RG Steel Completes Purchase of Three Severstal Mills

RG Steel LLC, an affiliate of The Renco Group Inc., has completed the stock purchase of three U.S. assets from Severstal US Holdings LLC. With the completion of the purchase, RG Steel has 7.5 million tons of annualized steel capacity, making RG Steel the fourth-largest flat-rolled steel company in the United States.

RG Steel’s purchases consist of integrated steel plants in Sparrows Point, Md.; Warren, Ohio; and Wheeling, W.V. Additionally, RG’s acquisition includes finishing facilities in Yorkville and Martins Ferry, Ohio, and the Wheeling Corrugating Co., located in Wheeling, W.V. In addition, RG Steel owns 50 percent of Mountain State Carbon LLC, a cokemaking facility in Follansbee, W.Va., and Ohio Coatings Co., Yorkville, Ohio.

In a release, John Goodwin, RG Steel’s president and CEO, says, “Our plan for RG Steel is to become the leader in the manufacture and supply of flat-rolled steel and to provide exceptional customer service. We have the facilities, we have the capital, we have the talent and we have the will to succeed. Our plants and our products are well known in our markets, and we will capitalize on our strengths to become the leading producer of flat-rolled steel in the United States.”

Goodwin continues, “Preparations are underway to restart the primary operations via the hot strip mill at our Sparrows Point, Md., plant. Employees are being recalled to that facility as we plan for a safe and orderly resumption of operations. We anticipate that the blast furnace at Sparrows Point will become operational in May.”