JSW Steel to invest USD 500 mn in Ohio steel plant
Myequity news service | Date : 22-06-2018 12:30:00 IST
JSW Steel, India’s leading steel company, has proposed an investment of upto US$ 500 million in acquiring, enhancing & upgrading Acero Junction Inc, an integrated steel manufacturing unit with a potential capacity of 3 MTPA, located at Ohio USA. The proposed investment will be made in two phases.
In phase 1, JSW will revamp and restart the electric arc furnace and the slab caster, and modernise the hot strip mill. The proposed investment, including the cost of acquisition, is expected to be approximately USD 250 million.
JSW Steel said in phase 2, depending upon the economic viability and prevailing market conditions, the company will evaluate the possibility of adding another electric arc furnace as well as additional manufacturing equipment at the hot strip mill to make the Ohio facility a fully integrated unit with 3 MTPA capacity.
The integrated steel manufacturing unit in Ohio, with a potential capacity of 3 MTPA, was acquired as part of the recently concluded Acero Junction Holdings Inc. deal.
Parth Jindal, Director - JSW Steel (USA) Inc said: "JSW is pleased to share its intention for additional investments in the US market. Rich availability of scrap metal and abundance of natural gas, making steel through EAF route is highly competitive in USA from a global standpoint."
JSW Steel Limited closed at Rs. 337.00 up 1.25%