Financing sought to build steel mill

By jeanne starmack


Sherman International is trying to get financing in place to build a steel mill on old industrial property it owns in Campbell, a company representative said.

Bob Carcelli, who is a liaison officer with state and Campbell administrators for Sherman, said Wednesday the company is negotiating for letters of agreement from car companies to purchase the steel from a cold-roll coil mill it wants to build on 40 acres in the brownfields.

“They are letters of intent that if Sherman makes their steel to [proper specifications], they would buy it,” Carcelli said. He added the letters would make it easier for the company to obtain financing.

Sherman International announced in June 2010 that it intended to build the mill on the land, which originally was the site of the Youngstown Sheet & Tube Co.

On behalf of the company, Campbell obtained $300,000 in Clean Ohio Funds in August 2010 to assess the property for cleanup.

Campbell obtained $1.9 million in Clean Ohio Funds for the actual cleanup in May.

Carcelli said there was $31 million worth of requests for funds during the “very competitive” process, and only $20 million was awarded.

The cleanup will include removing contaminants from soil, removing asbestos and general waste and demolishing buildings, the Ohio Department of Development said when it announced the grant in May.

Carcelli told city council members at their Wednesday meeting that the project has come a long way.

Carcelli said bids will be solicited later this month to build a sewage lift station on the property. He said a $500,000 road project, Casey Drive, also was a big step in making the mill a reality.

Sherman International owns 75 acres in Youngstown that are next to the 40 acres in Campbell.

Campbell officials could not be reached Thursday to comment on when the cleanup will start.

Both parcels were once the site of the Sheet & Tube mill.

The company might be able to expand the mill onto the 75 acres. It received $299,000 in February for a cleanup assessment of that property. If the property does need a cleanup, Carcelli said, Sherman might search for grants to fund it.

Don't Miss a Story

Sign up for our newsletter to receive daily news directly in your inbox.