now the company has not revealed its plans about Sartid. However, US Steel has recently announced that, it will install certain modern equipments, conduct a capital expenditure programme and introduce market-driven operating practises to the mill. Hence the production of Sartid to reach up to 900'000 tons in the first year from the present level of around 500'000 tons. According to notice presented to US Securities Exchange Commision, US Steel plans to increase production at the mill to about 2.4 million tons per year in four or five years'period. The company also expects the turnover of the mill in Sartid to constitute 3% of the group's total revenues, depending on the five year project. Under the framework of modernization project, Sartid will produce new products, improve its products' quality and will have sales outside Central Europe.