UK’s EVRAZ to invest $480 mln in Pueblo steel mill improvements

UK-based steelmaking and mining company EVRAZ is considering an estimated $480 million in improvements at its Pueblo steel mill to produce longer rails and transform the plant into the most modern rail-rolling facility in North America.

Pueblo City Council is scheduled to review numerous local economic development incentives as part of the project, the incentive package includes a grant of $15 million from the city's half-cent sales tax fund for economic development.

In exchange, EVRAZ would agree to maintain employment at the mill at around 1,000 workers, about the same or slightly larger than its current workforce. Other incentives include property and sales tax breaks. A final decision on the project is expected next year and if, given the green light, construction could begin by the end of next year and be completed in 2021.

Additionally, the state Public Utilities Commission earlier this month approved an agreement between EVRAZ and U.S.-based power supplier Xcel Energy to provide EVRAZ with a fixed low-cost rate for power if a plant expansion goes through.