With this change in operation, the company expects its carbon emissions to be reduced by approximately 70%.
 
Once complete, the CA$700 million facility is anticipated to have an annual production capacity of approximately 3.7 million tons, which will match its downstream finishing capacity, the company said in a press release.
 
“We believe that today’s strategic decision to transition Algoma to electric arc steelmaking represents a win for all of our stakeholders. It is designed to transform Algoma into a more agile and profitable company, positioned for long-term growth as an economic driver and employer of choice in our community. Once complete, it is projected to deliver 3 million metric tons of annual CO₂ reduction, placing the project among the highest impact investments in greenhouse gas reduction in Canada,” said Michael McQuade, Algoma’s chief executive. “You cannot get to net zero without steel, and in becoming a leading provider of green steel in North America, Algoma intends to be part of the solution.”
 
The company said it will realize lower carbon tax liabilities, flexible production and enhanced product quality through this transformation.
 
The facility is expected to come on-line in 2024.
 
Read the full announcement here.