Nucor Steel Seattle

Mini-mill Steelmaking

• The Inputs– Scrap - 99+%– Electricity– Minor Alloys

• Lime• Silicon Manganese – SiMn• Carbon

Piles of used scrap await their chance to be fed into the meltshop which stands behind the pile.

Freshly melted scrap is poured through a caster sphere where it is molded into

logs called billets.

Billet being passed through a mill stand on its way to becoming rebar.

New rebar made from 100% recycled steel scrap.

Nucor Steel Seattle

• $25 million annual Wages• $80,000 annual ave. wage• $30 Mil. Capital investments(5 yrs)• $20 Mil. To Seattle City Light• $900,000 annual property taxes• $2.2 mil in B & O taxes(state) $1mil City• $300,000 sales tax

Nucor Seattle Economic Impact

• 290 employees/4-5 multiplier• Only steel mill in WA State• Contributes steel to virtually every

infrastructure project in the state• Nationally /profitable every quarter

since 1966• Nationally/ no layoffs since 1966

• Carbon equivalent emissions 37.5% below 1990 levels (USEPA annual report)

• According to EPA US Steel industry achieved a 33% reduction in GHG process emissions from 1996 to 2005 (2008 EPA Sector Performance Report for Iron and Steel)

• Done through realignment of industry(% recycled steel) and improvements in technology,

• This already far exceeds Kyoto expectations

US Steel Industry

Nucor Seattle Contribution

• Switched to Biodiesel for all its mobile equip.• Off gas analyzer tells us how efficiently we

melt• Side wall injectors add natural gas or oxygen

to conserve electricity.• 100% of all steel produced with Recycled

scrap steel, 99% of all byproducts recycled• Saves 74% of the energy it takes to make

steel from raw materials

Energy Intensity per ton of Steel Shipped

Imported Steel=up to 20mmBTU’s/ton

US Steel From Raw materials = 12

US Average = about 5-6

US Average, recycled = 4.5-5

Nucor Seattle, last12 months =3.35

14

The Hybrid Vs. The Muscle CarA Parable

• What happens when we require a 10% reduction in both of these?– The hybrid can’t comply because its already state of

the art– The muscle car could comply but is still a heavy hitter

• If we demand offsets then the hybrid has to invest in the muscle car to come into compliance

Relevant Emissions

Key Message

• Global Problems requires a Global Solutions• We need to be careful not to penalize the good

players• Transferring industry overseas often results in

more pollution coming back to the US• Individual solutions have limited impact on

climate but will have major impact on economy