The
Stel Salaried Pensioners Organization wishes to thank The Hamilton Spectator
for permission to post the following article by Reporter Tara Perkins published
in the July 22, 2004 edition
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Jul. 22, 2004. 01:04 AM |
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Stelco expects to sell off land,
site |
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By Tara Perkins |
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Stelco is looking to sell the land and equipment from its rod mill. President and CEO Courtney Pratt doesn't expect anyone will want to buy the facility as a whole and keep it operating. "Given what we've done, it's hard to imagine," Pratt said. "We'd foresee the land and equipment being sold separately." He explained that it hasn't been put on the market yet. He did not know how much Stelco will ask for it. The steelmaker noted in a press release yesterday the land "enjoys direct rail and harbour access." Few steel companies in North America still produce rod. But International Steel Group Inc. -- the United States company transforming the steel industry by buying up bankrupt companies and turning them around -- recently decided to get into the market. "We are excited about entering the rod and wire market, which offers substantial growth opportunities for ISG," president and CEO Rodney Mott said in June when the company announced it had bought a rod mill from Georgetown Steel Co. in Georgetown, S.C., for $18 million US. Later last month, Mott said ISG was on the lookout for more rod plants. And, he added, the company had already taken a peak at Ivaco's rod mill in L'Orignal, Ont., near Ottawa. That mill can produce 900,000 tonnes of wire rod each year. Stelco's rod mill is only expected to churn out 160,000 tonnes in the first eight months of this year. "We have not looked at other (rod mills in Canada) yet," Mott said last month. ISG officials could not be reached for comment yesterday. tperkins@thespec.com 905-526-4620 |