Essar Steel said to be interested in Hamilton & Nanticoke

U.S. Steel’s Hamilton and Nanticoke plants may be saved by a company that has bailed out another struggling Canadian steel company in the past.

Sources in the bidding process say India’s “Essar Steel Holdings” is looking to revive U.S. Steel Canada, which is currently under creditor protection, and is the only bidder wanting both Canadian sites.

Sources also say Essar wants to put the Hamilton steel mill back into production.

The company bought Algoma Steel in Sault Ste. Marie when it left bankruptcy protection back in 2007.

U.S. Steel purchased Stelco the same year after an earlier round of creditor protection.   U.S. Steel Canada took the plants back into creditor protection last September.