California Steel Industries Inc announced that its subsidiary, CSI Tubular Products Inc has produced the first pipe off its new electrical resistance welded pipe mill at the Company’s site near Fontana, California, and is taking Q4 customer orders for the new mill, as it grows its existing pipe business.

Concurrently with the start up announcement, CSI celebrated its 30 year anniversary in business with an invitation only tour of the new mill. Cost of the state of the art facility, including installation, is more than USD 100 million. CSITP is a wholly owned subsidiary of CSI, encompassing the company’s entire pipe business, including sales and production from its existing No. 1 Pipe Mill and the new No. 2 Pipe Mill facilities.

No. 2 Pipe Mill produced its first pipe on August 25. It will feature API (American Petroleum Institute) grade high-strength line pipe, using induction welding technology. The mill also features full body ultrasonic lamination testing and ultrasonic weld seam inspection.

With the two pipe mills, CSITP now offers finished API pipe sizes of 4.5 inches to 24 inches in diameter and up to 80 feet in length, with wall thickness of 0.156 to 0.75 inches in various high-strength grades. Previously, the Company was limited to 16 inches in diameter, up to 60 foot lengths, and 0.406 inch wall thickness.

Annual production capacity on the new mill is expected to be approximately 400,000 net tonnes, bringing CSITP’s total tubular product capacity to over 600,000 tonnes. At capacity, the new No. 2 Pipe Mill’s additional tonnage is expected to generate approximately 100 new production and logistics jobs.

In addition to its CSITP production, CSI’s flat-rolling operations produce hot rolled, cold rolled and galvanized sheet products, with a total rolling capacity approaching 3 million tons.

Mr Toshiyuki Ted Tamai president & CEO of CSI said that “CSI is proud to have reached 30 years as a strong and viable steel manufacturer, with no layoffs of regular employees in the Company’s history. The new pipe mill represents the largest, and one of the most successful, capital investment projects undertaken during those 30 years.”

He said that “I congratulate our CSI team and our suppliers and contractors for a job well done in bringing the new pipe mill online so efficiently, on time and on budget. Key suppliers and contractors include SMS Meer GmbH (welding and forming supplier), MillTech Company Limited (supplier of most of the finishing equipment), General Electric Sensing & Inspection Technologies GmbH, NOV Tuboscope, Kent Electric Company and Ledcor Construction, Inc.”