OneSteel Acquires Scrap Recycler

OneSteel Ltd. has announced that its recycling business signed an agreement to purchase the recycling firm Metals Trading.

OneSteel is an integrated, global manufacturer and distributor of steel and finished steel products. The company states that it is self sufficient in iron ore and has the ability to be self sufficient in scrap metal, providing significant flexibility to the integrated model that ranges from the mining, collection and supply of steelmaking raw materials through to steel production, manufacturing and distribution in Australia and overseas.

OneSteel also makes external sales of hematite iron ore and scrap metal.

Metals Trading, headquartered in Australia, is a supplier to OneSteel’s Recycling business. The company operates two scrap yards in the metropolitan Sydney area and two facilities in the metropolitan Melbourne area, as well as regional yards in Wagga Wagga and Corowa in New South Wales and Mildura in Victoria.

Metals Trading collects about 120,000 metric tons of ferrous scrap and 30,000 metric tons of non-ferrous scrap per year.

“Metals Trading is a good strategic fit for our recycling business because of the location of its sites, as well as the increased confidence it provides us over the sourcing of supply of scrap metal,” says Geoff Plummer, OneSteel’s managing director and CEO.

The acquisition is subject to clearance from the Australian Competition and Consumer Commission.