Nucor to expand Kentucky mill’s capacity

Charlotte, North Carolina-based Nucor Corp. says its board of directors has approved an investment of $650 million to expand steelmaking capacity at Nucor Steel Gallatin, the firm’s flat-rolled sheet steel mill in Ghent, Kentucky. The planned expansion will increase output capability from 1.6 million tons to approximately 3 million tons annually.

A 2017 recycled-content document prepared by Nucor in May 2018 indicates the Nucor Gallatin mill consumed ferrous scrap as 66.9 percent of its feedstock last year.

“This investment is another major component of our planned strategy for long-term profitable growth,” says John Ferriola, chair, CEO and president of Nucor. “Together with the new galvanizing line, this expansion increases our presence in the important Midwest market, specifically in the automotive, agriculture, heavy equipment and energy pipe and tube sectors.”

Nucor acquired the former Gallatin Steel Co. in late 2014 for approximately $780 million.

“We would like to thank Gov. Matt Bevin, our local officials, East Kentucky Power Cooperative and Owen Electric, our teammates and the entire community for their support,” comments John Farris, vice president and general manager of Nucor Steel Gallatin. “The project will allow us to better serve our automotive and value-added customers.”

This expansion will increase the maximum coil width at the mill to approximately 73 inches. Nucor says the project also complements a $176 million investment currently underway to construct a hot band continuous pickle galvanizing line at Nucor Steel Gallatin. The pickle galvanizing line is expected to be operational in the first half of 2019 and will produce approximately 500,000 tons per year of galvanized hot band steel, according to the company.