Regina steel mill could change hands as Evraz plans to sell North American subsidiaries

There could be an ownership change coming at the Evraz steel mill in Regina.

According to published reports, the Russian-based steelmaker has announced plans to sell its North American subsidiaries. That would include the mill in Regina.

The news of the potential sale follows the layoffs of 250 workers in the large-diameter tubular division at the Regina plant in June.

After the Russian invasion of Ukraine, the reports said, Britain sanctioned Evraz but provided a licence allowing business with its North American subsidiaries.

Patrick Veinot, staff representative for the United Steelworkers in Regina and southern Saskatchewan, said the news leaves more questions than answers for Evraz employees in the province.

“It’s always a bit concerning because of the unknown,” Veinot said. “Of course, with the geopolitical landscape, there was more talk about something such as this announcement occurring. It wasn’t a total surprise.”

Veinot said the steel and pipe divisions of Evraz in Regina still have many employees, even after the layoffs.

“There is pipe being made,” he said, “and there’s still lots of people on the union and management side working in Regina making steel, which is very profitable at this time.”

Venoit said the biggest concern will be who Evraz sells to. That decision, he said, could determine the future for many workers.

“Is it going to be a steelmaker that buys us or a financial group? Are they going to buy all of Evraz? We don’t have control over all of that,” he said.

“What will their motives be? Will they break it up, and will different companies buy it up?”

According to Venoit, all of Evraz’s companies in North America work together closely, so whatever deal is made could have a major impact.