APRIL 2011
                                        

Metalico plans shredder facility

Metalico, Inc., a regional scrap metal recycler, has purchased a portion of the former Bethlehem Steel/Mittal complex in Western New York, including the abandoned galvanizing mill, from Great Lakes Industrial Development LLC, a Buffalo-based real estate investment group, as the site for a new shredder.

The 44-acre parcel includes a 177,500 square-foot building. Metalico plans to install a heavy-duty 80104 metal shredder inside the building, which will still provide ample additional space for other recycling activity. The location is appropriately zoned for the company’s contemplated use and approvals are in place for outdoor storage and processing of scrap metals.

Metalico expects to produce 120,000 tons per year of high quality shredded steel scrap by combining feedstock generated from its own yards and material available for purchase in the region.

Metalico expects to make a capital investment of more than $10 million for the acquisition of the property, plant and support equipment and related improvements for the shredder project. Metalico expects the new facility to generate 15 to 20 new permanent jobs in addition to construction and installation work. The company also plans to add two more scrap buying centers in the area to better supply the shredder and to be less reliant on traditionally more expensive third-party feedstock.