U.S. Steel Corp. (NYSE: X) has detailed plans for $35 million in additional investment to its Gary Works operation. The Pennsylvania-based company recently completed the $23 million first phase of its Hot Strip Mill Restoration Plan at the massive Lake County operation. The latest round of investment was announced Wednesday during its quarterly earnings report presentation and is part of a planned revitalization effort through 2020 totaling around $1.2 billion.
U.S. Steel says the investments in its Gary, Great Lakes Works and Mon Valley Works operations could boost production capabilities from one million tons a year to 10 million tons a year when complete.
The largest new project at Gary Works is valued at approximately $26 million and is focused on reliability improvements to its #6 blast furnace. The next-largest is $6 million and it involves the Casters A Line Turret Bearing at Gary Works. The company is planning to spend $2 million on work to improve efficiency and reduce natural gas usage by its hot strip mill furnace burners and $1 million on a project to boost reliability of its 84-inch Pickle Waste Liquor Line.
All four projects are expected to be complete by year’s end.
U.S. Steel announced a big turnaround in the second quarter. It is reporting a profit of $261 million, compared to a net loss of $46 million during the same period last year and a net loss of $180 million in the first quarter of this year.