Roof collapse pushes back facility startup to the end of the year.
The roof of a storage dome at Nucor Steel Louisiana’s new direct reduced iron (DRI) collapsed, resulting in the company pushing back startup of the facility until the end of 2013. The company, based in Convent, La., originally had scheduled to open the $750 million facility by early October. Nucor Steel Louisiana says no injuries and no environmental impact resulted from the collapse.
The storage dome is one of three on the company’s site.
DRI is a raw material used in steelmaking that is produced by using natural gas to convert iron ore pellets into DRI. For the scrap metal industry, the introduction of DRI can be seen as a competitive raw material that could further reduce the demand for ferrous scrap by some steel mills.
Once in full operation, the DRI plant is anticipated to produce 2.5 million tons of DRI per year, making it the largest DRI plant in the world and the first one operating in the United States in several years.