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Cliffs Invests $1B to Modernize Ohio Steel Plant
24 Aug
Summary
- Cleveland-Cliffs will invest $1 billion to upgrade its Ohio facility.
- The U.S. Department of Energy is providing $500 million for the project.
- The investment aims to enhance efficiency and protect 2,300 jobs.
Cleveland-Cliffs Inc. has committed $1 billion to modernize its Middletown Works facility in Ohio. This initiative is bolstered by a $500 million award from the U.S. Department of Energy, with both parties contributing an equal share to the project. The funds will be deployed over the next four years, ensuring continuous steel production at the site.
The modernization project rescopes a previous decarbonization plan, as customers were unwilling to pay a premium for lower-carbon steel. Instead, the focus is on enhancing the existing blast furnace's efficiency and productivity. Key upgrades include rebuilding the blast furnace, installing advanced material handling, and implementing AI-driven process controls.
This investment is set to begin soon, with the blast furnace rebuild targeted for completion by the first quarter of 2030. The project is vital for safeguarding about 2,300 jobs and will support over 1,500 construction workers. Middletown Works is a critical supplier of automotive-grade steel, serving various industries and reinforcing the domestic steel supply chain.
