SunCoke Energy Inc has provided an update on its business. The company reaffirmed that start up plans at its new Middletown in Ohio metallurgical coke making facility are on track.
As part of the start up process, the company anticipates it will begin heating its coke making ovens in mid October.
After the ovens are fully heated, which generally takes about two weeks, the company plans to initiate metallurgical coke production for AK Steel by November 1st 2011.
SunCoke expects its total US coke making production capacity will increase by 550,000 tons to approximately 4.2 million tons per year once the Middletown facility is in production.
SunCoke also reported that total US coke production is estimated to increase to 960,000 tons in the third quarter 2011, driven by improved production at Indiana Harbor.
US Coke Production Volumes
| Q3'11* | Q3'10 | Q2'11 | Q2'10 | |
| Jewell Coke | 177 | 180 | 177 | 178 |
| Other Domestic Coke | 783 | 773 | 745 | 705 |
| Total | 960 | 953 | 922 | 883 |
In '000 tonnes
* Estimated
In addition, the Company announced that it has acquired the entire 19% ownership interest in the partnership that owns the Indiana Harbor coke making facility held by SFG IHCC LLC, an affiliate of GE Capital, for USD 34 million effective September 30, 2011. As a result of this transaction, SunCoke now holds an 85% interest in the partnership and the remaining 15% interest in the earnings of the partnership is owned by an affiliate of DTE Energy Company.
