Nucor Corp. plans to build a new plate mill in the U.S. Midwest, spending $1.5 billion for its construction.

The project is expected to create approximately 400 full-time jobs with the mill producing 1.2 million tons of steel plate products per year.

The new state-of-the-art plate mill will allow Nucor to supply products the company does not currently offer and provide regional service to people in the Midwest — the largest plate-consuming area in the U.S.

The company expects to select a site for their new mill early this year.

The mill is projected to be fully operational in 2022.

“This investment is consistent with our drive to continue delivering sustainable, profitable growth and superior returns for shareholders,” said CEO John Ferriola in a statement.

“Together with the significant share repurchases completed in 2018, the Board’s decision to fund this high-return opportunity demonstrates our commitment to balanced capital allocation,” he added. “We have a strong foundation to build upon as we advance our goal of leading in every market in which we compete.”

Nucor is a manufacturer of steel and steel products. Its operating facilities are primarily in the U.S. and Canada. It currently operates plate mills in North Carolina, Alabama and Texas.

Its stock closed Monday at $53.42, down 41 cents.