Stelco Acquirer Sees Company as Beginnings of a Bigger Steel Producer
06/27/2017 - The owner-in-waiting for Stelco expects to close on its acquisition of the Canadian steelmaker this week, ushering it into a new era as a standalone business -- and as one on the hunt for other opportunities.
Speaking during the 32nd Steel Survival Strategies conference in New York, N.Y., USA, Alan Kestenbaum, chairman of Stelco acquirer Bedrock Industries Group said Stelco will become a platform investment.
“From there, we’re going to be looking to expand further -- and opportunistically -- our steel capacity in both integrated and EAF (production) worldwide.
“We will also potentially look for downstream opportunities,” he said.
But as for Stelco itself, Kestenbaum said the intent is to re-invest in its steelmaking facility in Nanticoke, Ont., and its finishing operations in Hamilton, Ont.
Speaking to AIST’s Steel News on the sidelines of the conference, Kestenbaum said the facilities, which had been owned by U.S. Steel Corp. since 2007, are in good shape overall. However, he said there is some catch-up capital spending that will need to occur over the next few years.
Afterward, he said, he envisions undertaking projects that will enable the facilities to recover value from heat and emissions, such as he such as through energy recovery and carbon dioxide capture-and-resell.
