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Nucor Nears Completion of Two Major Capital Projects

Speaking during Nucor’s first-quarter earnings call, executives said the galvanizing line commissioning is expected to occur in the third quarter, with production of prime coils coming not long after. 

The line is being built at its Arkansas sheet mill and will complement the facility’s new cold mill there. An investment of approximately US$240 million, the galvanizing line will be capable of processing third-generation steels and will help meet automotive demand for stronger, lighter products. 

“We are excited about the advanced capabilities this project will give the mill, and I think it is fair to say that our customers are excited as well,” said Nucor chief executive Leon Topalian.  

At its Gallatin mill in Kentucky, Nucor will be taking a three-week, fourth-quarter outage to prepare for commissioning of the meltshop expansion. Nucor said the expanded shop is expected to begin producing steel by the end of the year, with a gradual ramp-up to follow. The new equipment is expected to turn out 1 million tons in 2022 and 1.4 million in 2023. 

Executives also said construction of the Brandenburg, Ky., plate mill remains on schedule, with start-up expected to occur late next year. 

“We see Brandenburg's commissioning time frame as ideally suited to serve the offshore wind market. Nucor Steel Brandenburg will be one of only a very few mills in the world capable of reliably supplying steel plate suited to offshore wind market applications and expectations,” Topalian said. 

He said he believes the mill will achieve 75% to 80% of nameplate capacity by the end of 2023.