On November 13, 2024, ArcelorMittal inaugurated the expanded Vega steel mill in São Francisco do Sul, Brazil. PENETRON ADMIX SB, a crystalline waterproofing admixture, was specified to protect the below-grade structures from groundwater penetration.
ArcelorMittal, operating in 140 countries, is the second-largest steel producer in the world. The company is Brazil’s largest steel producer, with production facilities in eight states and an annual capacity of 15.5 million tons of crude steel and 5.1 million tons of iron ore. ArcelorMittal primarily supplies the automobile industry and also serves the household appliances, construction, oil and gas, machinery, and equipment sectors.
The expansion of the company’s Vega plant—referred to as the Cold Mill Complex (CMC) project— in São Francisco do Sul, approximately 580 kilometers south of São Paulo, entailed the implementation of a new galvanizing and continuous annealing line for steel. This expansion increased the installed capacity from 1.6 million tons to 2.2 million tons per year and introduced the production of coated and cold-rolled flat steel products.
“The CMC project has equipped the Vega mill to produce flat steel for special applications, new types of coated steel, and uncoated high-strength steel coils,” explains Cláudio Neves Ourives, CEO and Managing Partner of Penetron Brazil. “For instance, the plant can now manufacture Magnelis®, which is a highly corrosion-resistant steel solution featuring a hot-dip galvanized coating composed of zinc, aluminum, and magnesium.”
Due to their depth, the manufacturing pits, concrete foundation slab, basement retaining walls, and water storage tanks at the Vega steel mill are particularly susceptible to the high groundwater levels frequently encountered at construction sites in this region of Brazil.
“If left untreated, below-grade concrete structures quickly face moisture infiltration from groundwater pressure,” says Cláudio Neves Ourives. “This can lead to corrosion of the steel reinforcement and serious structural damage.”
To ensure the below-grade concrete structures were impermeable, OA Engineering prioritized finding a long-term waterproofing solution. The general contractor, M. Roscoe, added PENETRON ADMIX SB, a crystalline waterproofing admixture, to the concrete mix during batching.
Cláudio Neves Ourives stated that the self-healing PENETRON ADMIX SB-treated concrete mix ensures long-term durability of the Vega steel mill’s concrete structures, minimizing future maintenance needs.

Built on Penetron for groundwater protection: The upgraded Vega mill in São Francisco do Sul now produces specialized flat steel, new coated steels, and uncoated high-strength steel coils.

Impermeable and waterproof: The manufacturing pits, concrete foundation slab, basement retaining walls, and water storage tanks at the Vega steel mill were treated with PENETRON ADMIX.