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Republic Steel ordered by judge to pay some $4.6 million for trucking services

Republic Steel, which in August announced it would close two of its U.S. plants and move production to Mexico—which is home to its parent company, Grupo Simec—has been ordered to pay trucking company Beemac nearly $2.6 million for failing to pay for trucking services.

Per multiple reports, a federal district judge for the Western District of Pennsylvania has entered final judgment against Republic Steel in August. Beemac, the trucking service provider, had filed a lawsuit in September 2020 claiming Republic Steel failed to pay more than $2.2 million for transportation services it provided.

The amount was in dispute, with Republic Steel claiming it owed only $1.2 million. Beemac received a partial summary judgment in January. In July, a federal jury returned the verdict against Republic Steel. It awarded nearly $2.5 million in favor of Beemac Inc., doing business as Beemac Trucking, and nearly $2 million for Deemac Services, both of Ambridge, Pennsylvania. Those findings were upheld by U.S. District Court Judge William S. Stickman IV in August.

Last modified on October 4, 2023

The below piece ran in the Asia Focus section of WJI's October issue

The search for a room-temperature superconductive material has long been pursued, but so far it has remained a scientific theory. There is widespread interest in recent claims from South Korean researchers who believe that LK-99 could be for real. While further assessment of K-99 may well show that it is not “for real,” that possibility is hard to ignore.

Word that a new superconductor—LK-99—can work at room temperatures or higher, and at ambient pressure, recently fueled an online frenzy that led to much discussion as to whether it could for real. By press time, the story that broke in July and was abuzz in early August may not just be yesterday’s news, but yesterday’s news refuted, as there are many questions about the concept from Sukbae Lee and Ji-Hoon Kim, and colleagues, of South Korea’s Quantum Energy Research Centre.

Per Wikipedia, LK-99 is a potential room-temperature superconductor with a gray-black appearance that is said to have a hexagonal structure that is slightly modified from lead‒apatite by adding small amounts of copper. In 1999, a Korea University team led by Lee and Kim claimed that the material acts as a superconductor at temperatures below 400 K (127°C/260°F) and at ambient pressure. Not much happened until recently, when a July 22 technical paper by Lee and Kim (their names led to the LK-99 tag) jolted the technical field as they implied that room-temperature capability may be possible.

On Aug. 4, 2023, a report sent to SBS News said that high-quality LK-99 samples may exhibit diamagnetism 5,450 times greater than graphite, while low-quality samples may demonstrate an effect up to 23 times stronger. The only way that could be, the report said, is if the substance is a superconductor.

A recent story in BusinessKorea said that the Korean Superconductivity Society recently established a committee of experts to verify LK-99, a room-temperature superconductor developed by Korean researchers affiliated with the Quantum Energy Research Center (QERC) among others. The society said it plans to provide samples produced by the QERC for testing.

While LK-99 would be a stunning advance if it was found to be scientifically verified, several wire and cable manufacturers have been working on them, albeit with technology that does not work at room temperatures.

In 2021, South Korea’s LS Cable & System developed a next-generation 23 kV triaxial superconducting cable and obtained an IEC on the product. Currently, only three companies in the world can make superconducting cables, and LS Cable & System notes that it is the only one that established an international standard for a triaxial superconducting cable.
WJI asked LS Cable & System whether it was involved in any way with the research into LK-99, and got the following reply. “The superconducting cable commercialized by LS Cable & System is a product with a different technology from LK-99, which has recently become an issue.”

That response did not state that South Korea’s LS Cable & System was not interested in the potential of LK-99, only that at this point it is not part of the current activity.

LK-99 technology is worth pursuing as multiple reports note that its hoped-for potential would be an amazing advance. It has been likened to the search for the Holy Grail, yet it also evokes decades-old memories of claims of “cold fusion” for nuclear energy that never materialized. And yes, there are skeptics for LK-99.

To date, there has been no scientific validation of LK-99, although there was one report of observed superconductivity at 110 K by a team from Southeast University, China. However, the absence of the Meissner effect (a defining characteristic of superconductors) was questioned as well as the testing method.

There has been considerable response, most doubting the accuracy of the claims. An article published by Time said that on July 31, researchers from the National Physical Laboratory of India uploaded a paper that found that LK-99 is not superconductive. Veerpal Singh Awana, chief scientist at the National Physical Laboratory, posted details online outlining his group’s unsuccessful efforts to replicate the findings. Also, researchers from Beihang University in Beijing uploaded a paper on July 31 that found that LK-99 is not superconductive.
Other warning flags were that there was no heat anomaly test and no definition of “zero resistance.”

An editorial in The Hindu was blunt. “For another claim this year, of a material that reportedly superconducts near room temperature and under much less pressure than others of its kind, its originators shared instructions to synthesize it but refused to share samples, claiming they constituted intellectual property. While this may be, their refusal vitiated the proper process of science in the face of such an extraordinary claim.”

Another on-line article, in the Korean Joongang Daily, said that a researcher from the Korea Institute of Energy Technology (Kentech) “confirmed that the crystal structure of LK-99 is in line with what has been suggested in manuscripts put forward by the Korean scientists, according to local media reports.” At the same time, it noted that The Korean Society of Superconductivity and Cryogenics looking into the claims believes that “based on the studies and footage, the material appearing in the research and the footage cannot be considered as a room-temperature, ambient-pressure superconductor.”

But for now, LK-99 is front and center, and multiple Korean researchers are assessing the technology. If it is deemed feasible, more than one wire and cable manufacturer would be very, very interested.

Last modified on September 7, 2023

Mexico’s Grupo Simec, which acquired Republic Steel in 2005, announced that it plans to indefinitely idle its operations in Canton, Ohio, and Lackawanna, New York, and move that production to a newer plant in Mexico.

Per multiple reports, Grupo Simec said that it plans to idle steelmaking operations at the two mills. Production will shift to the company’s modern plant in Tlaxcala, Mexico. The changes will result in some 500 employees being “furloughed indefinitely.” That includes 322 positions in Canton and 178 in Lackawanna.

In a statement, James Vigil, a Republic Steel board member and executive advisor, said that Grupo Simec had considered all potential options before making its ultimate decision. “We’re facing an extremely challenging SBQ (special bar quality steel) market in the U.S., with competitive market pricing and decreased demand. At the same time, we’ve had to deal with increasing input costs on all raw materials, consumables, and labor, all as a result of the inflationary environment in the U.S. over the past year.”

A key problem was complying with environmental requirements, Vigil explained. The company took many steps over the past several years to remain compliant with all environmental regulations, particularly the National Ambient Air Quality Standard for leaded steel production. Republic Steel spent some $10 million in the Canton plant—which is 125 years old— but it was unlikely that either of the plants would meet future, tougher requirements. Consolidating production to Grupo Simec’s modern plant in Tlaxcala enables more competitive pricing, increased environmental responsibility, and enhanced product quality.

“As the only producers of leaded steel in North America, we also owe it to our customers, and their customers, to be a reliable supplier of such products,” said Vigil. “Ultimately, we’re responsible to our shareholders and our customers. We’re simply doing what needs to be done to meet our responsibilities.”

Vigil said there had been hopes that inflationary pressures would ease, and that Republic Steel would see a bump in business following the passages of the Infrastructure Bill in 2021 and increased demand from the Inflation Reduction Act in 2022. Neither came through.

Republic Steel was acquired in 2005 by Industrias CH, S.A de C.V. (ICH), a steel producer and processor based in Mexico City. Republic Steel is a subsidiary of Grupo Simec, Guadalajara, Mexico, of which ICH is the majority owner. Simec is one of the largest producers

Last modified on September 6, 2023

TenneT, the largest electric grid operator in the Netherlands and Germany, announced that it has awarded contracts approximately €1.5 billion to multiple companies building high-tension wires.

A press release said that TenneT has signed a multi-year contract (Corporate Framework Agreement) with the following eight contract partners following a tendering procedure: Brugg Kabel of Switzerland, LS Cable & System and Taihan of South Korea, NKT GmbH & Co KG and Suedkabel GmbH of Germany, Prysmian and TKF of the Netherlands, and TBEA Shandong Luneng Taishan Cable Co., Ltd. of China.

These partners will supply and install the cables for the 110, 150, 220 and 380 kV onshore high-voltage AC connections in Germany and the Netherlands on behalf of TenneT. “In the coming years, we will construct some 900 km of high-voltage in Germany and TenneT will realize some 4,000 km of high-voltage in the Netherlands.”

TenneT intends to spend as much as 100 billion euros in the coming decade to build out electric grids onshore and offshore as electricity from renewable sources increasingly replaces fossil fuels. It also explained how the company is evolving. “TenneT realises that expanding the electricity grid involves a lot of work. That is one of the reasons for working intensively with these specialised companies. By focusing on long-term partnerships that create a stable collaboration, parties can focus more on innovation and adjust the production process and machinery. Specifically, we will see this reflected in improved materials and design optimisation in the coming years. And, more importantly, we see more opportunities to develop longer cables in one piece (depending on voltage level) up to 5,000 meters.

“Where we currently still work with cables of around 1,500 metres, within two years we will already be laying cables with a length of 3 to 3.5 kilometres. Lengths that can soon also be realised with drilling. And that really is a step forward in terms of burdening the environment during construction, but also in terms of failures, speed and so on.”

Last modified on September 6, 2023

The last acquisition by Prysmian, the world’s largest cable manufacturer, was its largest ever: a $3 billion deal for U.S.-based General Cable that was completed in 2018. Per a report in Reuters, the company may make another deal in the year or two.

The Reuters story said that during an analyst call, Chief Executive Valerio Battista said that “until recently M&A ‘was a suicide’ due to sky-high valuations.” That situation is changing, and Prysmian has a healthy balance sheet that allows it to pursue opportunities. “Frankly speaking, I believe that in the next 12-24 months ... some of our competitors may come to the door,” he said.

No potential acquisitions were cited in the article, which noted that Prysmian expects a cash flow of between €550-650 million this year, topping prior guidance.

Last modified on September 6, 2023

 CommScope® reports that it plans to invest $60.3 million over the next four years to expand its manufacturing facilities based in North Carolina to bolster its ability to meet U.S. supply demands driven by federal initiatives.

 A press release said that CommScope currently has the capacity to manufacture drop cable at a rate of approximately two billion feet per year at its U.S. facilities, a level of production that will allow states and their partners to connect every underserved American as a part of the Broadband Equity, Access, and Deployment (BEAD) Program. The expansion in Catawba County is expected to create at least 250 new jobs.

The expansion will further allow CommScope to manufacture the necessary cable for service providers to deploy broadband across the U.S. Capacity increase will align around loose tube production and additional fiber cable counts and styles needed for rural deployment, including CommScope’s HeliARC fiber optic cable that is specifically designed for rural fiber network architecture.

“Broadband for everyone is no longer a luxury, but rather a critical necessity to participate in today’s society and economic market,” said CommScope President and CEO Chuck Treadway. “We have long been committed to supplying our partners with the solutions necessary to bring broadband to everyone. Furthering our long-standing relationship with the State of North Carolina is a great next step to bring ‘Internet For All’, and we are thrilled to work with the State on this endeavor.

Last modified on September 7, 2023

Prime Materials Recovery, Inc. (PMR), announced that it is buying an SCR copper rod system from Southwire for installation at its subsidiary, IMC - Metals America, LLC (IMC), in Shelby, North Carolina.

A press release said that the new line—the SCR 4500— will be installed in a purpose-built plant at the existing site, and mark the business’s entry into the ETP copper rod market. Sitework is expected to begin in the third quarter of 2023 and bring 75-80 new jobs to Cleveland County, North Carolina.

PMR noted that in a separate initiative, IMC, one of North America’s largest producers of oxygen-free (OF) copper, will be increasing its copper rod production capacity with the purchase and installation of a new line from Upcast OY based in Pori, Finland.

“We are extremely pleased to be partnering with industry leaders like Southwire and Upcast OY with these initiatives,” said PMR CEO Bernie Schilberg. “We look forward to these successful projects and years of effectively serving our customers and these markets.”

Per PMR, each month it processes and brokers in excess of 35 million pounds of nonferrous metals at its facilities. It also actively participates in the global metal market via its import and export capabilities. PMR and its holding company represent one of the largest nonferrous and polymer merchants, processors, and fabricators in the United States. Based in East Hartford, Connecticut, the business includes facilities in Canastota, New York; South Windsor and Willimantic, Connecticut; Jersey City, New Jersey; Hickory and Shelby, North Caroline; Orangeburg, South Carolina; Miami, Florida; and Wilmington, Delaware.

The SCR-4500 system is designed for a production rate of 35 metric tons per hour of eight mm rod. The project includes the design of all operating equipment from a skip cart furnace loader to a finished rod handling system. The system will include an 11 stand Morgan “No Twist®” rolling mill, furnished by Primetals Technologies.

“We would like to welcome IMC into the SCR family and look forward to many years of successful collaboration,” said Mark Roden, Southwire’s vice president of SCR Technologies. “It is through our continued support and the SCR Technology Pool that this relationship will continue to grow for many years to come.”

Last modified on September 6, 2023

NKT reports that it has signed a long-term contract with major European copper producer KGHM S.A. to ensure that it will get the copper rod it needs for 2023-2027.

 A press release said that the expansion of renewable energy sources has led to considerable increased demand for copper. To secure that essential supply NKT signed a long-term agreement with Polish copper supplier KGHM S.A. for an annual minimum of 52,500 metric tons of copper wire rod for 2023-2027, with an option to expand quantities and extend the contractual period.

“We are pleased to strengthen our long-term collaboration with KGHM by entering into this frame agreement for the supply of copper rod for the coming years,” said NKT President & CEO Claes Westerlind. “And even more so, that we are able to source copper close to where it is needed, which supports our efforts to reduce the environmental impact of our operations.”

KGHM is an integrated copper producer with its own mineral resources, mines, smelters and copper rod production facilities in Europe. KGHM’s Głogów and Legnica copper smelters/refineries and Cedynia wire rod plant are Copper Mark certified. In line with its commitment to connect a greener world, NKT has also joined the Copper Mark to promote responsible copper mining and production.

Last modified on September 6, 2023

Madsen Steel Wire Products has acquired a 100,000-sq-ft facility in Bronson, Michigan, that will house a powder coating line that will apply coating to a wide variety of wire products produced at Madsen Steel Wire’s headquarters in Orland, Indiana, and be able to coat any wire or sheet metal product customers need.

A press release said that the best-in-class powder coating line will enable the company to be a one-stop shop for multiple industries. The expansion was fully backed by the Michigan Economic Development Corporation (MEDC) and the Michigan Business Development Program (MBDP) is providing instrumental support with a performance-based grant amounting to $552,000.

“Michigan has been an outstanding partner in growing USA manufacturing by reinvesting in the local community,” said Drew Greenblatt, president and owner of Madsen Steel Wire Products and Marlin Steel Wire Products. He noted that purchases last year included two best-in-class machines: a Trumpf TruBend 3000 press brake and a Schlatter MG950 wire welder to produce wire products quicker and more efficiently while boosting product quality. “With the addition of our new powder coating line, we have further cut down the time spent in the manufacturing process. True to our promise, we continue to deliver on “highest quality, fastest delivery.”

Last modified on September 6, 2023

Manner Polymers announces that it plans to invest $54 million to build a new sustainable manufacturing facility in Southern Illinois that will create more than 60 jobs.

A press release said that the new plant in Mount Vernon is being designed with a focus on automation and redundancy to provide the highest levels of product consistency coupled with low cost and unparalleled supply reliability. Production is expected to start in the summer of 2025.

The company serves a broad range of markets including automotive, appliance, construction, telecommunications, industrial, medical and agriculture. Product applications include cable and wire jacketing and insulation compounds for fiber optic cables, data transmission cables, coaxial cables, patch cords and shielded/unshielded twisted pairs.

The new facility will increase the company’s production capacity by 100 million pounds. It will be powered by a 15-acre solar field located on the site.

“Not only will we incorporate best in class manufacturing technology, but we will also produce substantially all of the electricity that we use,” said Manner Polymers CEO Raj Bhargava. “Our objective is to build the lowest cost, highest quality, most environmentally sustainable flexible PVC compounding plant in the world. This will be a transformational plant. It will have industry leading capabilities coupled with a clean energy footprint.”

Last modified on September 6, 2023

In what it describes as “a historic first,” Nexans reports that it has been awarded a turnkey contract valued at €1.43 billion for the section of the EuroAsia Interconnector that connects Greece and Cyprus.

A press release said that the interconnector is a critical part of a broader project to connect the grids of Greece, Israel, and Cyprus. The 525 kV high voltage direct current (HVDC) cable, which will be the longest and deepest interconnector in the world with a bi-pole length of 2 x 900 km, will run across the Mediterranean Sea floor at depths of more than 3,000 m. The subsea HVDC mass impregnated cables will be manufactured in Nexans’ facilities in Halden (Norway) and Futtsu (Japan). Installation will be done with the Nexans Aurora and Nexans Skagerrak cable-laying vessels.

The EuroAsia Interconnector will exchange up to 1,000 MW among the three nations with the capability of increasing to 2,000 MW, the equivalent to 3 million households’ average electricity consumption, and will end the energy isolation of Cyprus by creating an energy highway between Europe and Asia, it will be the largest interconnector project in history, supplying over three million homes with electricity. Pole One is expected to be completed in 2028 and Pole Two in 2029.

“This record-breaking project demonstrates our capacity to innovate and push the limits of electrical transmission and distribution to meet an ever-growing global need,” said Nexans CEO Christopher Guérin. “This is a crucial step on the path to a carbon-free economy. Nexans’ global electrification strategy is playing a key role in the world’s journey to a net zero future and we are excited that we have been selected to bring the development of the EuroAsia Interconnector to life.”

The interconnector was designated as a Project of Common Interest (PCI) by the EU, a status designed to allow the project to benefit from accelerated planning and permitting, lower administrative costs, and public participation. To qualify as a PCI, a project must also contribute to the European Union’s energy and climate goals, so that much of the electricity being shared will be from renewable and decarbonized sources. IPTO, the Transmission System Operator of Greece, was cited as having provided essential technical and operational capacity to the project.

Last modified on August 5, 2023

The Prysmian Group has been awarded a new contract by Ørsted Wind Power A/S to supply inter-array submarine cables for the Hornsea 3 offshore wind farm, located 160 km off the Yorkshire coast, U.K.

A press release said that the project—subject to a final procedural confirmation from Ørsted—calls for approximately 280 km of 66 kV inter-array cables with XLPE insulation. The order from Ørsted, a repeat customer, will cover about half of the overall wind farm’s requirements.

The Prysmian Group will be responsible for the design, manufacture, supply, termination and testing of the inter–array submarine cable system that will connect the wind turbines and the offshore converter station. All the submarine cable cores will be produced at the Group’s centers of excellence located in Montereau and Gron, France, while the armoring and assembling processes will be performed at the plant in Nordenham, Germany. The cables are due to be delivered in 2026. Once constructed, the site will be able to supply green, renewable electricity to more than three million homes.

“This award reflects Ørsted’s trust in Prysmian’s capabilities to meet the increasing need of submarine cable systems to support the energy transition to smarter and greener power grids,” said Juliano De Mello, sales team manager offshore wind, Prysmian Group. “We are very pleased and proud for having been chosen again to undertake such a challenging project supporting Ørsted to meet the U.K. Government’s ambition to deliver 50 GW of offshore wind power by 2030 as part of the British Energy Security Strategy.”

In 2018, Ørsted awarded Prysmian Group the contract for the 66 kV inter–array submarine cable system for the Hornsea 2 offshore wind farm. That project connected 110 of the 165 wind turbines and the offshore substation platform.

“After working successfully with Prysmian on the Hornsea 2 project, we are delighted to work together again on Hornsea 3,” said Luke Bridgman, senior project director for Hornsea 3. “The project represents another leap forward in terms of the size and scale of offshore wind farms, and collaborations with world-class manufacturers such as Prysmian are crucial to executing the project successfully.

Last modified on August 5, 2023

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