Steel boss reveals plan to re-start giant furnace in Sheffield and create 300 jobs

THE NEW boss of a South Yorkshire steel firm has unveiled plans to re-start its biggest furnace, use green energy to power the plants and create 300 jobs.

Jon Bolton, chief executive of Liberty Speciality Steels, said he also wanted to reinstate a mothballed bar coiler at Thrybergh, reopen a bloom caster at Aldwarke and spend £15m a year on equipment and staff.

In his first interview since Liberty House Group bought the business from Tata for £100m three weeks ago, Mr Bolton said that as well as reinstating the mothballed ‘N’ electric arc furnace – used to melt scrap steel – he would bring the smaller ‘T’ furnace back up to capacity.

He also wanted to grow the bar business fourfold over the next two years and introduce a ‘buylocal’ policy, while some people on temporary contracts had already been made permanent – a “statement of intent” ahead of creating 300 jobs.

Speciality Steels employs 1,700 at five steelworks, some 890 at a purifying facility in Stocksbridge, 618 at Aldwarke and Thrybergh in Rotherham and 99 at a bar mill in Brinsworth. It also has units in Wednesbury, Bolton and two in China. Mr Bolton said the company lost millions in its final two years as Tata. But the market had improved and Liberty was smaller and more agile, and he wanted staff to be “empowered”.

He added: “The response from employees has been brilliant. I spent the first few days visiting all areas, meeting the teams and being clear about our plans.”

Liberty’s plan is to own the steel process from end to end, buying UK scrap, melting, processing and selling some to its 13 engineering businesses.

“Steel is traditionally run on very thin margins, with many players taking a share. The problem is no one is making huge amounts of money. Ours is a new model in terms of ownership, control and management.”

The firm also wants to introduce ‘green energy’ – possibly bio-diesel at Stocksbridge and Rotherham to save money.