Joint venture with Magnezit will build and operate a zinc and iron recycling facility in Russia.
ZincOx Resources plc, Surry, U.K., has entered into a joint venture agreement with Ural-Recycling LLC, a wholly owned subsidiary of Russia-based Magnezit Group Ltd. The joint venture will cover the first phase of a program to establish a waste dust recycling facility in Russia.
Magnezit supplies refractory products and thermo insulating materials with an annual production of more than 1.5 million metric tons of refractory products per year. To grow its overall business, Magnezit has been looking for ways to expand its services to the steel industry. As part of this move, the company has indicated its interest in building a zinc and iron recycling plant in Russia to treat electric arc furnace dust (EAFD). Magnezit undertook a detailed evaluation of various EAFD processing technologies, including visiting ZincOx’s EAFD facility in Korea in May 2012.
ZincOx will take a 51 percent stake in the venture, with Ural-Recycling owning 49 percent. Additionally, Ural-Recycling will operate the facility. ZincOx will provide testing and use its knowledge of the process of rotary hearth furnace recycling technology, plant design and commissioning and technical support. The JV will cover all Russia and the Commonwealth of Independent States.
The operation expects to break ground on the project by the end of 2014 after conducting feasibility studies over the next two months.
According to a ZincOx news release, more than 200,000 metric tons of EAFD is generated in Russia every year. More promising, that figure is expected to continue to grow.
Commenting on the announcement, Andrew Woollett, ZincOx executive chairman, says, “The invitation to join Magnezit in the development of a plant in Russia is an exciting prospect for ZincOx and a great endorsement of our technology. It marks another step in our ambition to roll this technology out around the world, and we feel Magnezit is ideally placed to leverage its considerable experience in the Russian steel industry to support this important project.”
Sergei Odegov, Magnezit CEO, says, “We are delighted that ZincOx agreed to work with us on the development of this plant which will have huge benefits for the protection of the environment in Russia.”
ZincOx’s first EAFD recycling plant has been completed in Korea where the company has 10-year supply agreements covering about 400,000 metric tons per year.