Market Overview

Michigan Seamless Tube Expands Pickling Capabilities

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SOUTH LYON, Mich.--(BUSINESS WIRE)--

Michigan Seamless Tube (“MST”), a leading manufacturer of high-quality carbon and alloy seamless cold-drawn pipe and tube, today announced that it will complete construction on a new 9,600 square foot pickling house later this year. The new pickling house will be the fifth of its kind at the company's modernized 320,000 square foot facility, enabling MST to produce an additional 450 tons of product monthly. The pickling process is a surface treatment that removes oxides and scale from the steel tubes, and is an integral part of the cold-drawn process.

“The addition of a fifth pickling house is part of our broad plan to invest capital and resources into our facility so that we can materially improve production capacity to better serve our customers,” said Les Whitver, vice president of operations for MST. “In addition to increasing our production capacity roughly 13 percent, the new pickling house will allow us to reduce material and maintenance costs, helping us to achieve a quick return on our initial investment.”

Having celebrated its 85th anniversary in April, MST remains committed to strategically growing its operations, satisfying its global customer base and operating as a responsible corporate citizen. With increased pickling efficiency, MST will not only improve material flow at its mill and decrease lead time, it will also dramatically reduce the amount of waste that needs to be transported and treated, decreasing emissions and other pollutants. To view how MST's pickling process works please click the following link: http://www.youtube.com/watch?v=BzF7PoKquZQ.

About Michigan Seamless Tube:

Founded in 1927 and headquartered in South Lyon, MI, Michigan Seamless Tube (MST) has grown to become a leading manufacturer of high-quality carbon and alloy seamless cold-drawn pipe and tube for a variety of different industries including aerospace, mining, construction, automotive and agriculture. The company's modernized 320,000 square foot facility is capable of producing in excess of 40,000 tons of pipe and tube annually. Because of its size, advanced equipment and experienced workforce, MST is able to quickly process highly specialized orders – large or small – that meet clients' exact specifications. The company's unparalleled flexibility, rigorous testing requirements, competitive pricing and logistical capabilities have allowed it to become the nation's premier global supplier of cold-drawn carbon, alloy and high chrome mechanical and pressure tubing and piping. MST is a wholly-owned subsidiary of Miami-based Optima Specialty Steel, Inc. For more information, please visit: www.mstube.com.

For Michigan Seamless Tube
John McKenna, 203-682-8252
John.McKenna@icrinc.com

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