Steel Dynamics, Inc. announced plans to expand operations at its Bar Products mill in Pittsboro, Ind., with additional downstream finishing operations for its special-bar-quality (SBQ) steel bar production.

The expansion centers on a new $18-million facility housing processing operations which include turning, polishing, straightening, chamfering, and precision saw-cutting. Non-destructive testing services will also be available, including eddy current, flux leakage and ultrasonic inspection. The new facility is also expected to have heat treating capabilities. When in full operation, the processing facility will have an annual capacity to process 160,000 tons of bar steel and will employ about 55 people.

Glenn Pushis, Vice President and General Manager of the Bar Products Division, said, "Since our start-up at the Pittsboro mill at the beginning of 2004, we have developed our custom-engineered steelmaking capabilities to the point where our customers are requiring value-added processing. The addition of these new processing services to our Pittsboro mill further enhances our ability to focus on high quality carbon and alloy SBQ bars. As we pursue future OEM contract business, we will now be able to compete more effectively, offering more options to help satisfy our customers' requirements."

SDI says the new processing capabilities will provide essential processes and services that have been requested by the company's growing SBQ customer base. The State of Indiana, through the Indiana Economic Development Corporation (IEDC), will provide support and assistance for this expansion through training grants and tax incentives. The Town of Pittsboro will provide support and assistance for this expansion through property tax abatements.

Construction of the new facility, which will be erected on property adjacent to the Pittsboro mill, will begin this fall. Operations are expected to begin in March 2006.

SDI's Bar Products Division produces engineered carbon and alloy SBQ round steel bars (1- to 9-inch diameter) and round-cornered squares (2-1/2- to 8-inch) used in a variety of industrial and automotive applications. In 2004, its inaugural year, the Pittsboro mill shipped about 315,000 tons and plans to ship nearly 400,000 tons in 2005. The mill currently has a workforce of approximately 300.