Samuel Manu-Tech sells Nanticoke steel pickling plant to U.S. Steel
Advertisement
Read this article for free:
or
Already have an account? Log in here »
To continue reading, please subscribe:
Monthly Digital Subscription
$0 for the first 4 weeks*
- Enjoy unlimited reading on winnipegfreepress.com
- Read the E-Edition, our digital replica newspaper
- Access News Break, our award-winning app
- Play interactive puzzles
*No charge for 4 weeks then price increases to the regular rate of $19.00 plus GST every four weeks. Offer available to new and qualified returning subscribers only. Cancel any time.
Monthly Digital Subscription
$4.75/week*
- Enjoy unlimited reading on winnipegfreepress.com
- Read the E-Edition, our digital replica newspaper
- Access News Break, our award-winning app
- Play interactive puzzles
*Billed as $19 plus GST every four weeks. Cancel any time.
To continue reading, please subscribe:
Add Free Press access to your Brandon Sun subscription for only an additional
$1 for the first 4 weeks*
*Your next subscription payment will increase by $1.00 and you will be charged $16.99 plus GST for four weeks. After four weeks, your payment will increase to $23.99 plus GST every four weeks.
Read unlimited articles for free today:
or
Already have an account? Log in here »
Hey there, time traveller!
This article was published 30/07/2008 (6334 days ago), so information in it may no longer be current.
TORONTO – Samuel Manu-Tech Inc. (SMT:TSX) is selling its Nanticoke, Ont., steel pickling operation to its major customer, U.S. Steel Canada.
The terms of the letter of intent were not disclosed Wednesday. The three pickle lines – which use strong acid to remove impurities, stains or rust from hot-rolled steel – are adjacent to the Lake Erie steelworks of the Canadian subsidiary of United States Steel Corp. (NYSE:X), which last year took over Stelco Inc.
Samuel Manu-Tech “remains committed to servicing the southern Ontario marketplace through our state-of-the-art steel pickling and slitting operations in Stoney Creek,” stated chairman-CEO Mark Samuel.
“The decision to sell the Nanticoke pickling lines reflects the company’s expectations for reduced steel pickling demand in the Ontario marketplace and the desire to reallocate capital into higher-growth areas.”
The transaction is expected to close in the current quarter, after due diligence and ongoing negotiations.
U.S. Steel said the acquisition of the 1.2 million tonnes of pickling capacity will strengthen its position in flat-rolled steel products for the North American market.
“These assets give U.S. Steel Canada the modern equipment necessary to produce high-quality products that will be in demand well into the future,” stated U.S. Steel Canada president Douglas Matthews.
“In addition, the proximity of these pickle lines to our operations will help to ensure the future competitiveness of both Lake Erie Works and Hamilton Works.”