The former billet caster at British Steel's Scunthorpe siteBritish Steel’s new billet caster, which is among £330 million worth of investments Chinese owner Jingye Group has made in the UK business since acquiring it three years ago, is scheduled to be commissioned this spring. The new caster will manufacture lengths of semi-finished steel – known as billets – with enhanced internal and surface qualities, which will make the company more competitive and expand its capabilities.
The £54 million project is the largest single investment Jingye Group has made since purchasing British Steel in 2020. Other significant investments in this period include: a £26 million Special Profiles Mast Service Centre; £27 million investment in three new cranes at its Immingham Bulk Terminal port facility; a £14.6 million investment to enhance the company’s energy operations; and an IT systems upgrade which is scheduled to go live in March.
British Steel’s investment strategy is aligned to its decarbonisation plans, which will see the company embrace new technology and ways of working to help its drive to reduce emissions and support clean growth.
British Steel’s CEO Xifeng Han said: “Steel is vital to modern economies and with demand expected to grow over the coming decades, British Steel has a vital role to play in ensuring the UK has its own supply of high-quality steel. To make sure we can deliver the steel Britain requires, we are undergoing the biggest transformation in our 130-year history.
"To support the journey to ‘net zero’, our owners, Jingye Group, has invested £330 million in capital projects during their first three years of ownership and it continues to invest unprecedented sums of money in British Steel.
"Jingye is committed to our long-term future but we also require the UK Government to provide the necessary support, policies and frameworks to back our drive to become a clean, green and sustainable company. We are continuing formal talks with the Government about decarbonisation, along with the global challenges we currently face.”
He added: “The Government understands the significant impact the economic slowdown, rising inflation and exceptionally high energy and carbon prices are having on businesses like ours, particularly during such a key period in our transformation.
“British Steel can play a significant role in the UK’s economic recovery and we look forward to working with the Government and to making the home-made steel Britain needs for generations to come.”