Steel Dynamics, Inc. (SDI), a major US-based steel producers and metals recyclers, has signed a long-term agreement (LTA) on July 7 with Air Liquide, one of the world’s largest industrial gas suppliers, for the supply of gaseous oxygen, nitrogen, and argon to SDI’s new electric arc furnace (EAF) in Sinton, Texas, USA.

 

Under the terms of this agreement, Air Liquide plans to invest more than $100mn to install an Air Separation Unit (ASU) on its Gulf Coast pipeline network in Ingleside, Texas, USA, and create a 45km extension from its Gulf Coast Pipeline System to SDI’s site.

 

The planned pipeline will supply, what SDI has marketed, a $1.9bn “next-generation” 3mn tons per annum EAF flat roll steel mill, which has the capability of producing “advanced” high strength steel grades from its 550k tons galvanizing line and 250k tons paint line.

 

The “state-of-the art, energy efficient” ASU will have the capacity to produce over 770 tons of oxygen per day, as well as nitrogen and argon, to supply SDI’s greenfield flat rolled products steel mill, scheduled to start up in mid-2021.  

 

SDI recorded steel shipments of 10.9mn tons in full year 2019, split 71pc towards flat rolled steel and 29pc to long products, while the company registered 4.7mn gross tons of ferrous scrap shipments over the same period, according to the company’s latest investor presentation.

 

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