Lakeside Steel, Metals USA Enter Services Agreement
06/15/2011 - Lakeside Steel Inc. has entered into a four-year contract with Metals USA for the provision of steel slitting and warehousing services to support Lakeside's new steel pipe and casing mill in Thomasville, Ala.
Lakeside Steel Inc. has entered into a four-year contract with Metals USA for the provision of steel slitting and warehousing services to support the company's new steel pipe and casing mill in Thomasville, Ala.
In connection with the agreement, Metals USA will construct a rail-serviced, state-of-the-art slitting and warehousing facility adjacent to Lakeside's Thomasville pipe mill, which is currently under construction. Lakeside Steel expects that the close proximity of the new Metals USA facility and the related agreement will improve Lakeside Steel's material flow, working capital requirements, and inventory control, and will significantly reduce transportation costs.
“We are very pleased to be partnering with Metals USA, a well-established and very successful company in the steel services industry,” commented Lakeside's President and Chief Operating Officer, Ron Bedard. “The construction of a state-of-the-art steel processing and warehousing facility next to our Alabama mill bodes well for the future of our Alabama operations and the City of Thomasville."
Lourenco Goncalves, Metals USA Chairman, President and CEO, stated: “Lakeside is a respected manufacturer of pipe and tube products for oil country tubular goods and we are pleased to partner with them in this mutually beneficial venture in Thomasville, Alabama.”
Lakeside Steel, a diversified steel pipe and tubing manufacturer with a focus on manufacturing and upgrading Oil Country Tubular Goods, is the parent company of Lakeside Steel Corp., Lakeside Steel Alabama Inc. and Lakeside Steel Texas Inc. Lakeside Steel has operating facilities located in Welland, Ont., and Corpus Christi, Texas, and three facilities currently being constructed in Thomasville, Ala. The company's list of customers includes large oil and gas end users as well as distributors across North America.
Lakeside Steel Alabama will be a diversified steel pipe manufacturer with end-finishing and heat treat capabilities strategically situated in the southern United States on successful completion of construction of the new facilities in Thomasville, Ala., which is currently underway.
Metals USA provides a wide range of products and services in the heavy carbon steel, flat-rolled steel, non-ferrous metals, and building products markets. Metals USA Holding Corp, the organization's parent company, is one of the largest metal service center businesses in North America and a leading provider of value-added metal processing and inventory management services.
