GEORGETOWN — Georgetown Steel, which employs 465 people and is one of Georgetown County’s largest employers, will continue operating thanks to a financial agreement worked out between the governor’s office, Santee Cooper and the steel company.

Mill owner Daniel Thorne said the agreement, along with pay cuts for salaried employees and a proposed wage cut for union workers, will give the mill an extra $3 million to operate during the next month.

“The deal is structured so that all stakeholders in the future of Georgetown Steel participate proportionately and simultaneously,” Thorne said.

The mill’s 80 salaried workers will take a 10 percent pay reduction and will have to pay more for health insurance. More than 300 members of United Steelworkers Local 7898 will vote next week on whether to accept a similar 10 percent pay cut and higher health insurance premiums.

While the mill wants the pay cuts to be permanent, the union will propose the cuts last only 60 days, said union President James Sanderson.

Under the financial agreement, Santee Cooper, the state-owned electric and water utility, will give credit worth about $1 million to the mill.

Thorne’s company, Midcoast Industries, will invest an equal amount. Midcoast also will provide a bridge loan of $850,000 until Georgetown Steel receives payment of an insurance settlement.

Santee Cooper’s decision to extend credit could be reversed if the union does not agree to the pay cuts.

“Santee Cooper has agreed to provide the funds, and they are anticipating the union will be a part of this,” Thorne said. “If they are surprised, they can take the money back.”

Santee Cooper’s help will increase the mill’s cash flow, said Al Burns, economic development director for Georgetown County.

“It’s been in discussion for a while now,” Burns said. “I think it’s good for all involved. I’m real glad that Santee Cooper would entertain it. They always do very well in working with industry.”

Union members on Thursday weighed their options.

“The vote is kind of a split thing right now,” said Georgetown Steel employee Barry Howard. “The biggest thing that bothers everybody is that if we take a cut now, then you might have to take another cut later on.”

The mill announced plans this week to bring back most of the 109 workers laid off in June. But that depends on orders for steel that Thorne anticipates the plant will receive in the next month.

Gov. Mark Sanford released a statement saying his administration will get involved where needed to advance the economic interests of the state while also protecting the interests of taxpayers.

“I’m obviously pleased we were able to get Santee Cooper involved to ensure that both of those objectives were accomplished here,” Sanford said.