Allegheny Technologies Inc. signed a ten-year sourcing agreement with Rolls-Royce plc, concerning nickel-based superalloy disc-quality products for commercial jet engine applications. The agreement covers products sold to forgers by ATI Allvac, an ATI subsidiary that produces ingots in a variety of specialty tool and alloy steels and titanium and superalloys.
ATI Allvac will start up a new titanium and superalloy forging plant in Bakers, NC, this year. The company says the new plant will allow it to achieve higher production standards needed to meet the fuel efficiency requirements of the jet engine market.
ATI estimates its revenue from the Rolls-Royce agreement will be between $750 million and $1 billion.
"We are pleased to be developing a long-term strategic relationship with this important customer to supply the critical metallics needed for aeroengine disc-quality products," stated ATI chairman, president, and CEO L. Patrick Hassey.
He continued: "ATI has consistently invested in unsurpassed manufacturing capabilities to position ATI as the premier specialty metals company. In addition, ATI brings new products with unsurpassed quality and support systems to continue to benefit the customer and its supply chain.”
ATI in Pact to Supply Rolls-Royces Tier 1 Forgers
10-year agreement involves disc products for commercial jet manufacturing