Planned Outage Impacts Quarterly Production At EVRAZ North America
07/19/2017 - EVRAZ North America's crude steel production fell 8.3% between the first and second quarters of 2017 on account of a project outage.
In a statement, the steelmaker said production fell to 419,000 metric tons in the second quarter, down from 457,000 metric tons in the first quarter. It said the decline was due to an outage related to rolling mill upgrades at its Regina, Sask., Canada, facility.
Looking ahead, the company said it expects production to rebound.
"In Q3 2017, crude steel output is expected to increase by 5 to 10% quarter-on-quarter, as EVRAZ Regina’s availability returns to normal levels after the prolonged planned outage in Q2 2017.”
Despite the quarterly decrease, overall production of steel products rose 1.1% to 467,000 tons, with rail and flat-rolled products posting gains. It said strengthening demand drove output of flat-rolled steel, while destocking by the Class I railroads pushed demand for rail.
Tubular production, however, was virtually flat.
"Line pipe demand continued to be impacted by uncertainty, while oil country tubular goods (OCTG) experienced a healthy demand recovery combined with gaining share in Western Canada," the company said.