Voestalpine Mulls Building $1 Billion Steel Plant in US – Report – Fox Business

Austrian steel company Voestalpine AG (VOE.VI) is considering the construction of a $1 billion steel plant in a coastal city in the south of the U.S., Austrian magazine “trend” reports Sunday without citing sources.

The new plant, were it to be built, would transform iron ore into high quality steel concentrate by using natural gas, the magazine says in a pre-released report. The new method helps to reduce energy costs and carbon emissions, “trend” says.

A spokesman for Voestalpine declined to comment Sunday.

German steelmaker ThyssenKrupp (TKA.XE), in contrast, is trying to dispose of its steel plants in Alabama and Brazil after the costs for building the mills mushroomed, leading to hefty write-offs and a EUR4.7 billion net loss for the group in the fiscal year ending Sept. 30.

Write to Eyk Henning at [email protected]

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