Big River Steel might host DRI plant

Reports indicate Nippon Steel and U.S. Steel intend to build a direct-reduced iron production plant on the Big River Steel campus in Arkansas.

big river steel factory
A ResponsibleSteel certification announced for Big River Steel last September declared its melt shops use 57 percent recycled content.
Photo courtesy of Big River Steel

The Big River Steel electric arc furnace (EAF) production complex in Arkansas also soon could host a direct-reduced iron (DRI) scrap alternative production facility, according to reports.

MSNBC reported Thursday that Big River parent company United States Steel Corp., part of Japan’s Nippon Steel Corp. (NSC), has prepared an announcement about the DRI investment to be made at Big River’s campus in Osceola, Arkansas.

Citing Talk Business & Politics and U.S. Steel media relations Senior Manager Amanda Malkowski, MSNBC says the latter provided details about the planned project and said the details would be more widely released later.

“Our new direct reduced iron plant at Big River Steel Works in Arkansas will propel our Mini Mill segment toward industry leadership in advanced, sustainable steel production,” Malkowski tells Talk Business & Politics, adding the DRI facility will rely on iron ore pellets from U.S. Steel mines and production facilities in Minnesota for feedstock.

On Wednesday, Pittsburgh-based U.S. Steel released a statement outlining the economic impact of its Gopher State “Iron Range” mining and production investments in Mountain Iron and Keewatin, Minnesota.

Citing an analysis by Philadelphia-based Parker Strategy Group, U.S. Steel says its Minnesota activities generated $2.5 billion in total economic impact, supported more than 6,800 jobs in the state.

“Minnesota’s Iron Range has long been a cornerstone of U. S. Steel’s strength,” U.S. Steel President and CEO David B. Burritt says. “This report reflects our $2.5 billion impact across the state and demonstrates our deep, continued commitment to supporting high-quality jobs, local suppliers and sustainable growth for generations to come.”

In addition to melting mined iron products, Big River’s EAF melt shops serve as a large destination for recycled steel.

A ResponsibleSteel certification announced for Big River Steel last September declared its melt shops use 57 percent recycled content and emit 1.3 tons of carbon for each ton of steel it produces, according to a presenter at an industry conference last year.

As it has expanded in Osceola, Big River and U.S. Steel executives have made previous comments that it could use up to 90 percent scrap as feedstock in Osceola.

A DRI plant at the complex could change those formulations, with steel recyclers among those that could be affected by a prospective shift toward virgin materials in Osceola.