Calstrip Industries will build a new processing facility on the campus of Nucor Steel Arkansas. Construction on the Blytheville facility will begin this quarter.
The initial construction will be 100,000-plus square feet, with two planned expansions that will bring the total facility size to more than 300,000 square feet. The initial phase will involve capital investment of more than $15 million and creation of 45 new jobs.
Located adjacent to Nucor’s new specialty cold-mill complex, Calstrip will operate both slitting and multi-blank cut-to-length lines. The facility design, equipment selection, and information systems will include advanced-generation technology to provide specified storage and processing requirements for Nucor Steel Arkansas and its customers. Additionally, the operation will be positioned to support Calstrip’s traditional medium- and high-volume service center customers.
“Site selection and building design have been completed, and we are communicating with Nucor and our customers on appropriate equipment requirements,” said Ed Camden, COO at Calstrip Industries.
The addition of this new operation will expand Calstrip’s footprint into the Midsouth to enhance existing OEM customer relationships, target new sales opportunities, and support Nucor’s growth in advanced high-strength, high-strength low-alloy, and motor lamination steel products, executives said. The specialty cold-mill complex currently under construction at Nucor Steel Arkansas will have annual capacity of approximately 500,000 tons per year and will significantly broaden Nucor’s capabilities in the automotive market. In addition, the recently announced galvanizing line will bring 500,000 tons per year of new coated capacity by early 2021.
“We are excited to have Calstrip constructing a facility on our site,” said Vice President and General Manager of Nucor Steel Arkansas MaryEmily Slate. “Calstrip provides high-quality service to its customers, and we welcome them to Blytheville.”
Calstrip Industries Inc. operates three facilities spanning the U.S.-Mexico border in Mission, Texas; Santa Teresa, N.M.; and Mira Loma, Calif. Industries served include appliance, electrical lighting, construction, HVAC, and automotive. The addition of the new facility in Arkansas will add further depth to Calstrip’s existing network of metal service centers supporting customers in the border region, northern Mexico, and southern United States, the company said.
“We are very excited with the opportunity to grow our business alongside the new capabilities coming online at Nucor Steel Arkansas,” according to J.P. Nelis, CEO at Calstrip Industries. “The addition of the Arkansas facility will strengthen Calstrip’s commitment to provide steel to our customers with the most competitive value and service, sourced from a cutting-edge producer in Nucor.”