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20 OCTOBER 2017 AL CIRCLE

Real Alloy to restart its Kentucky UBC recycling facility on growing demand for recycled aluminium

EDITED BY : BEETHIKA BISWAS 2MINS READ

According to a September report, Real Industry Inc., Sherman Oaks, California made an announcement that its subsidiary Real Alloy Holding Inc. would restart its used beverage container (UBC) recycling operation at its Morgantown, Kentucky, facility, which was idled since December 2015. However, the company wants to restart operations due to increased customer demand and growth in scrap aluminium recovery. The company expects to complete the ramp-up and restart its UBC recycling operation in October 2017.

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It is noteworthy that as reported by USGS, total aluminum recovered from scrap in the US in July 2017 was 303,000 t, slightly more than the amount in June 2017 and July 2016, and 3% more than in July 2015. Real Alloy expects to process about 50,000 tons of secondary aluminium at the Morgantown facility, representing more than 6% of Real Alloy North America’s total annual production volume.

Commenting on the restart plan, Terry Hogan, president of Real Alloy, says, “We are excited about restarting the UBC recycling operation at Morgantown. The restart will bring approximately 30 people back to work at the facility and will result in higher equipment utilization with the higher production levels. We are currently ramping up the equipment and expect to be delivering the targeted volumes by the beginning of October 2017.”

Real Industry Inc. also has recently retained Jefferies LLC, a global investment banking firm from New York, to assist in refinancing Real Alloy’s $305 million of senior secured 10% notes coming due in January 2019.


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EDITED BY : BEETHIKA BISWAS 2MINS READ

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