Commercial Metals Co., Irving, Texas, will produce its third micro mill with a production capacity of 150,000 tons. The mill will be the first to produce merchant bar quality, the company claims. The new facility will replace higher cost rebar capacity and allow CMC to more efficiently meet West Coast demand for rebar and MBQ products.
The new mill will be located in Mesa, Ariz., pending final regulatory permits. The mill’s estimated price tag is $300 million. It is expected to be commissioned in early 2023.
"We are excited by the tremendous promise of CMC's third micro mill. This is a smart growth initiative that feeds the large underlying West Coast demand for rebar and merchant bar, replacing inefficient existing rebar capacity with environmentally friendly technology. Offering bottom line growth and significant environmental benefits, this project is a win for our customers, employees, the local community, and shareholders,” said Barbara R. Smith, president, CEO, and chairman of CMC.
Locating the mill adjacent to CMC's current Mesa, Ariz. facility will enable the company to leverage its existing infrastructure and the significant micro mill expertise of its engineering and operating personnel, executives claim.
"Representing another first in North America, this new micro mill, which we are calling Triple M, will employ the latest technology in EAF power supply systems provided by Danieli, our equipment provider. Among the many advantages, we selected Danieli's 'Q-One' technology because it allows us to directly connect the Electric Arc Furnace and Ladle Furnace to renewable energy sources such as solar and wind, and we intend to construct a solar array on our plant site to provide a meaningful portion of the facility's power,” said Tracy Porter, executive vice president and COO. “With this new advanced technology, coupled with the continuous steelmaking process, we will be one of the most efficient steel producers in the world.”