Recycled Plastics Company Makes Acquisition

Texas-based company sees strong market for end market as it buys operation in east Texas.

North American Technologies Group, Inc. announced today the purchase of a 200,000-square- foot manufacturing facility on 40 acres near Marshall, Texas. NATK will build two new manufacturing lines to produce the TieTek composite railroad tie. According to Alan Snelling, a spokesman for NATK, the company hopes to have construction completed and have production of the plastic/rubber tire composite railroad ties operational within the next eight months. The Marshall facility will begin with two production lines. The company already has a railroad tie production facility in Houston.

The Marshall facility, previously owned by Trinity Industries, Inc., is on a main line of the Union Pacific Railroad and has a dedicated spur into the plant.

When fully operational, the company hopes to reach a monthly production level of 30,000 recycled railroad ties. The company uses recycled post-consumer plastic and scrap tires for close to 90 percent of the railroad tie’s composition. At the present time the company feels comfortable that its main supplier, Avangard Industries, Ltd, a recycling company with operations in Texas and Mexico, will be able to supply the company with enough raw material to feed the plant.

"The Marshall plant offers many significant advantages for our expansion project," said Greg Krouse, project engineering manager for NATK. "In addition to rail spur and truck docks, high roofs, overhead cranes and concrete floors, the existing infrastructure includes electrical, plant air, water and office space. We are pleased with the head start these physical assets and the support of the community provide for our project," added Krause.

NATK, through its wholly-owned subsidiary TieTek, Inc. manufactures railroad ties using recycled plastics and scrap tires as raw material with a patented process. NATK's composite railroad ties are an alternative to hardwood in railroad tie applications.
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