Hybar LLC has secured USD 1.1 bln in financing to build a second environmentally sustainable scrap-based rebar mill adjacent to its existing facility in northeast Arkansas, doubling the company’s production capacity.
The new mill is expected to be completed within 24 months and will increase Hybar’s annual rebar capacity to approximately 1.3 mln tons, representing nearly 13pct of the U.S. rebar market. The expansion comes just nine months after the commissioning of the company’s first mill, which Hybar said achieved positive cash flow in its fourth month of operation.
Like the existing facility, the new mill will be supplied by SMS group and will produce rebar using electric arc furnace (EAF) technology based on recycled steel scrap.
Hybar said the expansion will support growing demand from infrastructure, energy, data center and construction projects across the United States. The company benefits from direct access to barge, rail and truck transportation, allowing nationwide distribution.
The producer also highlighted its low-carbon production strategy. In addition to sourcing electricity under a special power agreement with Entergy Arkansas, Hybar is supported by its affiliated Green & Clean Power solar and battery storage facility. Once final certifications are completed later this year, the company expects to become the only steel producer in North America capable of manufacturing steel using 100pct renewable electricity during daylight operating hours.
Based in Osceola, Arkansas, Hybar operates a highly automated scrap-based EAF minimill with an existing annual rebar production capacity of around 700,000 tons. The company focuses on low-carbon steel production through advanced automation and renewable energy, including an adjacent solar and battery storage facility.