California sorting technology provider’s system at Des Moines, Iowa, facility includes screens, optical sorters and air drum separator.
CP Group, based in San Diego, has helped equip a new material recovery facility (MRF) commissioned by the Des Moines, Iowa-based Metro Waste Authority (MWA).
The California-based equipment and technology provider says MWA was challenged by an uncertain future after China adopted its National Sword policy banning the import of some scrap materials. The agency chose to develop a new MRF “to provide a sustainable solution” for the Des Moines metro area in response to the challenge.
MWA, which was established in 1969, offers solid waste and recycling services to more than 30 communities and two counties in the Des Moines region consisting of nearly 100,000 households. Its staff began discussions with its board of directors about a new, agency-owned recycling facility in 2018, as the disruptive aspects of National Sword were becoming clear.
“Metro Waste Authority has a strong history of solving industry problems with innovative solutions and, when it became difficult for our third-party processor to recycle the materials our Curb It! recycling program brought in, we dug deeper to create market partnerships and find a way to keep those materials out of the landfill,” says Michael McCoy, MWA executive director. “We knew that if we wanted to provide a sustainable future for recycling in the metro going forward, it would require a change in course for the processing and sale of material.”
After a feasibility study supported a new, technologically updated facility for the region, MWA’s board of directors decided to move forward with building a MRF owned and operated by the agency.
To create a successful program, MWA strived to emphasize advanced technology, strong partnerships and outstanding education as it developed the new facility.
The agency sought a partner to engineer, manufacture and install processing equipment in the new facility. After requesting proposed solutions from sorting system technology firms, MWA’s board selected CP Group. “CP Group understood our vision for an enhanced sorting system—one that would capture more material, reduce contamination and provide safe, pleasant working conditions for staff,” McCoy says.
CP Group developed a system designed to improve purity on recovered commodities, be low maintenance and protect workers.
At the front end of the system, a Primary Auger Screen and OCC Auger Screen work together after the infeed conveyor to fractionate material prior to being handled by manual sorters, “eliminating the presort and creating a safer environment,” CP Group says.
The Primary Auger Screen creates a 6-inch-minus fraction that sends overs to the patented OCC Auger Screen and unders to the CP Glass Breaker (which removes glass and fines) and then to the CPScreen that has new anti-wrapping discs to separate two-dimensional from three-dimensional material. MWA is the first in the world to incorporate the OCC Auger Screen into a single-stream sorting application, according to CP Group.
The patented OCC Auger Screen has steel cantilevered augers generating high agitation to create an OCC-rich stream while fractionating out smaller materials. “This machine does not wrap or jam and requires very little maintenance,” CP Group says.
The 8-inch cut sends unders, instead of going to instead of a traditional paper screen, to a Fibermax optical sorter made by CP subsidiary company MSS. The MSS Fibermax sorts out contaminants, while overs go to the OCC quality control area, where large rigids, metals and residue are pulled out.
Additionally, a CP LightsOut Air Drum Separator cleans the glass, and two MSS Plasticmax units sort containers.
Also installed in Des Moines are CP’s new auger silos, designed to maximize silo storage volumes. The augers act as a material metering system that eliminates half- and quarter-sized bales by emptying the correct amount of material to be baled.
“This advanced equipment package from CP Group reduces contamination early in the sorting process, allowing us to produce the best output for material sales and supporting the strong partnerships we’ve cultivated with brokers and end-market users,” McCoy says.
In addition to establishing a state-of-the-art recycling operation, the new recycling facility also builds upon MWA’s commitment to education by including space dedicated to learning. The space features a permanent exhibit that includes educational kiosks, interactive infographics and a hands-on sorting station for visitors of all ages to learn about accepted recyclables and the recycling process. The center also boasts an observation deck above the sorting floor, a mural designed by a local artist and multipurpose space intended for community talks, presentations and other meetings.
“The facility is the result of collaboration and a shared philosophy by the cities and county, and it will improve recycling and benefit communities throughout the state for years to come,” McCoy says. “Just like when our agency was formed to create a regional approach with one landfill, we are excited to have this same opportunity with recycling.”
MWA officially began operations at the MRF in late 2021. The new 101,100-square-foot single-stream facility processes material at 25 tons per hour and has room to grow as the region’s needs for enhanced recycling processing evolve.
“Metro Waste Authority has a MRF to be proud of, and we are happy to be their partner in bringing the latest innovations in recycling technology to the region,” says Terry Schneider, president and CEO of CP Group. “This facility will serve the greater Des Moines metro area with sustainable solutions for many years to come.”
Facility has been designed to produce 120,000 tons of recycled-content aluminum annually.
Norway-based aluminum producer Norsk Hydro ASA has broken ground on an aluminum recycling plant in Cassopolis, Michigan. The plant has been designed to produce some 120,000 metric tons of aluminum extrusion ingot per year, using what Hydro calls 75 percent postconsumer scrap.
Hydro’s President and CEO Hilde Merete Aasheim was among those present at a ceremony held in Cassopolis April 20. Hydro says it will invest an estimated $150 million to complete the project. The ingots made there will be used in automotive applications, other transportation uses, consumer and building system applications, the firm says.
“Aluminum is a key enabler in the green transition,” Aasheim says. “Recycling aluminum scrap reduces energy consumption and greenhouse gas emissions whilst promoting a more circular economy. Our plant in Cassopolis will be an example of sustainability and profitability going hand in hand.”
The Cassopolis plant will be the first large-scale producer of Hydro Circal in North America. That branded aluminum extrusion ingot contains at least 75 percent postconsumer scrap, certified by third-party auditors, and has what Hydro calls a market-leading CO2 footprint. “With a growing focus on sustainably produced aluminum, several North American customers have expressed interest in Hydro Circal,” the company says.
Hydro calls itself a leader in low-carbon recycled aluminum and says it can expand that status by bringing Hydro Circal to the United States market
“Our state-of-the-art technology allows us to dig deep in the scrap pile and re-create value by bringing low-value scrap types back to life as value-added products to demanding customers whilst supporting them in delivering on their sustainability ambitions,” says Eivind Kallevik, an executive vice president with Hydro.
Hydro predicts aluminum will play an even greater role in electric vehicles, and it has set up shop in Michigan because that is where it estimates some 90 percent of automotive suppliers have a presence. “Hydro has been in business for as long as Michigan has been making cars,” Kallevik says.
He continues, “The automotive industry is where the benefits of lightweight and infinitely recyclable aluminum really can make a difference to consumers looking to reduce transport costs and emissions. We are seeing interest from several aluminum extrusion companies and leading OEMs and look forward to partnering with them to further expand production of automotive products with our new capabilities at Cassopolis.”
While the company is piloting technology in Germany that will allow it to use a wider array of obsolete scrap, Gjellesvik says the Michigan site does not include plans to deploy similar separation and sorting technology currently. Instead, he says, Hydro is working with different partners to procure end-of-life scrap, with further developments in the area of scrap sorting occurring in the future at the current site in Cassopolis or nearby.
Gjellesvik says Hydro will be purchasing primarily 6000-series alloy obsolete scrap for use at the site, including aluminum wheels and power cables, as well as postindustrial scrap from extrusion-producing facilities.
"We typically like to work directly with the scrap providers" rather than brokers, he says. Hydro is in discussions with many scrap processors that have shredding capabilities, Gjellesvik adds.
From 40 percent to 50 percent of the site's scrap will be postindustrial material with some primary ingot from Canada used as a "sweetener," he says. This primary aluminum will be produced using hydropower to lessen the carbon footprint of the products produced on-site.
Operations at the site are expected to begin in the fourth quarter of 2023.
At the groundbreaking ceremony, Hydro says it was joined by guests from local and state government, the Norwegian embassy to the U.S., industry partners and potential customers. Guests included Congressman Tim Walberg (MI-7); Norwegian ambassador to the United States Anniken Ramberg Krutnes; Charles Johnson, president of The Aluminum Association; Emilie LaGrow and David Johnson from the Village of Cassopolis; and Bob Hance, president and CEO of electricity provider Midwest Energy & Communications.
*This story was updated April 25 to include comments from Trond Gjellesvik, North American president of Hydro Aluminum Metals.
In its Q1 2022 earnings call, the company’s executives talk about how SDI is working to increase shredded obsolete scrap use at its EAF mills.
During the April 21 Steel Dynamics Inc. (SDI) earnings call, the company’s executives spoke about the advantages of SDI’s vertically integrated operations and the rising role that obsolete scrap is playing at its electric arc furnace (EAF) steel mills.
“The team continues to effectively lever the strength of our circular manufacturing operating model, benefiting both our steel and metals recycling operations by providing higher quality scrap, which improves furnace efficiency and by reducing companywide raw material working capital requirements,” SDI Executive Vice President and Chief Financial Officer Theresa E. Wagler said.
Chairman, President and CEO Mark D. Millett added, “In today’s environment, our advantage of having our metals recycling platform is even greater. In the last 18 months, our recycling and steel teams have worked closely in developing a higher quality shredded scrap that can be used in place of prime scrap. The combined efforts resulted in our Butler flat-roll steel division reducing its need for prime scrap from 65 percent of its mix to only 40 percent while achieving the same steel qualities. We are currently rolling this out to our Columbus [Mississippi] and Sinton [Texas] steel divisions, allowing for a lower cost, readily available lower scrap supply. Additionally, given the historically high spread between prime and obsolete grades, which is around $170 a ton today, the reduced prime scrap requirement has provided a significant cost savings.”
However, SDI does have plans to close the loop on prime scrap generated by the customers purchasing steel from its Sinton mill. Millett said, “We have seven customers locating on our site, representing up to 1.8 million tons of annual flat-roll steel processing and consumption capability. Four are already operating, and the other two have broken ground—other three have broken ground, actually. This represents a unique closed loop process as we provide them on-site steel and, simultaneously, we claim their scrap to be rerouted into new steel products.”
Additionally, SDI’s purchase of Zimmer, a Mexican metals recycling company, in 2020 “provides a critical source of prime scrap supply to the Sinton mill, he said.
Regarding SDI’s Sinton mill, Millett said, “This electric arc furnace steel mill represents next-generation, lower carbon-emitting steel production capabilities providing differentiated products and supply chain solutions.” He added that the site “provides us with a more diverse value-added steel product portfolio and benefits our customers with an even broader climate-conscious supply option. Sinton’s strategic location is centralized in an underserved consumer region that represents over 27 million tons of relevant flat-roll steel consumption in the U.S. and Mexico. We offer shorter delivery lead times, providing a superior customer supply chain solution for the region. We also effectively compete with steel imports arriving in Houston and the West Coast.”
Millett added, “We currently expect 2022 shipments from Sinton to be over 1.5 million tons, achieving utilization of approximately 80 percent by the end of the third quarter and over 90 percent before year-end.”
Regarding how direct-reduced iron (DRI) and hot-briquetted iron (HBI) fit into SDI’s raw material strategy, Millet said SDI has been procuring and using HBI for many years. “For us, it tends to be what we call value-in-use kind of economic calculation. If it makes financial sense to put it in the mix, then we will buy it. HBI tends to be an inferior product to the electric arc furnace. It slows productivity down, it’s low yield and increases energy consumption. So, it’s never a preferred material. But at the right price, it makes sense.”
Millett mentioned how global pig iron supply chains have been disrupted by the invasion of Ukraine. “Our flat-roll steel operations have reduced the amount of pig iron usage while maintaining the highest level steel quality through changes in our operating practices and the help of our metals recycling team in sourcing alternative inputs. We have sufficient resources for our steel production to continue operating uninterrupted. Additionally, of particular note, our Butler Flat Roll Division has the advantage of Iron Dynamics, an on-site liquid pig iron production facility that supplies almost all the Butler’s pig iron requirements. Forging liquid pig iron into the electric arc furnace also significantly increases productivity and reduces smelting cost. We developed the technology years ago, and it’s the only existing facility of its kind today. We are currently in the process of pursuing opportunities to become even more pig iron self-sufficient for the future.”
He added that the Iron Dynamics’ run rate is about 260,000 tons.
Millett said SDI’s mills historically have used about 22 percent pig iron inputs but are close to 14 percent now.
The company posted net sales of $5.6 billion and net income of $1.1 billion, or $5.71 per diluted share, in the first quarter of 2022, which ended March 31. Excluding costs of approximately $84 million, or 31 cents per diluted share (net of capitalized interest), associated with the startup of its Sinton flat-roll steel mill SDI’s first quarter 2022 adjusted net income was $1.2 billion, or $6.02 per diluted share.
"The team delivered another tremendous performance, achieving record quarterly operating and financial performance, including record sales, operating income, cash flow from operations and adjusted EBITDA (earnings before interest, taxes, depreciation and amortization," Millett says in a news release regarding Q1 earnings. "Our first-quarter 2022 operating income was $1.5 billion, with adjusted EBITDA of $1.6 billion. This record performance displays the power of our highly diversified, value-added, circular manufacturing model—as the strength in our steel fabrication operations more than offset moderation in our flat-roll steel business, as realized hot roll coil selling values declined from peak 2021 levels during the quarter. Flat-roll steel prices have recently firmed with extending delivery lead times related to strong demand dynamics, coupled with higher input costs and global flat-roll steel supply disruptions. The automotive, construction and industrial sectors continue to lead steel demand. We are also starting to see a significant increase in steel demand from the energy sector.”
First-quarter 2022 operating income for the company's steel operations totaled $1.2 billion, which was lower than record sequential fourth-quarter results of $1.4 billion. The decline in earnings resulted from metal spread compression within the company's flat-roll operations, as hot-roll coil pricing moderated, SDI says. Alternatively, pricing and metal spreads expanded within the company's long product steel businesses. First-quarter 2022 average external product selling price for SDI’s steel operations decreased just more than $100 sequentially to $1,561 per ton. The average ferrous scrap cost per ton melted at the company's steel mills decreased $16 sequentially to $474 per ton.
First-quarter operating income from the company's metals recycling operations was $48 million, slightly more than fourth-quarter sequential results, based on improved metal spread offsetting modestly lower shipments, SDI says.
Its steel fabrication operations reported record operating income of $467 million in the first quarter, almost double sequential fourth-quarter results as significantly higher selling values and strong shipments more than offset marginally higher steel input costs. The nonresidential construction sector remains strong, according to SDI, resulting in a record order backlog with record forward pricing for its steel fabrication platform. SDI says it anticipates this momentum to continue through 2022 based on these dynamics.
SDI generated cash flow from operations of $819 million during the quarter, invested $159 million in capital investments, paid cash dividends of $51 million and repurchased $389 million of its outstanding common stock, representing 3 percent of its outstanding stock, while maintaining liquidity of $2.4 billion as of March 31, 2022.
"We remain confident that market conditions are in place for domestic steel consumption to continue to be strong this year and into 2023," Millett says in the news release. "Order entry activity continues to be robust across all of our businesses. We believe steel prices will remain supported by strong demand, balanced customer inventory levels and elevated raw material costs. We believe the automotive, industrial and energy sectors will remain solid steel consumers this year, with demand from the construction sector at the lead. Our steel fabrication operations order backlog remains at record volume and forward-pricing levels. This combined with continued robust order activity and broad customer optimism supports strong overall demand dynamics for the construction industry. We believe this overall momentum will continue and that our second quarter 2022 consolidated earnings should represent another record quarterly performance.”
The Indianapolis-based company donated $100,000 through its foundation.
The board of directors of Trinity Metals, an Indianapolis-based wholesaler, processor and trader of nonferrous metals, specialty metals and e-scrap, has presented the Honorable Order of Kentucky Colonels, a nonprofit based in Louisville, Kentucky, with $100,000 from the Trinity Metals Foundation. The funds will be applied to the Kentucky Colonels’ $2 million challenge for emergency relief and rebuilding efforts following December’s tornados in western Kentucky.
Trinity's board of directors has directed that up to 5 percent of the company’s annual profits be donated to fund charities such as the Honorable Order of Kentucky Colonels, Wheeler Mission and local food banks, as well as trade school, college and university scholarships.
“Since being commissioned a Kentucky Colonel, I have been impressed with the range of people the Honorable Order helps and the lengths its trustees go to ensure every dollar contributed makes a big impact,” says Trinity Metals CEO Wade Conner. “The commonwealth of Kentucky has always been an important part of the Trinity success story, and it is only fitting that we support the tornado relief effort with our best efforts.”
On hand with Conner to present the $100,000 check was fellow board member and Kentucky Colonel Michael Dannenmaier, representing Trinity Metals board members Monika Conner and Hari Agrawal, as well as Senior General Manager Brian Holcomb, also a member of the Kentucky Colonels. Conner and Dannenmaier were in Madisonville, Kentucky, to participate in the Kentucky Colonels’ spring Day of Service.
Sherry Crose, executive director of the Kentucky Colonels, said, “The generosity of Trinity Metals and its foundation inspires the Honorable Order to carry on the 85-year tradition of helping those in need. On behalf of our trustees and Kentucky Colonels around the world, I thank you.”
The primary goal of this plan is to divert 50 percent of all solid waste from the landfill to recycling or composting by 2027 and to increase that rate to 70 percent by 2032.
The city and county of Denver has released its Sustainable Resource Management Plan. The goal is to double recycling and composting over the next five years.
The plan is a collaboration between the Office of Climate Action, Sustainability and Resiliency (CASR), the Department of Transportation and Infrastructure (DOTI) and the Department of Public Health and Environment (DDPHE).
“This updated plan offers a comprehensive view of sustainable materials management strategies across the residential, commercial, construction and demolition (C&D) and industrial waste sectors,” the plan states.
Officials plan to divert 50 percent of all solid waste from the landfill and put it into recycling or composting by 2027. Officials also plan to increase that rate to 70 percent by 2032. The proposal also calls for advancing a circular economy through composting organic material that can be used to increase soil health instead of sending it to the landfill.
Officials say they hope to meet these goals through advancing policy at the local level that would increase recycling and composting while continuing to advocate for policy at the state level that could limit the use of certain materials and prevent waste at the source.
The 10-page document also calls to improve operations between city agencies and other partners throughout the city to create economically viable waste diversion solutions and programs. It recommends improving education for residents and businesses on responsible waste habits that promote a more sustainable future.
To meet these goals, the plan calls for the enactment of a Universal Waste Reduction Ordinance. The ordinance would establish diversion requirements for commercial and multifamily buildings and requirements for C&D debris. The proposal recommends exploring a cardboard disposal ban that would prohibit the disposal and collection of cardboard in waste receptacles. It would also lay the groundwork for future disposal bans such as food waste.
Other long-term solutions laid out in the plan include pursuing grant funding for the county’s regional composting facility, considering policies that support deconstruction and diversion over demolition and creating new end markets for recovered material.
Now, city officials are considering a proposal to implement a fee for waste hauling services for city residential customers. Officials say the fee will encourage waste reduction and provide free composting and recycling to all customers
The proposal builds on the city’s “Solid Waste Master Plan for the Mile-High City,” first released in 2010. The plan saw the standardization of residential trash collection to automated carts, removing dumpsters and decreasing more than 300 pounds of waste per household. It also increased compost collection subscriptions from 1,600 homes in 2010 to over 30,000 homes in 2022. Despite that, Denver’s diversion rate is still behind the national average.
“Through focused efforts over the last ten years, Denver has been able to increase its diversion rate from 13 percent in 2010 to 26 percent in 2020,” says Grace Rink, Denver’s chief climate officer, in a statement. “While we have made progress, this rate has remained stagnant and falls well below the national average of 34 percent. Reaching a higher diversion rate will require new strategies, and this plan will get us there.”