Tata Steel Ceases Coke Oven Operations at Port Talbot Facility

19 Mar 2024 , 11:03 AM

Tata Steel said on Monday that it has chosen to shut down coke ovens at its Port Talbot facility in Wales due to a “deterioration of operational stability”.

Coke ovens are industrial factories or blast furnaces that produce coking coal, a vital raw ingredient in steelmaking.

“Tata Steel UK announced it will ramp up coke imports to counterbalance the effects of shutting down its coke ovens,” the steelmaker stated.

Earlier in January, the company announced plans to shut down two blast furnaces in Britain by the end of the year as a strategic move to overhaul its financially struggling UK steelmaking operations, shifting towards more eco-friendly electric arc furnaces.

T V Narendran, CEO of Tata Steel, stated in an interview with Reuters earlier this year that closing the two mills would result in the loss of 2,800 jobs in Port Talbot, a decision that three trade unions have condemned.

On Monday, the firm said that it is in the “advanced stage of consultations” with UK trade unions about its restructuring plans.

Following the restructure, the steelmaker intends to transition to low-carbon electric arc furnaces, a proposal supported by 500 million pounds ($636.70 million) in government funding.

At around 10.52 AM, Tata Steel was trading 0.77% lower at ₹148.55, against the previous close of ₹149.70 on NSE. The counter touched an intraday high and low of ₹152.45, and ₹147.70, respectively.

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