John Tumazos

Management said a big steel mill or a second 650k-ton aluminum mill isn't near-term, favoring smaller high-ROIC value-add niche projects.

Mark clarified no direct hot band automotive application, hot band gets converted by others since STLD doesn't yet have full downstream capability including CASH line. First CASH (Continuous Anneal Surface Hardening) line due operational end of Q1 2026. Currently supplying hot band to industry to help with supply challenges while accelerating qualifications.

Mark attributed scrap decline to normal supply-demand dynamics, called $27 more noise than directional signal. Scrap segregation technologies creating greater optionality of flow. New projects incorporating captive iron solutions so production growth does not proportionally increase scrap demand. Declined to provide aluminum realization or cost assumptions citing product grade complexity, but confirmed advertised returns are more than achievable.

Mark explained 3000 series covers industrial and can grades, 5000 is heat treated, 6000 principally automotive. Qualification process similar to steel with ISO and automotive quality criteria. Can sheet requires very high cleanliness given thin gauge at pressure.

Mark confirmed economics largely intact, a wash except for Mexico slab tariff impact, which is incremental this year due to ramp-up volumes. Does not believe current tariff regime will persist beyond this year.

Mark expressed confidence that no close competitors exist given STLD's technology, scale, efficiency, recycled content advantage, and performance-driven culture. Over forty years since a meaningful high-tech aluminum expansion in North America.

Mark explained Sinton used pioneering caster technology with higher risk, while aluminum uses proven SMS equipment deployed broadly in Asia. Aluminum's batch process design with multiple units provides redundancy unlike Sinton's continuous process.

Said existing concessions including open-pit ones insulated the company, citing El Pilar moving forward with all permitting in place.

Attributed the El Pilar timeline to an in-depth technical review of copper recoveries plus permit renewals now completed and Board approval received.

CFO credited company culture of cost discipline, continuous facility investment, strategic supplier relationships, and Buenavista zinc contribution.

Jacob provided specific timelines: Tia Maria testing Q2 2027, full speed Q4 2027; El Pilar build-up completion end of 2027, production in 2028.

Mark Johnson confirmed 15-meter reinforced concrete plugs with considerable safety factor designed against 300m hydrostatic pressure. To mine PB1C in future, would need to remove plugs and mine through them to re-access the area.

Mark Johnson clarified PB1S timeline driven by physical chute repairs, not precipitation observation. PB1C has additional mitigation requirements around the 300-meter mud column. Surface mud techniques will be assessed during repair period.

Quirk said constraint is execution risk in inflationary environment, not engineering. Autonomous trucks and housing investments de-risk the project. Lone Star vision is Morenci-scale with both leach and concentrate.