Nucor Corp. now confirms it will build a galvanizing line to be served by its Decatur, AL, sheet mill. News of such a project first emerged late in 2005, but was denied by Nucor at that time. The 72-in. wide operation will be Nucor’s fourth galvanizing line, with an annual capacity of about 500,000 tons.The electric steelmaker projects the cost of the new operation to be about $150 million. Nucor gave no timetable for the project, but said construction will begin “after satisfactory resolution of site location, regulatory approvals, tax matters and various contracts.”
“This is an opportunity to expand our galvanizing operations in the Southeast, matching the tremendous growth in that part of the country for sheet steel products,” Nucor chairman Dan DiMicco stated.
Nucor Steel Decatur LLC is an operation acquired by Nucor Steel in 2001. It had been built in the late 1990s and started up as Trico Steel, but failed to achieve its performance or financial objectives. It went bankrupt in 2000, but after purchasing the assets and retooling the production equipment Nucor restarted the plant in 2002.
In 2004 Nucor acquired an adjacent cold-rolling mill built originally by Hanna Steel.
Exec. v.p. John Ferriola stated, “The cold mill has been a successful investment and a new galvanizing line is an obvious next step at our Decatur operations. The automotive market in the Southeast continues to grow and we are positioning ourselves to further service that market as well as other value-added markets.”