W Silver to Open Scrap Yard in New Mexico

Company expects to tap the Mexican ferrous scrap market with the new location.

July 23, 2013
Recycling Today Staff
Ferrous Nonferrous Plastics
The scrap metal recycling company W Silver Recycling, headquartered in El Paso, Texas, has announced plans to open a new facility in Santa Teresa, N.M., close to the U.S.-Mexico border.

New Mexico Gov. Susana Martinez and Secretary Jon Barela heralded W Silver’s efforts to build and operate a facility as a result of a more competitive business environment in the state. Gov. Martinez says the state making its tax structure competitive, as well as the New Mexico’s focus on investing in infrastructure at the U.S.-Mexico border, as key reasons for the ability to attract W Silver.

W Silver Recycling has been operating for more than 90 years in the southwest U.S. and Mexico. In addition to El Paso, W Silver has three other locations: Albuquerque, N.M.; and Amarillo and Donna, Texas.

“Santa Teresa has become one of the most dynamic communities along the U.S.-Mexico Border,” Secretary Barela says. “We will continue to work hard to recruit companies to this area; the jobs created here benefit the entire state of New Mexico.”

Lane Gaddy, president of W Silver Recycling, says that the company hopes to have the scrap yard operational by this fall. The greenfield plant is a “capacity expansion,” Gaddy says, due to it being only 15 miles from W Silver’s headquarters. Additionally, the facility will be located less than one mile from the U.S.-Mexico border.

Gaddy adds that the company has had a positive experience dealing with various New Mexico state agencies. “We have had very good working relationships with the New Mexico government agencies.”

Gaddy says that the scrap yard will cover around 5-1/2 acres with the possibility of expanding the facility by another 5-1/2 acres, depending on market conditions. The facility also will have a rail siding, which will make the scrap metal yard an ideal location from which to ship material to steel mills throughout the United States.

The decision to open the rail-accessible facility also follows a massive rail project that Union Pacific is building in Santa Teresa. The UP facility will sit on 2,200 acres and will include fueling facilities, crew change buildings, an intermodal yard and an intermodal ramp with an annual lift capacity of up to 250,000 intermodal containers. The UP says that the facility will give the southern region of New Mexico access to the rail opportunities.

Gaddy says that the new yard will at least initially focus on accessing the ferrous scrap metal market, primarily from Mexico. There will be scales, some torching, and radiation equipment at the new site. Following minimal processing the company is expected to ship the collected ferrous scrap to consumers throughout the U.S.