Allegheny Technologies expands titanium sponge
By Tom Stundza -- Purchasing, 2/28/2007 1:19:00 PM
Specialty metals producer Allegheny Technologies will increase capital spending in 2007 up to $500 million to meet greater demand for titanium sponge. Plans are to boost production at existing plants in Albany, Ore., and Rowley, Utah. Taken together, the two projects will increase the company's overall internal titanium sponge capacity to at least 44 million pounds by the end of 2009.
Titanium sponge is the primary product of titanium ore, and is essential to producing titanium alloys for processing into mill products, castings or forgings. to serve expanding demand from aerospace manufacturers, and will total $450 million to $500 million during 2007 alone.
Allegheny Technologies recently inked long-term supply agreements for titanium products (as well as nickel-based superalloys and vacuum-arc melted specialty alloys) with GE Aircraft and Boeing. Other applications for titanium mill products are in chemical processing and crude oil and natural gas markets.
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