China’s Anshan Iron & Steel Group Corporation (Ansteel) Mississippi based Steel Development Company have signed a JV operating agreement on 15th Sept’10 along with partners from the United States, Italy, Japan, Germany and Canada. According to it Ansteel and its JV partners plan to build a technologically advanced and environmental friendly steel mill in US that will produce reinforcing bar and other products. Under the JV operation agreement signed, Anshan Iron & Steel Group Corporation (Ansteel) will take 14% stake in the venture based at Amory in Mississippi. Ansteel will also become a member of Steel Development’s Board of Directors and will supply certain components of Steel Development’s technology and equipment package.
Steel Development (SDCO) is a US-based steel company led by Mr. John Correnti as Chairman and CEO and a highly experienced management team that has been involved with building and operating many of the most successful and profitable steel mills around the world during the last 25 years. This deal is considered as an important step in Ansteel's goal of maintaining its position among the world leaders in iron and steel production technology and environmental protection. US lawmakers had attempted to block the deal marking China's first investment in America's steel production industry. 52 US congressmen wrote a letter to US Treasury Secretary Mr. Timothy Geithner in August requesting Washington investigate the deal claiming the proposed JV would threaten American jobs and national security. It may be recalled that Sino US relations have been strained this year over a range of economic and trade issues, including the value of the Chinese currency and Google's spat with Beijing over censorship. But as told by Mr. John Correnti that the deal has got support from the US government and the joint venture will increase job opportunities and local tax revenue. The project would create 1,000 construction jobs and employ 150 workers when production started.
A consortium of technology providers, including Danieli, Tenova Core, Ansteel and Marubeni Corporation, is providing the technology for the Amory mill. Quad Engineering Inc. is the lead engineer for the Amory mill. The technology has been designed to maximize production yields, reduce the operating costs and energy needs while allowing for continuous 24 hours operation in a day. For this the Amory mill is considered to be one of the world leaders in terms of Bar Production Technology.
(Further according a latest report from Anshan Iron and Steel Group Corporation it has shipped first batch of 5,060 tons of Australian Standard 65 KG heavy rails with specified length of 25 meters to Australia and is due to ship the second batch of 4,940 tons in late November. This is Angang Group's first multitudinous export of heavy rails to developed country).(Source: STI)