A renewed commitment to Quebec - ArcelorMittal invests $70 million to modernize its Contrecoeur facilities

Highlights

• Close to CAD$70M in investments by 2020
• Replacement of two reheating furnaces
• 100,000 tonnes increase in rolling capacity
• Replacement of dust collector at the Contrecoeur-West steelworks
• 1,700 jobs supported

CONTRECOEUR, QC, Jan. 24, 2018 /CNW Telbec/ - ArcelorMittal Long Products Canada announces major investments of nearly CAD$70 million by 2020 in its Contrecoeur, Quebec steel production facilities. These sums will enable the company to maintain its leading position in steel in North America, with a focus on product quality through more modern plants and a reduced environmental footprint.

• ArcelorMittal will replace two reheating furnaces at its Contrecoeur-East wire rod mill (approx. CAD$30 million) and its Contrecoeur-West bar mill (approx. CAD$33 million). These new furnaces, which aim to increase the company's rolling capacity by 100,000 tonnes, will enable greater productivity, optimal energy use and reduced greenhouse gas emissions. The work should extend until the first half of 2020.
  
  
• At the same time, ArcelorMittal will also be replacing the dust collector at the Contrecoeur-West steelworks by the end of 2018 to improve its performance and increase health and safety for the benefit of our workers and our communities. This work will cost approximately CAD$6 million.

The investments were made possible in part by the Québec government's electricity rebate program for L-rate customers, announced by the Government of Quebec in the 2016-2017 Budget. This electricity rebate is intended for companies engaging in major investment projects in the manufacturing sector as well as in the transformation of natural resources. The ArcelorMittal investment project rebate is currently estimated at CAD$25 million until 2020.

In addition to these new announcements, ArcelorMittal Long Products Canada has invested CAD$27 million for a new finishing line at its Longueuil mill, a project which was completed in June 2017. Past and future work requires support from many suppliers and subcontractors, mostly from local nearby communities, which adds to the economic benefits of projects.

Quotes

"We are renewing ArcelorMittal's commitment to Quebec. Our choice to invest in the acquisition of high-performance equipment will help us accelerate our move towards high-value-added steel production, particularly for the automotive and construction industries. ArcelorMittal Long Products Canada will also be in a better position to meet its customers' needs and face international competition. Our workers' ongoing efforts and government support have been instrumental in this investment decision. With this modernization plan, we will continue to play a major role in our communities by supporting over 1,700 direct jobs and converting our natural resources right here in Quebec."

François Perras, Chief Executive Officer, ArcelorMittal Long Products Canada

"The innovative manufacturing sector is one of the three economic pillars that our government is prioritizing, along with entrepreneurship and exports. We are, therefore, proud to support the initiatives of large businesses established in Québec which, through major investments, are carrying out innovative projects and adopting new technologies in their manufacturing approaches and procedures. Innovation and modernization are synonymous with growth for businesses and are key levers for Québec's prosperity."

Dominique Anglade, Deputy Premier, Minister of Economy, Science and Innovation and Minister responsible for the Digital Strategy

"Québec's stable business environment, recognized expertise in a number of leading-edge sectors and abundant natural resources make it the ideal place to invest. Today's announcement clearly demonstrates ArcelorMittal's interest in expanding its operations in Québec. The confirmation of these strategic investments will bolster and diversify our economy in several of Québec's regions."

Carlos J. Leitão, Minister of Finance

About ArcelorMittal Long Products Canada
ArcelorMittal Long Products Canada's (http://long-canada.arcelormittal.com) mission is to safely manufacture sustainable steel in accordance with its values of health and safety, quality, leadership and sustainability. The company employs about 1,500 people in Contrecoeur, Longueuil and Montreal and about 200 people in Hamilton. It operates a scrap-metal recycling and conversion centre, an iron-ore reduction plant, two steel mills, three rolling mills and two wire-drawing mills. The group has an annual production capacity of over 2 million tons of steel and generates economic spinoffs of more than $1 billion per year.

ArcelorMittal Long Products Canada is part of ArcelorMittal, the world's leading integrated steel and mining company, with a presence in more than 60 countries.

Photo captions:

• Photo 1: An exterior view of ArcelorMittal's wire rod mill in Contrecoeur, Quebec.
• Photo 2: An exterior view of the ArcelorMittal bar mill in Contrecoeur, Québec.
• Photo 3: Wire rod is produced at the ArcelorMittal wire rod mill in Contrecoeur, Quebec. This wire is intended for many applications such as cold heading or welding products.
• Photo 4: ArcelorMittal's Contrecoeur-West complex makes steel designed to supply the automotive and construction industries, among other things.

Photos available for download: http://bit.ly/2DpiJh6

SOURCE ArcelorMittal Long Products Canada

For further information: Louis-Philippe Péloquin, Director of Communications, ArcelorMittal Long Products Canada, [phone] or [e-mail]

Related Links

http://long-canada.arcelormittal.com