Big River Steel is forming a new partnership to obtain metals for its business.
The Osceola-based steel company has signed an agreement, making Koch Metallics its exclusive metallics procurement agent. Koch Metallics is a division of Koch Minerals & Trading – part of Koch Industries.
The agreement is designed to allow Big River Steel to leverage “Koch’s networks, capabilities, and potential for providing additional services” as part of the company’s continued growth efforts, according to a news release. Koch Metallics is a global bulk supplier, capable of transporting materials by vessel, barge, rail and truck.
Big River Steel is working to increase efficiency and cut materials costs through the agreement with Koch.
“Koch is a significant investor in Big River Steel, and I look forward to broadening our relationship as we jointly advance in the metallics space,” Dave Stickler, chief executive officer of Big River Steel, said in a statement. “Entering into this agreement will accelerate several initiatives Big River Steel has underway that provide alternatives to the ways metallics and flat-rolled steel have historically been bought and sold.”
As part of the agreement, Big River Steel’s metallics procurement manager Martin Baker will join the Koch team. Baker will serve as a metallics procurement and conversion manager.
In 2019, U.S. Steel made a significant move into the Arkansas steel market, purchasing a $700 million take in Big River Steel. This purchase was reportedly motivated by Big River Steel’s investment in flat-rolled steel.
Image courtesy of Big River Steel