Replacement of reheating furnaces at Quebec steel production facilities costs a pretty penny
January 26, 2018 | By MRO Magazine
Wire rod is produced at the ArcelorMittal wire rod mill in Contrecoeur, Quebec. This wire is intended for many applications such as cold heading or welding products. 
Wire rod is produced at the ArcelorMittal wire rod mill in Contrecoeur, Quebec. This wire is intended for many applications such as cold heading or welding products.
Contrecoeur, QC – ArcelorMittal Long Products Canada announces major investments of nearly $70 million by 2020 in its Contrecoeur, Quebec steel production facilities. These sums will enable the company to maintain its leading position in steel in North America, with a focus on product quality through more modern plants and a reduced environmental footprint.
- ArcelorMittal will replace two reheating furnaces at its Contrecoeur-East wire rod mill (approx. $30 million) and its Contrecoeur-West bar mill (approx. CAD$33 million). These new furnaces, which aim to increase the company’s rolling capacity by 100,000 tonnes, will enable greater productivity, optimal energy use and reduced greenhouse gas emissions. The work should extend until the first half of 2020.
- At the same time, ArcelorMittal will also be replacing the dust collector at the Contrecoeur-West steelworks by the end of 2018 to improve its performance and increase health and safety for the benefit of our workers and our communities. This work will cost approximately $6 million.
The investments were made possible in part by the Québec government’s electricity rebate program for L-rate customers, announced by the Government of Quebec in the 2016-2017 Budget. This electricity rebate is intended for companies engaging in major investment projects in the manufacturing sector as well as in the transformation of natural resources. The ArcelorMittal investment project rebate is currently estimated at $25 million until 2020.
In addition to these new announcements, ArcelorMittal Long Products Canada has invested $27 million for a new finishing line at its Longueuil mill, a project which was completed in June 2017. Past and future work requires support from many suppliers and subcontractors, mostly from local nearby communities, which adds to the economic benefits of projects.
François Perras, Chief Executive Officer, ArcelorMittal Long Products Canada, commented: “We are renewing ArcelorMittal’s commitment to Quebec. Our choice to invest in the acquisition of high-performance equipment will help us accelerate our move towards high-value-added steel production, particularly for the automotive and construction industries. ArcelorMittal Long Products Canada will also be in a better position to meet its customers’ needs and face international competition. Our workers’ ongoing efforts and government support have been instrumental in this investment decision. With this modernization plan, we will continue to play a major role in our communities by supporting over 1,700 direct jobs and converting our natural resources right here in Quebec.”
