A global manufacturer of technically advanced specialty materials and complex components recently signed an agreement with a leading steel company to provide carbon steel hot-rolling conversion services.
Allegheny Technologies Incorporated will perform these services for NLMK USA at its world-class Hot-Rolling and Processing Facility, or HRPF, in Brackenridge, Pennsylvania. Slab shipments to ATI will begin immediately and increase to anticipated production levels in the first quarter of 2019. This agreement covers conversion services through December 2019.
“We are pleased to announce this agreement with an innovative partner like NLMK USA. They truly understand the value proposition provided by our HRPF and the benefits that it can bring to their end customers,” said Bob Wetherbee, ATI’s CEO-Designate and current Executive Vice President, Flat-Rolled Products Group. “This agreement provides ATI with guaranteed fee-per-ton volumes and significantly increases the asset utilization at our world-class HRPF. This incremental volume benefits all HRPF-produced products. We look forward to working with NLMK on additional growth opportunities.”
“NLMK USA is pleased to enter into this agreement with ATI. It expands our ability to supply the high-quality materials that US manufacturers demand. Due to its immense power and unique capabilities, ATI’s HRPF enables us to increase the breadth of our product portfolio to better complement the products produced at our Sharon, Pennsylvania, and Portage, Indiana, facilities,” stated Bob Miller, Chief Executive Officer, NLMK USA. “We were attracted to the HRPF’s capabilities and its close proximity to many of our strategic customers. ATI and NLMK were able to structure a win-win agreement that will ultimately benefit NLMK’s end customers by providing high-quality and distinctive carbon flat-rolled products at competitive prices.”
