Armet Adds Equipment at its China Scrap Metal Plant

China Armco Metals Inc. has announced that its wholly owned subsidiary, Armet Renewable Resourced Co. Ltd., has added nine more cutting machines at its scrap metal recycling facility in Lianyungang, China. The company says the purchase is part of its plan to accelerate the production and processing at its scrap metal recycling facility. The facility started processing scrap metal at the China facility during the second quarter of this year after an initial testing phase; management anticipates a rapid expansion in production and delivery in the coming quarters.

Commenting on the announcement, Kexuan Yao, CEO and chairman of China Armco Metals, says, "We have invested substantial resources in the launch of our scrap metal operations and have spent several months completing testing, securing necessary government approvals and procuring raw materials. In an effort to meet current and anticipated demand levels for the remainder of 2010 and beyond, we have added this equipment and intend to use every resource at our disposal to expeditiously grow this business. We are confident in our ability to reach our goals and remain steadfast in our belief that this business will be the largest driver of our growth for the foreseeable future."

The scrap metal facility includes a shredder, which China Armco says is capable of processing one million tons of material a year. When fully operational, the company claims that the scrap metal facility will make China Armco one of the 10 largest scrap metal recyclers in China.