United States Steel Corp. is advancing its metallics strategy by insourcing pig-iron capabilities at Gary Works. The approximately $60 million investment will produce up to 500,000 tons of pig iron annually and provide a critical raw-material input for its electric-arc furnaces (EAF). Once complete, the Gary pig-iron production is expected to provide nearly 50% of Big River Steel’s other ore-based metallics needs.
The decision to self-fund pig-iron production rather than contract is expected to further enhance Big River Steel’s cost structure while adding value at Gary Works by driving blast-furnace efficiencies without reducing Gary Works’ raw steel output. Construction is expected to commence in the first half of 2022. Pig-iron production at Gary Works should begin in the first half of 2023.