Louisiana remains in the running for Steel Dynamics’ (SDI) proposed $1.8 billion flat-rolled mill.
On an earnings call last week, the Indiana steelmaker said it has narrowed its choices to Texas and Louisiana.
According to media reports, chief executive Mark Millett projects the new mill will have a cost advantage over other domestic steel mills for the steel markets in Arkansas, Louisiana, Oklahoma and Texas. The mill, he said, is designed to take market share from steel imports coming into Houston, and move into Mexico’s growing steel market.
The new mill will manufacture flat-rolled steel up to 84 inches wide and one inch thick.
SDI said it is working on its environmental permits for the Texas site, near Corpus Christi, which likely will take a year to secure. Millett said the company is “still actively pursuing sites” in both Texas and Louisiana, but details of a potential Louisiana site have not been made public.
To build the new mill, the company projects spending $300 million in 2019, $850 million in 2020 and $659 million in 2021.
