The coke and power will come from a new facility to be constructed, owned and operated by SunCoke adjacent to AK Steel’s Middletown Works facility in Ohio.

The proposed new facility will reportedly be an environmentally friendly, heat-recovery coke battery capable of producing about 550,000 tons of coke and 50MW of electrical power annually.

Under the agreement, AK Steel will purchase all of the coke and electrical power generated from the new plant for at least 20 years, helping AK Steel achieve its goal of further integrating its raw material supply.

AK Steel noted that it has no plans to idle any of its existing cokemaking capacity if the proposed SunCoke project is consummated.