Nucor Corporation announced today that Nucor-Yamato Steel Company (NYS), a joint venture between Nucor and Yamato Kogyo Co. Ltd, is installing a $75 million Quench and Self-Tempering process to be utilized on its 1.4 million tons of Mill 2 rolling capacity. Nucor Chairman, CEO and President John Ferriola was joined by Arkansas Governor Asa Hutchinson to make the announcement at the Nucor-Yamato Steel mill in Blytheville, Arkansas. The project is expected to be commissioned during the second half of 2016.
Upon completion, the process will give NYS the ability to produce ASTM A913 Grade 65 and Grade 70 structural sections with a high-strength, low-alloy grade chemistry that provides excellent weldability while achieving good toughness at low temperatures.
"This strategic investment will keep Nucor-Yamato Steel the market leader in the wide-flange beam market servicing our customers across the United States," said Ferriola. "The A913 market is a strategic part of the future of our company and will ensure we continue to meet and exceed our customers' needs and requirements. Additionally, this investment will enable Nucor-Yamato, its more than 900 teammates and families, and supply chain to remain a vibrant part of Northeast Arkansas today and well into the future."
Common applications for the material will include gravity columns for use in high-rise buildings, long-span trusses for projects such as convention centers or stadiums, and for all projects where seismic design is a critical factor. The higher strength achieved from A913 will allow lighter foot weights to be specified, which reduces the overall weight and material cost for the owner, making steel even more competitive versus concrete and wood.
"We are excited that Nucor is making this significant investment here in Arkansas," said Governor Hutchinson. "Nucor has been an important part of Arkansas's economy for almost three decades and this investment shows their continued commitment to our state."
Nucor and affiliates are manufacturers of steel products, with operating facilities primarily in the U.S. and Canada. Products produced include: carbon and alloy steel -- in bars, beams, sheet and plate; steel piling; steel joists and joist girders; steel deck; fabricated concrete reinforcing steel; cold finished steel; steel fasteners; metals building systems; steel grating and expanded metal; and wire and wire mesh. Nucor, through The David J. Joseph Company, also brokers ferrous and nonferrous metals, pig iron and HBI/DRI; supplies ferro-alloys; and processes ferrous and nonferrous scrap. Nucor is North America's largest recycler.
Certain statements contained in this news release are "forward-looking statements" that involve risks and uncertainties. The words "believe," "expect," "project," "will," "should," "could" and similar expressions are intended to identify those forward-looking statements. Factors that might cause the Company's actual results to differ materially from those anticipated in forward-looking statements include, but are not limited to: (1) competitive pressure on sales and pricing, including competition from imports and substitute materials; (2) the sensitivity of the results of our operations to prevailing steel prices and the changes in the supply and cost of raw materials, including scrap steel; (3) market demand for steel products; and (4) energy costs and availability. These and other factors are discussed in Nucor's regulatory filings with the Securities and Exchange Commission, including those in Nucor's fiscal 2014 Annual Report on Form 10-K, Item 1A. Risk Factors. The forward-looking statements contained in this news release speak only as of this date, and Nucor does not assume any obligation to update them.