Tata Steel has unveiled plans to invest a further £4.5 million at its Rotherham and Stocksbridge steel plants, raising the total spent on its South Yorkshire businesses to more than at any time during the last decade.
The new investment will fund projects to improve plant reliability and energy efficiency, reduce greenhouse gas emissions and boost production of high value steel products.
It brings the total invested in South Yorkshire plants to £20 million over the last year.
Tata Steel Speciality Steel – as the South Yorkshire business is now known - will spend £2 million on enhancing fume extraction at its Rotherham steel plant and a further £500,000 on improving steelmaking in Rotherham.
The company is also investing £1 million on new quality inspection equipment at its Thrybergh Bar Mill.
Although the investment will not increase capacity, it will enable the mill to make more technically-demanding and safety-critical products for the automotive industry.
Stocksbridge, where £6.5 million is currently being invested in boosting high integrity, high value steel production, will receive a further £1 million to upgrade a re-heating furnace
Tata Steel Speciality Steel (TSS) anticipates that it will save 19,000 mega watt hours of energy a year as a result of the latest investment – enough energy to power almost 4,000 homes.
TSS’s managing director, Mark Broxholme, said: “In the last year, Tata Steel has invested more than £20 million in South Yorkshire.
“This is a huge indication of the company’s confidence in our ability to produce some of the most technically-demanding and safety critical products our customers require.
“We’re continually exploring new ways to reduce energy consumption wherever possible, and to minimise our impact on the environment.
“These latest investments will significantly reduce our energy bills, reduce carbon dioxide emissions by 7,000 tonnes a year and help us to become a more efficient and profitable business.”