Nucor Selects West Virginia as Location for New, State-Of-The-Art Sheet Mill
Nucor Corporation (NYSE: NUE) has announced plans to construct a new sheet mill in Mason County, West Virginia, expected to cost approximately $2.7 billion. This facility will enhance Nucor's ability to serve key markets, producing three million tons of steel annually with advanced capabilities, including a 76-inch tandem cold mill and galvanizing lines. The project is anticipated to create around 800 jobs and is set to have a lower carbon footprint than competitors. Construction is projected to take two years, pending regulatory approvals.
- New sheet mill investment of $2.7 billion will create approximately 800 full-time jobs.
- The facility will produce 3 million tons of steel annually, enhancing Nucor's market reach.
- Advanced capabilities including a 76-inch tandem cold mill and two galvanizing lines.
- Lower carbon footprint positioning Nucor as a leader in clean steel production.
- Construction duration of two years pending permit and regulatory approvals may delay operations.
- Vulnerabilities to competitive pressures, including import challenges and raw material costs.
CHARLOTTE, N.C., Jan. 12, 2022 /PRNewswire/ -- Nucor Corporation (NYSE: NUE) announced today that it will build its new state-of-the-art sheet mill in Mason County, West Virginia. The West Virginia location on the Ohio River provides Nucor with important transportation and logistics advantages, and a strengthened ability to serve customers in the Midwest and Northeast, the two largest sheet consuming regions in the U.S. When fully operational, the new mill will employ approximately 800 full-time teammates.
"Following a thorough process to determine the right location for our state-of-the-art, greenfield sheet mill, we are thrilled to make this significant investment in West Virginia and enhance our presence in this important region," said Leon Topalian, President and Chief Executive Officer of Nucor Corporation. "Our new sheet mill in Mason County will have unmatched capabilities that will enable the continued expansion of high-quality, low carbon steels, building on our industry-leading offerings. We are pleased to create hundreds of new, high-paying jobs, and position West Virginia as a leader in clean steel production. We are also excited to create substantial long-term value for investors through this high-return investment, which will help drive Nucor's continued growth."
As previously announced, the new sheet mill is expected to cost approximately
Construction is expected to take two years pending permit and regulatory approvals. Additional sites in Northern West Virginia are also under consideration for a transload and processing facility.
"We thank Governor Jim Justice, Secretary Mitch Carmichael and the West Virginia Department of Economic Development, Speaker of the House of Delegates Roger Hanshaw, Senate President Craig Blair, and local officials in Mason County for their partnership and support of this project," said John Farris, Vice President & General Manager of Nucor Steel West Virginia. "We look forward to breaking ground in Mason County and partnering with colleges and universities on workforce development programs, supporting veterans' organizations and local food pantries, and working with opioid recovery programs that will provide meaningful pathways to jobs."
About Nucor
Nucor and its affiliates are manufacturers of steel and steel products, with operating facilities in the United States, Canada and Mexico. Products produced include: carbon and alloy steel -- in bars, beams, sheet and plate; hollow structural section tubing; electrical conduit; steel racking; steel piling; steel joists and joist girders; steel deck; fabricated concrete reinforcing steel; cold finished steel; precision castings; steel fasteners; metal building systems; insulated metal panels; steel grating; and wire and wire mesh. Nucor, through The David J. Joseph Company, also brokers ferrous and nonferrous metals, pig iron and hot briquetted iron / direct reduced iron; supplies ferro-alloys; and processes ferrous and nonferrous scrap. Nucor is North America's largest recycler.
Forward-Looking Statements
Certain statements contained in this news release are "forward-looking statements" that involve risks and uncertainties. The words "anticipate," "believe," "expect," "intend," "project," "may," "will," "should," "could" and similar expressions are intended to identify those forward-looking statements. These forward-looking statements reflect the Company's best judgment based on current information, and, although we base these statements on circumstances that we believe to be reasonable when made, there can be no assurance that future events will not affect the accuracy of such forward-looking information. As such, the forward-looking statements are not guarantees of future performance, and actual results may vary materially from the projected results and expectations discussed in this news release. 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 pressure from imports and substitute materials; (2) U.S. and foreign trade policies affecting steel imports or exports; (3) the sensitivity of the results of our operations to prevailing market steel prices and changes in the supply and cost of raw materials, including pig iron, iron ore and scrap steel; (4) the availability and cost of electricity and natural gas, which could negatively affect our cost of steel production or result in a delay or cancellation of existing or future drilling within our natural gas drilling programs; (5) critical equipment failures and business interruptions; (6) market demand for steel products, which, in the case of many of our products, is driven by the level of nonresidential construction activity in the United States; (7) impairment in the recorded value of inventory, equity investments, fixed assets, goodwill or other long-lived assets; (8) uncertainties surrounding the global economy, including excess world capacity for steel production; (9) fluctuations in currency conversion rates; (10) significant changes in laws or government regulations affecting environmental compliance, including legislation and regulations that result in greater regulation of greenhouse gas emissions that could increase our energy costs, capital expenditures and operating costs or cause one or more of our permits to be revoked or make it more difficult to obtain permit modifications; (11) the cyclical nature of the steel industry; (12) capital investments and their impact on our performance; (13) our safety performance; and (14) the impact of the COVID-19 pandemic and any variants of the virus. These and other factors are discussed in Nucor's regulatory filings with the Securities and Exchange Commission, including those in "Item 1A. Risk Factors" of Nucor's Annual Report on Form 10-K for the year ended December 31, 2020. 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, except as may be required by applicable law.
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SOURCE Nucor Corporation
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