View Full Version : ArcelorMittal Dofasco

the dude
Nov 3, 2007, 3:00 PM
dofasco employees have been offered a package based on years of service to the company. only those deemed irreplaceable or of retirement age are ineligible. this has been kept fairly quiet over the past couple weeks so as not to arouse too much panic in the community. arcelormittal is also very hush hush on its future plans for dofasco. the only given is that there will be fewer employees working for the company here in hamilton. it's unknown how many have jumped at the offer thus far.

Nov 3, 2007, 6:50 PM
dofasco employees have been offered a package based on years of service to the company. only those deemed irreplaceable or of retirement age are ineligible. this has been kept fairly quiet over the past couple weeks so as not to arouse too much panic in the community. arcelormittal is also very hush hush on its future plans for dofasco. the only given is that there will be fewer employees working for the company here in hamilton. it's unknown how many have jumped at the offer thus far.

I think the employees of Dofasco are going to be getting a taste of what most other workers in the Canadian economy are going through. There is no more paternal care from the company, there is always more room for more profit.

Next to go will be Dofasco Park within 3 years.

Nov 5, 2007, 3:51 AM
Next to go will be Dofasco Park within 3 years.

Oooh... that'll make Losani and/or DeSantis Homes verrry happy!
I can see it now, "Hamilton's 1st fully gated community in the prestigeous Losani/DeSantis Park! Surrounded by trees, natural creeks and the most secure 12' fence topped with electrical barbedwire... don't delay, let your paranoia take over today!!"

Nov 15, 2007, 9:20 PM
Breaking News
Layoffs coming at Dofasco: union

The Canadian Press
Thursday, November 15, 2007

HAMILTON — The United Steelworkers union says an undetermined number of employees have been laid off at steel maker Dofasco Inc., where the union is trying to be certified as a bargaining agent.

“We don't know how many are affected,” Wayne Fraser, the union's Ontario/Atlantic director, said in a phone interview.

“We heard that people were escorted out of the plant this week. They were handed white envelopes and told to clean out their lockers. People are terrified about what's going on.”

Earlier Thursday, the union said its organizing campaign among employees of the ArcelorMittal subsidiary had recently moved into a more intense phase.

“Employees are telling USW organizers that recent ArcelorMittal actions are angering many,” Mr. Fraser said in a release. “They say layoffs, terminations and cost-cutting are being initiated unfairly and without true, independent input from employees. Many workers report concerns about their future.”

Nov 15, 2007, 9:47 PM
well that didn't take long.
Bring on the union. The good old Dofasco we've all known and loved is long gone.

the dude
Nov 15, 2007, 10:08 PM
this is total bs. the USW is so desperate to get in there they'll do anything, including fabricate or exaggerate the current situation. it is as i've already stated: employees have been offered a financial package, a very generous one at that. nobody's being forced out. i come by this info honestly, not through second or third parties.

Nov 15, 2007, 11:04 PM
this is total bs. the USW is so desperate to get in there they'll do anything, including fabricate or exaggerate the current situation. it is as i've already stated: employees have been offered a financial package, a very generous one at that. nobody's being forced out. i come by this info honestly, not through second or third parties.

if that's true you should post it at some online media sources or write to the Spec.

the dude
Nov 17, 2007, 4:00 AM
ok, there are a lot of rumours out there. i've spoken to half-a-dozen dofasco people and gotten a different response from each of them. apparently some people have been given the boot. maybe a couple dozen. all the slackers who were ignored under the old regime are being fired under arcelor-mittal. dudes who sleep on the job, surf porn during work hours, etc., are gonzo. at this point it doesn't look like a large scale purging. that said, they've been quietly whittling down the work force for years at dofasco. i think they're down to 6,000 today.

Nov 17, 2007, 12:21 PM
ok, there are a lot of rumours out there. i've spoken to half-a-dozen dofasco people and gotten a different response from each of them. apparently some people have been given the boot. maybe a couple dozen. all the slackers who were ignored under the old regime are being fired under arcelor-mittal. dudes who sleep on the job, surf porn during work hours, etc., are gonzo. at this point it doesn't look like a large scale purging. that said, they've been quietly whittling down the work force for years at dofasco. i think they're down to 6,000 today.
Reminds me of the Simpsons where Germans take over the nuclear plant.

I think Dofasco is still one of the most productive and efficient N. American steel producers, I doubt there'll be massive cuts.

Nov 17, 2007, 1:19 PM
"We understand Homer, after all we are from the land of chocolate!"

Mmmm, the land of chocolate...


the dude
Nov 17, 2007, 2:35 PM
^ha ha, that's probably the best analogy, except they're from the land of curry and croissants. one of my favourite episodes ever. i think that scene is right before he takes a bite out of a chocolate dog. mmmmm, chocolate dog.

the dude
Nov 19, 2007, 10:38 PM
the president recently sent out an email saying that there have been no layoffs and that the rumours are untrue. this usually means that massive firings will occur shortly. kinda like when the gm of a sports team gives his coach a vote of confidence. you know he's a goner.

Jun 19, 2008, 5:21 AM
And so the money is starting to roll.......

Dofasco fires up another furnace

ArcelorMittal Dofasco is pumping $119 million into its Hamilton operations in a bid to boost steel production by 20 per cent.

As global steel prices continue to soar, the Hamilton steelmaker will spark up a third blast furnace, increase use of its electric arc furnace and restart 20 dormant coke ovens.

Together, the improvements are expected to hike annual steel production to 5 million tons from 4.2 million tons.

Dofasco CEO Juergen Schachler said the upgrades “will lay the foundation for a longer-term vision and investments, still under consideration by ArcelorMittal

Analysts say they will enable Dofasco to take advantage of red hot steel markets where the price of hot-rolled coil has skyrocketed to $1,100 US per ton from $532 US per ton late last year.

“Everybody’s trying to get more out because the prices are good and the profit margins are huge,” said Chuck Bradford, of Bradford Research-Soleil Securities Corp.

A weak U.S. dollar has caused steel imports to plummet, driving up demand for the alloy in North America, he added. In response, industry giants including U.S. Steel, parent of the former Stelco, have been churning out steel at record rates.

The largest portion of Dofasco’s investment will go to reviving the No. 3 blast furnace, idle since 2005.

The firm will refurbish the inside of the furnace and outfit it with a pulverized coal injection system, reducing its dependence on costly coking coal.

Hot metal from the revived furnace will then be used in two ways, said Dofasco spokesman Andrew Sloan. Some of it will move through standard processes, to eventually be cast into steel slabs.

As part of a new strategy, Dofasco will also pour some of the hot metal into an electric arc furnace, a separate device used to melt scrap steel. The heat from the hot metal will accelerate the melting process, enabling Dofasco to use 20 per cent fewer kilowatt hours of hydro for each batch of steel.

Using more hot metal in the electric arc furnace will also cut down the amount of expensive scrap steel Dofasco must buy. The price of common scrap is now $490 per ton, up from $260 per ton in December — making it an expensive commodity for steelmakers.

“These days, hot metal costs a lot less than scrap steel,” said Mike Locker, a steel consultant. “Right now, that makes blast furnaces the crown jewels of the steel business.”

Producing another 800,000 tons of steel on site will also enable Dofasco to cut the cost of shipping slab from ArcelorMittal’s Quebec operations.

Currently, Dofasco does not produce enough slab to feed its hot mill, which is capable of rolling up to five million tons of steel each year.

Jun 19, 2008, 12:01 PM
nice....great news.

Jun 19, 2008, 2:19 PM
The Port Authority will be happy, shipments of coal to make the coke.

The electric blast furnace is Ontario Power Generation's single largest customer, they communicate with OPG when they turn it on to make sure there is enough power and to get a good rate.

Sep 4, 2008, 7:55 PM
The good old Dofasco we've all known and loved is long gone.

It's obvious you didn't know the REAL Dofasco.

Sep 5, 2008, 3:45 AM
Well said MsMe--alas, the one thing "good old" Dofasco was good at was PR...they were also really good at giving their employees the wage and benefits improvements fought for by the employees at Stelco...by way of strike and sacrifice.

Sep 5, 2008, 3:56 AM
yea, you're right...PR is the only thing they were good at.
Perhaps you should check the product lines being produced there as opposed to their neighbours - Stelco, or whatever it's called now.

Sep 5, 2008, 11:36 PM
We hate on Stelco now too? I can't even imagine what the basis for that is--what I know is that my father and my grandfather both endured long, arduous strikes to secure benefits and wages and better futures for kids like me--better wages and benefits that ultimately extended to the folks at Dofasco--I don't say that with an opinion on unions one way or another--I just say it is it is...a fact. I also worked there myself during my summers off from school...so I have a little insight into what does and doesn't go on there. Dofasco has made it's way in the world--they survived, they also ran Algoma Steel into the ground and have never been able to sustain long-term success at Steel Car. While Stelco invested in downtown (and yes, left)--Dofasco never bothered at all, save for it's annual Christmas party.

And yes, Stelco was sold and it's name changed. But wait, didn't the same thing happen to Dofasco?

Sep 6, 2008, 12:18 AM
Yup times are changing.

Sep 6, 2008, 2:28 AM
nobody is hating on Stelco....I'm just calling you out on your unfounded comment that Dofasco was "only good at PR".

Sep 6, 2008, 3:30 PM
And the call-out is legitimate if one assumes my comment was intended to be taken as literally as possible. If I must clarify, my comment was made in reference to the artifically rosy public image the company spun for itself over the years--in contrast to Stelco, which frankly speaking was never good at telling it's story locally.

the dude
Sep 7, 2008, 1:36 AM
it's true that dofasco employees have benefitted from stelco's blood and sweat but that doesn't change the fact that they've been an excellent employer and comporate citizen over the years. my wife hated her job there but she was paid well and treated fairly over the term of her employment. if she didn't loathe steel so much she'd have stayed forever.

Nov 14, 2008, 12:18 PM
Dofasco announces Christmas shutdown
Two-week complete shutdown at ArcelorMittal Dofasco

November 13, 2008
Naomi Powell

ArcelorMittal Dofasco will shut down all Hamilton operations for two weeks at Christmas as it continues to struggle with a massive downturn in demand for steel.

More than 5,000 hourly and salaried employees of the steelmaker will be required to take vacation or unpaid leave during the shutdown, to begin on Dec. 22.

Only essential staff will remain at the Burlington Street plant as all steelmaking comes to a halt.

“This is for two reasons and one is to give our employees time with their families over Christmas,” said spokesperson Larry Meyer. “It’s also a cost-containment opportunity that will also allow us to save some money.”

Meyer said very few employees would have to take unpaid leave during the shutdown. No layoffs are planned.

“This is to make sure we don’t, on a longer-term basis, impact our full-time employees.”

The moves comes on the heels of the former Dofasco’s announcement last week that it would slash production by 40 per cent.

The cut is in line with parent company ArcelorMittal’s plans to cut global production by one third as steel pricing and demand plummet.

Meyer said the decision to shutdown all operations was made in the days following that announcement.

Nov 14, 2008, 2:09 PM
Fuel costs are down and demand is down, what a change from a few months ago when fuel was high and it was cheaper to make steel here than to ship it from overseas.

Nov 14, 2008, 2:44 PM
Fuel costs are down and demand is down, what a change from a few months ago when fuel was high and it was cheaper to make steel here than to ship it from overseas.

And there was demand for steel a few months ago. Demand has disappeared.

Nov 14, 2008, 3:28 PM
I'm curious to see if there will be any noticeable effect on pollution here in Hamilton, with both Stelco and Dofasco shut down over Christmas.

Nov 14, 2008, 3:42 PM
Could actually be worst. It'll be a good time to clean up the factory. Wouldn't be surprised if there was more pollution dumped into the water and black soot in the air to flush everything out.

Nov 27, 2008, 6:01 PM
ArecelorMittal cutting 9,000 jobs worldwide

November 27, 2008
The Canadian Press
LUXEMBOURG — ArcelorMittal is planning “voluntary separation programs to be launched across the group,” aiming to trim as many as 9,000 employees — three per cent of its global workforce.

The world’s biggest steelmaker, whose holdings include Dofasco of Hamilton, said Thursday the focus of the downsizing “is primarily on non-production employees,” particularly in selling, general and administrative functions.

ArcelorMittal said it aims to cut SG&A spending by US$1 billion a year “in response to the current economic situation.”

Thursday’s statement offered no details of the impact on specific operations of ArcelorMittal, which employs 326,000 people in more than 60 countries and had 2007 sales of US$105.2 billion.

ArcelorMittal, which claims to produce about one-tenth of the world’s steel, has already slashed global production by one-third, cutting output at Dofasco by 40 per cent through at least the rest of this year.

The Hamilton plant will shut down for two weeks over Christmas, requiring 5,000 workers to take unpaid time off.


Dec 5, 2008, 5:56 PM
Dofasco cutting salaried hours

Majority of 1,900 losing a day a week
December 05, 2008
Naomi Powell
ArcelorMittal Dofasco will move the majority of its 1,900 salaried staff to a shortened work week as it contends with a “very depressed” economic environment.

Beginning January 5, employees will work four days a week instead of five, the firm’s CEO wrote in a letter to employees this morning.

“In these difficult market conditions, it is critical that we do everything possible to maintain the stability of our operations,” wrote CEO Jeurgen Schachler.

Employees will use one day of vacation time each week. They will collect employment insurance once their vacation time runs out.

The average ArcelorMittal Dofasco worker has 24.4 years of service and six weeks of vacation time.

“By taking this extraordinary step we are doing everything within our power to adhere to our principle of providing stable employment for permanent employees. We want to avoid the drastic measures that you have seen being implemented at other companies in similar situations.”

ArcelorMittal Dofasco will shut down for two weeks at Christmas, sending 5,000 workers home.

Dec 5, 2008, 6:27 PM
They did this years ago but only the hourly employees got the hit then. So needless to say the hourly people weren't happy when it didn't effect the salaried workers. So in reality it was discrimination then. So they put a stop to cutting only the hourly employees, and were put back on full time hours. Now I bet the salaried employees will be pissed when it didn't effect the hourly employees this time. Now the salaried people can see what's it like to have this system like the hourly employees did years back when they didn't.

As for the Xmas shutdown, during those 2 weeks Dofasco does have 5 stats. Xmas, Boxing Day, New Years, plus 2 floaters. So most people will only have to take 5 days vacation time. Most of the times the company will allow 2009 vacation time to be used during the 2008 Xmas vacation time. So bottom line they won't lose money during this time for the shutdown, only vacation time will be used. Unless a person chooses not to use up vacation time then only 5 days pay will be lost.

Dec 5, 2008, 6:30 PM
I'm curious to see if there will be any noticeable effect on pollution here in Hamilton, with both Stelco and Dofasco shut down over Christmas.

They usually keep a skeleton crew in for the Xmas time as it costs a lot of money to shut down a furnace and restart it. Hard to say if they will shut them down this Xmas with the ecomony the way it is though.

Jan 14, 2009, 1:26 AM
Word is Dofasco will shut down even longer.

Jan 14, 2009, 3:00 AM
Not good news at all but it doesnt surprise me with the ecomony.

I just went to A/M message board and apparently the coke ovens did not shut down. No rumors on the board of it shutting down in the near future.

Feb 2, 2009, 1:48 PM
Economy kills Dofasco clean-energy plant
Would have powered steelmaker, 400,000 homes

February 02, 2009
Tyler Hamilton
Torstar News Service
Steel maker ArcelorMittal Dofasco and electricity developer Sithe Global Power have scrapped plans to construct a "clean" power plant fuelled partly by captured waste gases.

The 500-megawatt facility would have produced enough electricity for 400,000 homes as well as industrial-grade heat for the Hamilton-based steel manufacturer. The ambitious project, said Dofasco spokesman Jim Stirling, simply got "caught up in the current economic times."

But some industry observers argue the Ontario government, despite talk of smart infrastructure spending and more efficient energy use, shares part of the blame for failing to support such initiatives just when they're needed most.

"For a large project like this the government should be stepping in and asking what they can do to make it happen," said Keith Stewart, an energy researcher with environmental group WWF-Canada. "It would be great for economic stimulus. It would create jobs here in Ontario, and it's going to help save existing jobs."

The proposed facility was a combined heat and power or "co-generation" plant, meaning the waste heat from electricity generation is used locally by an industrial "heat host" or as part of a district heating system.

It's considered a highly efficient use of fuel compared to the production of power and heat through separated systems. Denmark, for example, gets 55 per cent of its electricity from hundreds of small and large CHP plants that also provide heating to cities and towns.

Some of the cleanest plants, like the one proposed in Hamilton, use waste gases from industrial operations that are otherwise flared and vented into the atmosphere. Sithe's plant would have obtained 20 per cent, or 100 megawatts, of its power from waste gases captured from Dofasco's steel-making operations. The rest would have come from natural gas.

The bottom line: one-fifth of the plant's power would come from free fuel that emits no additional greenhouse-gas emissions.

As well, the plan was to recycle the waste heat from electricity generation to produce industrial-grade steam for Dofasco. "The real point of this would be energy efficiency," said Stirling.

As far as power projects go, it made good sense. Ontario needs cleaner electricity that will reduce its dependence on coal. Dofasco needs to become more efficient in an increasingly competitive sector. Already, amid the economic downturn, the steel maker has had to cut 500 staff since July and its remaining 1,900 employees have been moved to a four-day workweek.

But officials at Sithe and Dofasco just couldn't make the economics of the project work, an even greater challenge during a credit crisis that has inflated the cost of borrowing.

Tom Casten, a pioneer in the recovery of energy from industrial processes, isn't surprised that Sithe and Dofasco pulled the plug. He said the programs set up by the Ontario Power Authority that are supposed to stimulate development of co-generation have been designed in a way that limits the number of projects likely to be developed, even under favourable conditions.

"It's unbelievable how much they've stacked the deck," said Casten, who estimates there is more than 11,000 megawatts of potential industrial and commercial CHP projects in Ontario – more than enough to completely displace the province's reliance on coal power.

Of that, about 3,000 megawatts could come from "waste energy," such as lost heat or flue gases from chemical factories, refineries, glass plants and other operations.

Casten argued that the power authority is only half-heartedly pursuing the opportunity. The agency doesn't value the true environmental benefits of local CHP projects, specifically the ones that recycle waste energy, or appreciate the economic benefits in the form of job creation and improvements to industrial competitiveness, he said.

There's also the fact that local power production requires less infrastructure to support it. For example, generating power and heat where it's used means there's no need to put up expensive transmission lines to bring the power to a remote location.

Compare this to the Nanticoke coal-fired generating station, which requires massive infrastructure to carry that electricity into cities like Hamilton and Toronto. More than half the energy in the coal is released into the air during combustion as waste heat, and "line losses" during the transmission of electricity – energy lost on power lines in the form of heat – averages 7 per cent and can reach 20 per cent during times of peak demand.

The power authority said it takes these factors into account when assessing CHP projects, but Casten said the agency is lowballing the potential cost savings. "If you're putting new (CHP) generation in downtown Toronto you may be able to avoid a new transmission line that costs more than the generation itself," said Casten.

The benefits of CHP have not gone unnoticed south of the border, and many expect the new Obama administration will spur development as part of its massive economic stimulus package.

Last month, the U.S. Department of Energy issued a comprehensive report that praised the potential of CHP and recommended what it called "high-deployment policies" that by 2030 would attract an estimated $234 billion (U.S.) in investments and create nearly 1 million highly skilled technical jobs.

Doing so would save enough fuel each year to provide heat and electricity to half of U.S. households. "Emissions could be reduced by more than 800 million metric tons per year, the equivalent of taking more than half of the current passenger vehicles in the U.S. off the road," according to the report.

Ontario's approach to CHP has been less ambitious, though experts acknowledge the projects can be risky. CHP can help certain industry players become more competitive, but the power authority must also consider whether a weakened company in a struggling industry can be relied on for signing a 20-year contract.

What if, after just a few years, an industrial heat host closes shop? If Dofasco, for example, were to shut down its Hamilton facility, then Sithe would no longer have access to waste gases or have a customer for the plant's heat. As a result, the plant would no longer be viable.

Jason Chee-Aloy, director of generation procurement at the Ontario Power Authority, said it becomes a balancing act – even more so during a recession – between the pursuit of clean and efficient power, the need to make industry competitive, and the mandate to protect ratepayers from unnecessary risk.

"We realize the economy is an issue and we are really paying attention to that. That speaks to some of the complexities with combined heat and power," said Chee-Aloy.

But critics say the agency has been overly cautious. Only seven CHP projects totalling 414 megawatts have been awarded power-purchase agreements from the power authority since 2006. The agency is currently seeking another 500 megawatts through a second round of contracts, but a number of potential bidders – including Sithe and Dofasco – withdrew before last Thursday's application deadline.

Not that these companies didn't invest money and time before getting to that stage, said WWF's Stewart. "They're typically spending $300,000 to $1 million just to do the engineering work. If you're going through the bidding process, that's a lot of money to spend if you're not sure you're going to win."

Enwave Energy Corp., known for building and operating the world's largest deep lake-water cooling system in Toronto, was one potential bidder who decided in the end to withdraw. Enwave wants to replace its natural-gas boiler system used for district heating with a superefficient gas turbine system that would produce both heat and 20 megawatts of electricity, 24-hours a day, for the city.

Get enough of these facilities operating throughout Toronto and building a third transmission corridor into the city could be avoided, some say. It would also be cleaner. "There would be a big reduction overall of greenhouse gas emissions and air pollution," said Kevin Loughborough, vice-president of major projects at Enwave.

The project hinged on Enwave's ability to sell the electricity to the province, meaning it had to snag a contract with the power authority. It tried during the last round of contracts and was turned down. It was considering a second attempt but, after reviewing the rules and assessing the economic outlook, isn't so sure now.

"It's more stringent," said Loughborough. "They've put a cap on how much they're prepared to pay, and with the Canadian dollar going down to 80 cents it makes importing equipment, like generators from the U.S., that much more expensive. So it's putting pressure on our business case."

It's frustrating, he said. "We want to do it badly." (Enwave has since found out all applications for multi-megawatt power projects in downtown Toronto are being turned down until Hydro One does upgrades to a transformer station so it can safely take new supply.).

The power authority has clearly stated that it's not prepared to pay more than $2,000 for every kilowatt of electricity a CHP facility is capable of generating. Loughborough said it seems like an arbitrary cap, and is far lower than current estimates for the cost of building new nuclear plants, some even exceeding $6,000 per kilowatt.

Chee-Aloy called the cap an "informed" calculation. "It's really a guiding measure," he said.

The agency, he added, is open to accommodating broader government policy objectives if directed. 

Sep 17, 2009, 9:28 PM
Excellent news!

Dofasco to spend $16M reducing emissions

September 17, 2009
The Canadian Press

HAMILTON, Ont. — ArcelorMittal Dofasco plans to spend more than $16 million to reduce emissions at its Hamilton operations over the next three to five years.

The company, formed when the world’s largest steel maker bought the former Hamilton-based Dofasco Inc. three years ago, said the so-called Blue Skies plan will seek to improve air quality in Hamilton.

“Blue Skies is the next step in ArcelorMittal Dofasco’s longstanding and continuous commitment to reduce its environmental footprint. Hamilton’s air quality has improved significantly in the last 10 years, and we will continue to work with all stakeholders to ensure that this improvement continues,” stated Jim Stirling, ArcelorMittal Dofasco’s general manager of environment.

Projects include equipment upgrades aimed at reducing coke and byproduct plant emissions from the company’s blast furnace operations, and $1.5 million will be put towards cutting down on road dust. The investment will also go towards improving energy efficiency and water quality.

More than $10 million of the funding will be invested by the end of 2010. The rest will be phased in over the following four years.

Sep 18, 2009, 2:29 AM
So they scrapped a clean energy plant in favour of spending a fraction of the amount on cleaning their existing plant. Its a start..

Jan 6, 2010, 3:03 PM
Dofasco looks to hire 100 more workers
Part of $100m plan to fire up third blast furnace

January 06, 2010

ArcelorMittal Dofasco is looking for 100 more good employees.

Company spokesperson Larry Meyers said today the company “is looking at between 300 and 400 new people” for the operation this year.

“Many of those people are already here. Our hiring is under way,” he told Talk 820. “We have committed to them.”

But he said “there are still about 100 more jobs out there for anybody who is looking.”

Myers said of those hired, some have commitment letters and others are hired as casual employees looking to move to permenant at some point.

“We are trying to staff ourselves so we can adjust to market conditions as readily as possible.

Dofasco is looking for university grads, college graduates and skilled tradespeople, he said.

The move is in line with the company’s stated  plans to fire up a third blast furnace at its Hamilton plant as steel markets show tentative signs of improvement.

The $100-million project will see the steelmaker increase use of its electric arc furnace in a bid to hike steel production by 20 per cent.

"Our goal is to get the blast furnace up and running by next summer," Dofasco's Andrew Sloan said before Christmas. "We believe this will allow us to better serve our customers and the market."

A similar plan to expand production was shelved last year when the global economic downturn caused a dramatic decline in steel prices and demand. Markets have improved since then, in part because of government stimulus plans, such as Cash for Clunkers.

Jun 24, 2010, 12:04 PM
As reported in yesterday's Spectator:


ArcelorMittal Canada has been named one of the most sustainable companies in the country.

Toronto-based Corporate Knights magazine named the Hamilton firm to the top position among foreign-controlled companies in Canada.

In a separate ranking, Vancouver-based Mountain Equipment Co-op topped the list. The outdoor recreation company has a store in Burlington and was honoured for its board diversity, low resource use, sustainability mandate and strong supply chain management.

The winners were recognized for their commitment to managing environmental, social and governance issues. More than 3,000 companies were assessed.

"Clearly, the ArcelorMittal group is delighted to be named and recognized for its leadership in managing its business according to the principles of sustainability," ArcelorMittal Dofasco president Juergen Schachler said in a news release.

"Making the list this year, particularly after going through challenging economic times, this shows our commitment to sustainability continues to be a priority and is a strong endorsement of ArcelorMittal's approach to managing its business in Canada."

Corporate Knights focuses on corporate social responsibility.

ArcelorMittal Canada's operations include its Hamilton-based steel-making facilities, pipe and tube plants in Hamilton, Woodstock, London, Brampton and LaSalle, Que., and slab mills and mines in Quebec. The company also operates four scrap-processing facilities -- two in Quebec, one in New Brunswick and one in Ontario.

The complete 2010 Best Corporate Citizen lists can be found here (http://www.corporateknights.ca/special-reports/63-best-50-corporate-citizens/589-best-50-corporate-citizens-2010-rankings.html)

Jan 18, 2011, 4:42 PM
ArcelorMittal invests $253m at Dofasco
Liberals add another $43.6m at steelmaker


ArcelorMittal will spend $253 million over the next two years to increase production and improve energy efficiency at its Dofasco operation.

The Ontario government will kick in as much as another $43.6 million to improve energy efficiency and reduce emissions at the Hamilton plant.

Company officials and Economic Development Minister Sandra Pupatello announced the spending Tuesday morning.

The plan is to significantly increase production of galvalume, a specially coated steel with double the durability and corrosion resistance of galvanized steel.

Apr 17, 2013, 6:47 PM
Revisiting a story from three weeks back in anticipation of more time spent outdoors (and the upcoming court proceedings (http://www.900chml.com/Channels/Reg/NewsLocalGeneral/Story.aspx?ID=1926323)).

Dofasco facing 13 charges (http://www.thespec.com/news/local/article/909213--dofasco-facing-13-charges)
(Hamilton Spectator, Meredith MacLeod & Matthew Van Dongen, Mar 28 2013)

The province has taken the rare step of charging ArcelorMittal Dofasco with repeatedly spewing excessive amounts of black smoke last summer.

The steelmaker faces 13 charges for exceeding visible pollution standards between April and August, according to the provincial Ministry of the Environment.

ArcelorMittal Dofasco declined to comment on the charges — the first of their kind laid against the company since local air emission regulations were updated in 2005.

“I’ve been working on this for 10 years and I’m not aware of another case of 13 charges being laid in court,” said Environment Hamilton executive director Lynda Lukasik.

She says her organization has been closely watching smokestack emissions from the plant (https://maps.google.ca/maps/ms?msa=0&msid=209481340099049307923.0004a4d3be53082d3f783&ie=UTF8&t=h&source=embed&ll=43.269394,-79.830168&spn=0.061793,0.120657) since last summer, sending photos and documentation to the ministry on “almost a daily basis.”

The ministry revealed in January it was planning to issue an order against the steelmaker (http://www.thespec.com/news/local/article/877833--steelmaker-emissions-spur-provincial-order) after more than 200 “opacity violations” were recorded as a result of emissions from aging coke ovens last year.

Opacity violations are lingering smoke plumes that are hard to see through. An exceedance is recorded when there’s a pollution plume that lasts more than six minutes with an opacity of more than 20 per cent.

Ministry spokesperson Jennifer Hall said Wednesday the charges are not meant to replace the preventive order, which should be issued this spring. That order will outline required repairs or changes to company equipment.

Lukasik says it has been a challenge to get the environment ministry to pursue charges, though the ministry’s abatement branch has started auditing emissions at the steelmaker.

The well-known activist was interviewed by ministry investigators about emissions on Oct. 21, when she says the company’s fan system and its backup failed.

Lukasik says the blackness of the smoke indicates higher levels of particulates, which can be inhaled and can lead to respiratory ailments (http://www.goodneighbourcampaign.ca/blog/hamilton/2012/05/27).


'What have we been exposed to over the years?' (http://www.thespec.com/news/local/article/41332---what-have-we-been-exposed-to-over-the-years)
(Hamilton Spectator, Eric McGuinness, Dec 17, 2009)


Particulate Air Pollution and Inheritable Mutations in Mice: Possible Health Effects? (http://www.discoverymedicine.com/James-S-Quinn/2009/06/18/particulate-air-pollution-and-inheritable-mutations-in-mice-possible-health-effects/)
(Discovery Medicine, June 18 2009)

Germ-line mutations, DNA damage, and global hypermethylation in mice exposed to particulate air pollution in an urban/industrial location (http://www.pnas.org/content/105/2/605.full?maxtoshow=&HITS=10&hits=10&RESULTFORMAT=&fulltext=yauk&searchid=1&FIRSTINDEX=0&resourcetype=HWCIT)
(Proceedings of the National Academy of Sciences of the USA, Nov 20 2007)

Reduction of Particulate Air Pollution Lowers the Risk of Heritable Mutations in Mice (http://www.sciencemag.org/content/304/5673/1008.abstract?maxtoshow=&amp%3bHITS=10&amp%3bhits=10&amp%3bRESULTFORMAT=&amp%3bauthor1=somers%252C+c&amp%3bsearchid=1087748531512_3087&amp%3bstored_search=&amp%3bFIRSTINDEX=0&amp%3bfdate=10/1/1995&amp%3btdate=6/30/2004)
(Science, May 14, 2004)

Air pollution induces heritable DNA mutations (http://www.pnas.org/content/99/25/15904.full)
(Proceedings of the National Academy of Sciences of the USA, Oct 28 2002)

Dr Awesomesauce
Apr 19, 2013, 2:51 AM
Heavy industry is a nasty business.

I've always secretly hoped for its demise in this city, though it would devastate the economy, not to mention put some of my friends out of work.

It just doesn't belong in a city.

Nov 8, 2013, 12:35 AM
Signs of a Turnaround at Steel Giant ArcelorMittal (http://www.nytimes.com/2013/11/08/business/international/smaller-loss-for-steel-giant-arcelormittal.html?_r=0)
(New York Times, Stanley Reed, Nov 7 2013)

LONDON — ArcelorMittal, the world’s largest steel maker, on Thursday reported a narrower loss than a year earlier, as an improving world economy helped offset persistent problems in Europe.

The company said Thursday that it had a net loss of $193 million in the third quarter, a substantial reduction from the $652 million the company lost in the same period last year. Earnings before interest, taxes, depreciation and amortization — or Ebitda, a metric followed closely in the steel industry — increased by 19 percent to $1.7 billion, and steel shipments rose 6 percent, although revenue declined slightly to $19.6 billion.

“It’s a better-than-expected result, and I think the market will find it very encouraging,” said Jeff Largey, an analyst at Macquarie in London, he said by email. “North American business and mining business continue to do very well and more than offset seasonally weak European market.”

The company’s shares rose 3.9 percent in Amsterdam on Thursday.

The weakest area for the Luxembourg-based company continues to be Europe, where it has the most production and employees. The European unit that supplies flat steel to automakers and other customers lost $174 million, but that was an improvement over a $385 million loss a year earlier. The company is trimming its losses by closing some plants, including blast furnaces in Florange in France. But it still lost $26 per metric ton of steel it made in Europe in the quarter.

The Americas, where ArcelorMittal is also one of the market leaders, was a healthier region than Europe. Sales in the key flat steel division were up about 2 percent from a year ago to $4.9 billion while Ebitda rose 68 percent to $547 million.

Mining, the main activity in which ArcelorMittal has been investing while steel has been in the doldrums, reported a 35 percent increase in Ebitda to $533 million. One of the distinguishing features of ArcelorMittal is that it has large iron ore and other mining operations, which give the company some protection from fluctuations in the prices of raw materials.

‘'We believe the bottom of the cycle is behind us,” Lakshmi Mittal, the company’s chief executive, said in a statement. “As economic indicators are improving, we are cautiously optimistic about the prospects for 2014.”

Feb 7, 2014, 11:01 PM
Steelmaker’s coke ovens to get $87-million overhaul


ArcelorMittal will spend $87 million to upgrade its aging coke oven battery.

The project was announced to employees Friday, along with the best performance payout they've received since 2004.

Following the release of the parent company's quarterly and year-end financial results this morning, local workers were updated on their profit-sharing payments for the year, capital projects at the plant and the new investment.

The company does not release local financial results, but ArcelorMittal's Flat Carbon Americas division, which includes the Hamilton plant, reported a good year.

The division closed out 2013 with an operating profit of $1 billion US, up from $852 million last year. Production was up to 23.9 million tonnes compared to 22.3 million last year and average selling prices rose to $854 per tonne compared to $818.

Operating income per tonne also rose to $45 per tonne compared to $38 last year.

Feb 8, 2014, 3:03 AM
Nice to see them making that investment. :tup:

Hopefully it will help reduce some of the pollution issues they've had.

Feb 8, 2014, 1:02 PM
The story has been expanded this morning (http://www.thespec.com/news-story/4357191-dofasco-s-coke-ovens-getting-an-87m-overhaul/):

This is part of our continual investment effort," said company spokesperson Tony Valeri. "It will improve the efficiency of our production and improve our environmental performance as well."

Valeri said the project will involve repairs and improvements to the flues and linings of the company's No. 2 and 3 batteries, helping to sharply reduce sooty emissions that have angered neighbours and landed the company in court on 13 environmental charges.

The steelmaker was charged last March with repeatedly spewing black smoke into the air, exceeding pollution standards more than 200 times. The next court appearance on those charges is set for March 27.

While the investment won't result in new jobs, Valeri said it adds to the security of the company's 5,200 current employees.

The oldest of the coke batteries is to be shut down in March 2015. ArcelorMittal Dofasco has already spent $175 million since 2010 updating its coke operations, including monitoring systems, emissions cameras, and repairs and rebuilds to ovens.

Coke is produced by heating coal in a series of ovens until it becomes a carbon mass used in blast furnaces to make iron.

The hope for cleaner air in the east end was warmly welcomed by Councillor Sam Merulla and Pat Thiessen, a member of the ArcelorMittal Dofasco Community Liaison Committee.

The steel plant is in Merulla's ward and Thiessen lives within sight of the factory.

"I applaud this investment of nearly $100 million not only from the economic development viewpoint but from the social mitigation standpoint as well," Merulla said.

"This is going to lead to a renewed and positive relationship with ArcelorMittal Dofasco."

For Thiessen, the new investment continues a company effort that is helping to clear the air in her neighbourhood.

"We still get a certain amount of fallout but it's a lot better than what it was," she said.

"I would call this investment very good news."

Employees were also told Friday they'll be getting the largest payouts they've seen since 2004 under the company's profit-sharing and variable compensation plans — averaging almost $20,000 each.

In addition to the coke oven upgrades, employees were also told Friday two other major investments in the plant will be completed this year — the $153-million Number 6 galvanizing line and the $33-million temper mill.

Combined, that's an investment of $273 million.

Should help blunt the force of the pending emissions case (http://www.thespec.com/news-story/4259775-arcelormittal-dofasco-pollution-charges-put-off-to-march/) against the company.

Now to solve the pension problem (http://www.thespec.com/news-story/2265580-arcelormittal-dofasco-pension-plan-facing-500m-shortfall/).

Dr Awesomesauce
Feb 9, 2014, 1:04 AM
"We still get a certain amount of fallout but it's a lot better than what it was," she said.

This pretty much sums up the situation for me.

Mar 1, 2014, 8:04 PM
An iron will is needed to back the steel makers (http://www.independent.co.uk/news/business/comment/jim-armitage-an-iron-will-is-needed-to-back-the-steel-makers-9155969.html)
(The Independent, Jim Armitage, Feb 27 2014)

Warren Buffett advises investors to be fearful when others are greedy, and greedy when others are fearful. It's stood him in good stead – the $5bn (£3bn) he spent bailing out Goldman Sachs during the terror of the financial crisis in 2008 is set to bank him a $2bn profit.

In the case of ArcelorMittal, some investors have clearly been acting on his mantra. Despite a recent dip, its shares have gained 17 per cent in the past six months. But it must have taken some serious greed to overcome the fear. The "risks" section of its annual report out yesterday neatly collates some pretty scary facts about the global steel market.

Try this: European steel-producing capacity outstrips demand by 40 per cent. Demand from European industrialists is nearly a third below the 2007 peak. China has built so many steel mills in recent years that, having been importing for decades, it now finds itself also producing way more than it needs. That means it has become a hefty exporter of steel, driving global prices even lower.

It's not just demand for the stuff that's terrifying, but the cost of making it too. Steel's raw materials – iron ore, coke and the like – bounce around insanely. Iron ore went from $160 a tonne last February to $110 in May. It then bounced back up 30 per cent before plunging again to below $120 today. Pity the folks attempting to make a business plan around that mess.

Read it in full here ( http://www.independent.co.uk/news/business/comment/jim-armitage-an-iron-will-is-needed-to-back-the-steel-makers-9155969.html).

Nov 14, 2016, 5:41 PM
Province gives $40 million to ArcelorMittal Dofasco energy-saving efforts


ArcelorMittal Dofasco is receiving $40 million in government grants and incentives for energy upgrades that the company says will save enough electricity annually to power 19,000 homes.

The technology being developed uses surplus steam and steam converted from waste gases that when fully operational will generate 170,000 MWh of annual electricity savings, the company says.

Glenn Thibeault, Minister of Energy, was in Hamilton Monday to announce the development, saying, "Our government supports a dynamic and innovative business climate in which companies can reduce electricity costs by implementing a variety of conservation and efficiency measures."

Sean Donnelly, President and CEO of ArcelorMittal Dofasco says the government grants "allowed us to accelerate our plans and move various projects forward in order to lower our demand on Ontario's power grid, keep our business competitive and contribute to the reduction of Canada's greenhouse gas emissions."

The announcement comes at a time when the Wynne Government is under fire for skyrocketing electricity costs across the province.

There are two projects at ArcelorMittal Dofasco receiving provincial support:

• The first initiative – called the Turbo Generator 2 project -- has been in service since April 1 of this year. It's a $15-million upgrade that received a $10-million grant from the provincial fund known as the Industrial Accelerator Program. The company says the project is creating 41 jobs annually and is anticipated to result in 49,000 MWh of annual electricity savings.

• The second initiative – called the Utilities Boiler and Power Generation project – is currently being built to go into operation at the end of 2018. It's a $112-million project that will receive a $30-million incentive from the Independent Electricity System Operator (IESO), which monitors and co-ordinates Ontario's power supply. The project estimated to create 40 jobs annually and is anticipated to result in about 129,000 MWh of annual electricity savings.

Dr Awesomesauce
Nov 15, 2016, 11:47 PM
Sure. Why not?

Nov 16, 2016, 6:34 AM

Isn't total hydro demand in Ontario falling? (source: http://www.ieso.ca/Pages/Power-Data/Demand.aspx)

And isn't part of the reason for increasing hydro costs because demand is falling and the province is locked into contracts for a fixed amount of generating capacity? So any drop in demand doesn't affect the total amount supplied and paid for, resulting in an increased price per kwh?

Do I misunderstand this issue?

Because this looks like paying $40 million for something that will increase our hydro bills....

Nov 16, 2016, 4:29 PM

Incentives to large corporations helps them be competitive, which at the end of the day is good for the job market.