LIBERTY Steel UK (LSUK) has relaunched production at its Rotherham plant, several months after it shut down for the summer. Operations at LIBERTY’s GREENSTEEL Rotherham electric arc furnace will take place overnight, when energy costs are cheaper.
The Sanjeev Gupta-owned group’s Rotherham plant, which produces sustainably-produced steel for growth markets such as infrastructure and high-value engineering and is among the UK’s most electro-intensive industrial sites, will operate between 11pm and 6am.
LSUK’s speciality steel division in nearby Stocksbridge which produces steel components for demanding aerospace and energy applications, is also restarting focused production campaigns for key customers.
The restart, which LSUK plans to reach 50,000 tonnes per month as soon as possible, follows a £50mn funding injection from LIBERTY Steel’s parent company GFG Alliance, part of GFG’s restructuring and transformation drive following the collapse of its main lender Greensill Capital. The injection sets a stable platform for the full refinancing of LSUK operations.
LSUK plans to expand the Rotherham plant’s long-term capacity, ultimately creating a two million tonnes per annum GREENSTEEL hub with increased employment and new products. Rotherham will supply LSUK’s downstream mills at Thrybergh and Scunthorpe which manufacture products for infrastructure, automotive and other sectors.
LIBERTY Steel UK’s Chief Executive Officer Subhajit Roy Chowdhury said: “As LIBERTY Steel UK ramps up we’re showing our commitment to make South Yorkshire a UK GREENSTEEL hub. LIBERTY is determined to support the Government’s drive towards a net zero economy and to make the decarbonisation of the UK steel industry a reality. We are committed to supporting the UK’s infrastructure growth plan.”
The Rotherham restart comes after Liberty Steel’s parent company, GFG Alliance, struck a £50m debt restructuring deal with Credit Suisse in October 2021.
Source: LIBERTY Steel UK restarts Rotherham plant at night to reduce energy costs
36 readers, 1 today