ArcelorMittal SA, the world’s largest steel maker, announced today that it would build a US$600 million steel mill in Mexico, according to an AP report.

The company has not determined location for the steel mill, which the company expects will provide steel for Mexican infrastructure and housing projects.

The announcement comes approximately a year after ArcelorMittal closed its acquisition of Sicartsa, a Mexican integrated steel producer it bought from Grupo Villacero for US$1.44 billion.  In addition to steel production facilities in Mexico and Texas with an annual production capacity of approximately 2.7 million tonnes, Sicartsa has estimated iron ore reserves of 160 million tonnes (approximately 30 years of reserves at current production rates).  As part of the Sicartsa acquisition, Arcelor Mittal also entered into a 50/50 joint-venture with Grupo Villacero for the distribution and trading of Arcelor Mittal long products in Mexico and in the southwest of the United States.  ArcelorMittal, SA appears to conduct operations in Mexico through its subsidiary Mittal Steel Lazaro Cardenas, S.A. de C.V.