SAULT STE. MARIE (March 15, 2018) – Algoma announced today that it has augmented its power generating capacity with the acquisition of its neighbouring combined heat and power plant (formerly Lake Superior Power Plant). The 55MW facility will supplement Algoma’s current supply of power and steam for the steelworks operation.
Algoma CEO Kalyan Ghosh commented on the development, “The acquisition of a well maintained asset in such close proximity to our operation is very logical. Not only does it give Algoma the capability to satisfy its peak power requirements, but it significantly enhances our sustainability and reliability by offering some redundancy as several of our existing assets approach end of life.”
Mr. Ghosh added, “With this acquisition, and the potential for a further 71MW in sustainable power projects through the addition of a solar farm (50MW), a low pressure steam turbine (8 MW) in our steelmaking facility, and a top gas recovery turbine (13 MW) at our No. 7 blast furnace, Algoma is rapidly approaching near self-sufficiency in power generation.”
The combined heat and power plant has capacity to increase output to 110MW with the addition of a second gas turbine. Initially, the facility will operate intermittently, supplementing Algoma’s current power requirements.
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Algoma is based in Sault Ste. Marie, Ontario. As a fully integrated steel producer, the Company manufactures hot and cold rolled steel products including sheet and plate.
Essar Steel Algoma Inc. filed for creditor protection under the Company’s Creditors Arrangement Act on November 9, 2015. Relevant documents can be found on the Monitor’s website at www.ey.com/ca/essaralgoma and on the Prime Clerk website at http://cases.primeclerk.com/EssarSteel. While the company is officially doing business as Algoma, the company remains Essar Steel Algoma Inc. for legal and financial purposes for the duration of the restructuring process.
Company Contact:
Brenda Stenta, Manager Corporate Communications
Phone: +1.705.945.2209 E-mail: [email protected]