OmniSource in Venture to Commercialize De-Zincing Technology

March 13, 2006
Eyes on-site programs for mills, foundries, other manufacturers

Scrap processor OmniSource Corp. has formed a venture with a British firm to commercialize a "de-zincing" technology in the U.S. Britain's Meretec. Meretec holds an international patent for technology that effectively removes and reclaims zinc from galvanized and zinc-coated steel scrap.

As detailed by OmniSource, the Mertec technology involves processing reclaimed zinc into a high-purity zinc powder that may be used in a number of specialty applications, as well as typical commodity-grade consumption. The process also yields a premium-grade shredded ferrous product with low-residual chemistries, improved density, and yield levels that are higher than coated scrap.

OmniSource will be responsible for sourcing raw materials and marketing the finished scrap products, and Meretec will operate the state-of-the-art processing facility in East Chicago, IN. Together, OmniSource and Mertec will develop on-site management programs that might include new processing plants for specific industrial generators, steel mills, and iron foundries.

OmniSource president Danny Rifkin stated: "We believe there is great potential for the application of the Meretec technology in metals recycling. As the U.S. marketplace grows more attuned to environmental initiatives, this technology should become an essential part of the scrap recovery cycle. The Meretec partnership aligns OmniSource with a visionary company that operates with a global perspective. We believe that the future will require new and innovative methods to recycle metals, and OmniSource intends to be at the forefront of these efforts."

Meretec is a subsidiary of Metals Investment Trust Ltd. It is negotiating licenses for its de-zincing process worldwide, and last May settled terms of the first Australia's with Southern Recycling. Licenses are pending with prospective partners in Asia and Europe pending. Company chairman Martin Young stated: "Meretec is convinced that combining our technology with OmniSource’s material sourcing and market expertise will help bring this revolutionary process to the U.S. metals recycling market in the most efficient way possible."