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Welsh firm wins contract for key stage of Tata Steel’s Port Talbot transformation

03 Jul 2026 3 minute read
Demolition work ahead of the construction of the new pickle line at the Port Talbot plant.

Nation.Cymru staff

A south Wales construction company has been awarded a major contract to help build a new steel processing line at Tata Steel’s Port Talbot works as the site’s transformation moves into its main construction phase.

Morganstone, based in south Wales, will carry out the civil and structural engineering work for the new pickle line, which will clean hot rolled steel before it is processed further.

The line removes the layer of oxide, or “scale”, that forms on the surface of steel during production by passing it through hydrochloric acid baths before it is cold rolled.

The pickle line forms part of Tata Steel UK’s £1.25 billion Project Invictus programme, which includes the construction of a new electric arc furnace capable of producing up to three million tonnes of steel a year. The company is replacing traditional blast furnace steelmaking with electric arc furnace technology as part of its plans to reduce carbon emissions.

The contract was awarded following a competitive tender process and marks the start of the main construction phase after months of demolition and site preparation work.

Andrew McGregor, programme manager for Project Invictus, said: “This marks the start of the construction phase for the new pickle line project at Tata Steel UK.

“It’s a really positive feeling to know we are moving away from demolition and enabling works into construction.”

Morganstone chairman Ian Morgan said: “We are delighted to have been appointed by Tata Steel UK to deliver this important project.

“The award reflects the capability, experience and commitment of our team and is a significant contract for Morganstone to be involved with.

“We understand the importance of this project and look forward to working collaboratively with Tata Steel UK to deliver it safely, efficiently and to the highest standards.”

Construction is due to begin next week.

Groundworks

Work on the wider redevelopment of the Port Talbot site has accelerated over the past year, including groundworks for the new electric arc furnace, development of scrap handling facilities, National Grid connection works and the redevelopment of parts of the former blast furnace steelmaking area.

Tata Steel ended ironmaking at Port Talbot in October 2024 and is currently importing steel to keep downstream manufacturing operations running while the new electric arc furnace is built. The furnace is expected to begin operating in 2028.


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