Essar Slows Construction of Plant
Posted at: 09/07/2012 3:29 PM
| Updated at: 09/07/2012 4:44 PM
Essar Steel has slowed construction of its taconite facility in Nashwauk, affecting hundreds of contractors, according to Itasca County leaders.
In a statement issued Friday, the company called the slowdown temporary and said it expects to resume full construction soon. The company said construction has not halted and said the slowdown was needed "to better coincide with equipment and other deliverables."
It was not immediately clear how many construction workers were affected by the decision. Hundreds of contractors have put in about 500,000 hours on the project so far.
Essar Steel broke ground in 2008. Two weeks ago, the company said the $1.1 billion project was about halfway done and the goal was to be producing some pellets by June 2013, with a future rampup in production.
Madhu Vupplurri, CEO of Essar Steel Minnesota, said, "We expect no change in overall project construction schedule."