TATA STEEL said it will replace an old mill at its Corby site in Northamptonshire to improve the efficiency of steel processing and bring down carbon emission levels.
There are four mills at the site and the new facility will replace one of the two cold mills.
The Mumbai-headquartered steel major said it is investing “tens of millions” on the new mill, without specifying the spending on the project.
It, however, said the construction of the new mill is part of a wider £30 million transformation programme undertaken at Corby.
The company’s chief commercial officer Anil Jhanji said the current cold mill continues to function while the new one is built.
He said, “the new mill will also allow us to explore additional market opportunities while still serving our current customers.”
Expected to be completed by the end of next year, the new mill will roll steel into tubes that can be used in construction and various engineering applications – from farm machinery to bridges and heavy goods vehicles.
It will produce cold-formed structural tubes in both round and rectangular sections which are used in construction and engineering industries.
The mill can produce around 300,000 tons of an enhanced product offering to service these industries, according to Nigel Chudley who is leading the project.
Tata Steel, one of Europe’s leading steel producers, has taken several measures in the UK to bring down carbon emissions and improve efficiency.
These involved upgrading its infrastructure and using bacteria technology to convert emissions into stock materials.