NEW YORK U.S. Steel Corp. is considering a
direct-reduced iron (DRI) joint venture with Republic Steel in
We are...working with Republic Steel on a joint study for
a potential DRI joint venture that would be located at Lorain
and primarily feed the new (electric arc
furnace) that they are constructing there. Phase one of
the study was completed last year and were well into the
second phase of the study where the project will be defined to
the extent required for final decisions by the potential
partners, U.S. Steel chairman and chief executive officer
John P. Surma said during the steelmakers first-quarter
earnings call April 30.
The project could afford us the opportunity to leverage
the rounds supply agreement, abundant and competitively priced
natural gas, and potentially our iron ore assets to provide a
very attractive cost structure for our tubular operations at
Lorain, Surma said.
U.S. Steel recently signed an agreement with Republic for the
supply of steel rounds to its tubular facilities from January
amm.com, April 29), which will largely
supplant commercially purchased rounds that weve been
purchasing from a number of sources, Surma said.