Cliffs Testing Production of New Pellets
By:
DULUTH - Cliffs Natural Resources is looking into the possibility of expanding production by making a new kind of pellet.
Cliff's CEO Joe Carrabba announced the news during a fourth quarter conference call.
Carrabba explained both Northshore and United Taconite were running tests to see if they could produce low–silica pellets which could be supplied to facilities that make direct reduced iron or "DRI."
"I am happy to report that during the fourth quarter, we were able to successfully produce DR–grade pellets at two of our U.S. iron–ore facilities," Carrabba said. "As DRI becomes more of a reality in the EAF market, we are putting the wheels in motion to capitalize on this new opportunity."
Engineering studies will continue at the two plants while industry experts expect DRI facilities to start popping up and needing those pellets.
