U.S. Steel to restart Lone Star jobs
More activity will soon be seen at United States Steel’s Lone Star plant after the company announced they would be restarting the No. 1 Electric-Weld Pipe Mill.
In an announcement on Feb. 4, the company announced it will restart the No. 1 Electric-Weld Pipe Mill at Lone Star Tubular Operations in Lone Star. The No. 1 Mill was permanently idled in 2016 due to challenging market conditions for tubular products created by fluctuating oil prices, reduced rig counts and high levels of unfairly traded imports.
The Lone Star No. 1 Mill will provide full-body normalized electric-welded pipe in size ranges 7-inch to 16-inch outside diameter for customers across the United States, including the very active Permian Basin.
“We are encouraged by an improvement in market conditions and an increased customer demand for tubular products that are mined, melted and made in America,” said President and Chief Executive Officer David B. Burritt.
“We continue to evaluate all options to align our manufacturing capacity with the growing energy market. Restarting the Lone Star No. 1 Mill will give our customers access to the high-quality electric-welded pipe they expect from U. S. Steel,” said Senior Vice President – Industrial, Service Center and Mining Solutions and Interim Head - Tubular Douglas R. Matthews.
The Lone Star No. 1 Mill has an annual capacity of approximately 400,000 tons. U. S. Steel anticipates hiring 140 new employees. The restart process will begin immediately and will be completed in early third quarter 2019. Restart costs are not expected to be material.