ArcelorMittal acquires steel scrap recycler Lawrie
ArcelorMittal has acquired Scottish steel scrap recycler John Lawrie Metals to secure raw material supply that will aid its steelmaking carbon reduction goals, the companies said March 2.
“We have identified strong potential for growth in the ferrous scrap processing business, with demand growth in Europe facilitated by the European Union’s initiatives to achieve higher metal recycling rates, reduce CO2 emissions and underpin the EU’s net-zero ambitions,” ArcelorMittal Europe CEO Geert Van Poelvoorde said in a statement. “[The acquisition] represents a further step in our strategy to increase the use of scrap steel across our steelmaking sites.”
The Luxembourg-based steelmaker said it intends to increase scrap consumption in both its electric arc furnaces and blast furnaces to meet its decarbonization goals.
The acquisition follows ArcelorMittal’s recent confirmation that it has secured all necessary funding to add a 2.4 million mt/year electric arc furnace at its Dofasco steelmaking complex in Hamilton, Ontario.
Lawrie currently operates four recycling sites in Scotland and has access to diversified sources of high-quality scrap steel from the UK’s oil and gas industry, according to the statement.
“With decommissioning of oil and gas wells in the North Sea increasing due to the energy transition, supplies of scrap are expected to grow significantly over the next decade,” ArcelorMittal said.
Lawrie collects about 200,000 mt/year of metal scrap, according to the company’s website.
— Nick Lazzaro