ArcelorMittal to invest $240 mn in Nippon Steel JV

New Delhi, Apr 16: Expanding its joint venture partnership with Nippon Steel Corporation, world's largest steel maker ArcelorMittal today said it will build a new continuous galvanising line (CGL) at New Carlisle, Indiana with an investment of 240 million dollars.

''With about 240 million dollar investment at I/N Kote, this expansion will add a second galvanising line, doubling the production capacity,'' ArcelorMittal US President and CEO Michael Rippey said in a statement. The new CGL will have an annual capacity of 4,80,000 tonnes and, upon completion, will double I/N Kote's galvanised production capacity, the statement added.

Besides, the new line will offer high-grade, high-quality coated sheets which promote improved safety and fuel efficiency in automobiles, it added.
Groundbreaking is expected to take place later this year with completion slated for late 2010. The new CGL will be supplied with cold-rolled coils from ArcelorMittal's Indiana Harbor and Burns Harbor operations as well as ArcelorMittal and Nippon Steel's JV at I/N Tek.

''This will ensure ArcelorMittal and Nippon Steel maintain the leadership position in supplying the North American automotive industry with high quality steels,'' Mr Rippey said.The JV is already working at the I/N Tek and I/N Kote facilities.

The I/N Kote facility is a 50:50 joint venture between ArcelorMittal and Nippon Steel and has a production capacity of 4,50,000 tonnes of hot-dip galvanised and galvannealed sheet and 4,10,000 tonnes of electrogalvanised sheet annually.

UNI