The P&WV Hi-Line

PWVJer · Joined: 13 Dec 2005 Posts: 946

Anyone else read the PG Business front page, or the WSJ ( Heard off the Street ) pages?

Reaction to news: a new Company (New big Investors group)
purchased the Cold, Shut-down Wheeling Pittsburgh* Rolling Mill.

Organized as "Acero Junction " A Frontier Investment Group.
To begin receiving Slabs sometime next month. Plans to
initially to employ 170 to roll slabs into sheet-metal.

Are both Domestic and some Import Slabs in the mix-plan???
Will the High & Dry Line again see some additional W&LE Slab/Coil Traffic??

Yet another sign ????of the " Trump-Bump " American Business First!
Both U.S. Steel Makers and United Steel Workers have an " Environment
of Positive Optimism ".....

jayrod · Joined: 19 Oct 2007 Posts: 494 Location: Akron, OH

Not to be political or anything, it ain't no "Trump Bump". This purchase has been in negotiation I'd guess at least a year, probably longer. Incorporation papers were filed with the State of Ohio in July, 2016 which means that it was all but a done deal by then.

Part of the purchase included the electric arc furnace (which was new in 2004) so they may be planning to make steel from scrap. Makes sense since scrap prices have been in the toilet for quite a while (that, I can vouch for). They were planning to start bringing workers in last September to get the plant ready to go. Don't know if they did or if that was delayed. That will take a while since the plant has been idle for maybe seven years. All told, they're looking at hiring about 170 workers once they're up and running.

So, I'd vote for mostly gons of scrap and some pig iron instead of slab steel. Who knows, maybe all three?
_________________
Eric Schlentner
Aka, jayrod

PWVJer · Joined: 13 Dec 2005 Posts: 946

HMmm... did not know much about these advance plans,
or the Furnace Purchase deal. Nice hopeful-out-look for some
of the good folks in the Mingo Jct. area.

WLE traffic, possible increase in Scrap, Slabs & Coil.
guess some competitive traffic-rates and time (Jan.2017) will soon tell.....
The CWR project(s) on the C'ville end looks positive as well.

Rich_S · Joined: 23 Aug 2011 Posts: 253 Location: Baden, PA

Here are a couple of local news stories on the subject.

http://www.theintelligencer.net/news/top-headlines/2016/12/former-rg%E2%80%88steel-plant-in-mingo-junction-gets-a-new-owner/

http://wtov9.com/news/local/former-rg-steel-facility-sold

My hopes are this new operation takes hold and is able to grow, but only time will tell.
_________________
Regards,
Rich S.