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1-11-2012 News
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Gerdau Expands Monroe SBQ Facility
 
Gerdau Special Steel North America has launched the second phase of its investment in Monroe, Mich. Gerdau will spend an additional $67 million to expand and modernize the rolling mill at the SBQ facility.

This round of investment will include installation of new equipment and major upgrades of existing rolling mill facilities. Gerdau plans to add a new walking beam reheat furnace and four additional rolling mill stands. The existing rolling mill facilities also will undergo improvements to control systems, bundling and packaging systems, bar cooling beds and thermal mechanical cooling systems. The capital project will be completed by the second half of 2013. 

The investment follows a 2010 allotment for Monroe, which also totaled $67 million, to upgrade and expand facilities including a new caster and vacuum degasser. This project is part of Gerdau's plan to bring Monroe's production capacity to more than 800,000 tons per year.

This Monroe capital expenditure is part of an overall investment plan announced in May 2011 and designed to increase the installed capacity of Gerdau's special steel mills located in Monroe, Mich.; Fort Smith, Ark.; Jackson, Mich. and St. Paul, Minn. Gerdau is also currently conducting a study to determine the potential market readiness for an entirely new SBQ production facility somewhere in North America.

"In addition to increasing the overall capacity of the facility, this round of investment will offer Gerdau's customers improved bar surface quality, increased reduction ratio, better bundling and packaging, and improved decarburization control. This expansion and modernization will position our mill to meet the growing demands of our customers and contributes to the continued development of the Monroe community,” says Jack Finlayson, president, Gerdau Special Steel North America.

  
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