STOCKHOLM--(BUSINESS WIRE)--Regulatory News:
SSAB (STO:SSABA) (STO:SSABB):
The potential expansion would increase melting and casting capabilities by up to 1.2 million tons above current melting capacity. This represents roughly an additional 800,000 tons per year of finished product along with 400,000 tons of melting capacity to be transferred as slab to SSAB’s Mobile facility for rolling and finishing.
SSAB has entered into an agreement with an engineering firm to undertake a study to identify the requirements related to expansion. The project would result in the Montpelier facility increasing its capacity to as much as 2.1 million finished tons per year.
“SSAB Americas is constantly reviewing opportunities to continue to grow in the plate market throughout the Americas and to support the growing needs of our customers,” said Jeff Moskaluk, Chief Commercial Officer, SSAB Americas. “The Montpelier expansion is expected to support growth in both as rolled plate and heat treated plate products.”
The engineering study will include: equipment specifications and requirements, infrastructure needs including power and transportation, permitting and compliance requirements, and investment incentives and opportunities. SSAB recognizes the need for appropriate licensing and permitting to be in place prior to moving forward with any equipment modification or construction, and those approvals will be pursued at the appropriate time. The preliminary study is expected to be completed in July 2014.
A potential investment proposal for the expansion is expected to be presented to the SSAB´s Board of Directors during the fall and then follow an accelerated timeline if approved.
SSAB is a global leader in value added, high strength steel. SSAB offers products developed in close cooperation with its customers to create a stronger, lighter and more sustainable world.SSAB has employees in over 45 countries and operates production facilities in Sweden and the US. SSAB is listed on the NASDAQ OMX Nordic Exchange, Stockholm. www.ssab.com
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