JSW Steel proposes investment of upto US$500 mn to upgrade steel manufacturing unit at Ohio, USAJune 21, 2018
Ohio & Mumbai – June 22, 2018: JSW Steel, India’s leading steel company, has proposed an investment of upto US$ 500 million in acquiring, enhancing & upgrading Acero Junction Inc, an integrated steel manufacturing unit with a potential capacity of 3 MTPA, located at Ohio USA, in phases. This takes JSW’s overall investment blueprint for the US market, to produce American melt and manufactured steel, to up to US$ 1 billion. The proposed investment will be made in two phases at its Ohio steel manufacturing facility.
- In Phase 1,JSW will revamp & restart the electric arc furnace and the slab caster, and modernize the hot strip mill. The proposed investment including the cost of acquisition, is expected to be approximately US$250 million.
- In Phase 2,depending upon the economic viability & prevailing market conditions, JSW will evaluate the possibility of adding another electric arc furnace as well as additional manufacturing equipment at the hot strip mill to make the Ohio facility a fully integrated unit with 3 MTPA capacity. The proposed investment in Phase 2 could be in the range of upto US$250 million, subject to feasibility studies & necessary approvals.
The integrated steel manufacturing unit in Ohio, with a potential capacity of 3 MTPA, was acquired as part of the recently concluded Acero Junction Holdings Inc. deal. A certificate evidencing the proposed investments by JSW Steel was signed by Hon’ble Wilbur Ross, Secretary, US Dept of Commerce and Mr Jayant Acharya, Board Member and Director (Commercial & Marketing), JSW Steel Ltd at SelectUSA Investment Summit held at the National Harbor, Maryland, outside Washington, D.C.