Recycling Metals

Conference Indy
June 2019
Heritage Profile
The Heritage Group’s History
The Heritage Group has been building lasting relationships with its
partners for over 80 years.

4 Generations of family management

250+ Fortune 500 customers

7,000+ Employees

$8 Billion Total Revenue

The Heritage Group comprises a portfolio of companies and is owned and led by the Fehsenfeld family
 Recent Metal Recovery
Developments at Heritage
Nigel Morrison President
PIZO Technologies
nigel.morrison@heritage-enviro.com
Recycling Metals from Industrial Waste
A Short Course and Workshop
With Emphasis on Plant Practice
June 24-26 , 2008
Sponsored by the Colorado School of Mines
Office of Continuing Education
PIZO Operating
Company LLC
• Heritage/Nucor Owned
Company
• Operated by Heritage
• 50,000 ton/year EAFD
supply
• Joint supply
Nucor Yamato & Hickman
• Capex $29MM
• Production Q1 2009
FACILITY VIEW FROM SOUTH
 PIZO
Facility
• 40 acre site in Blytheville
Arkansas
• 2 x 100 ton Ajax Tocco Channel
Induction Furnaces
• 1 Komarek briquette press
• 43 Employees
• PIZO Iron 32,000 ton/yr
• Crude Zinc Oxide 14,000 ton/yr
• Slag 16,000 ton/yr
 Slag
Additives Slag
Storage

Iron Borings
F #1 F #2
Z
n
Fe Fe
P
EAFD Briquetter I
G
B
Coke EAFD
I
C
N
Briquettes A
D
E BF S
R T

Pig
PigPig
PigPig
Pig
Pig
Storage
PZO
Baghouse
PIZO Fume
Pouring Iron Pigs
 1/6/1998

1/6/1999

1/6/2000

•Courtesy of Ryans Notes

1/6/2001

1/6/2002

1/6/2003

1/6/2004

1/6/2005

1/6/2006
Pig Iron Price Chart

1/6/2007

1/6/2008
0
100
200
300
400
500
600
USD $
Zinc Nacional
Zinc Nacional Profile
Zinc Nacional is one of 10 entities owned by the Alverde family’s 4th generation family diversified holding
company, Grupo Promax. Based in Monterrey, Mexico with focus in production and commercialization of
gypsum products, wall plaster, drywall, zinc derivatives and recycled paperboard.

Overview:
• Founded in 1917
• Based in Monterrey, Mexico with 3,000+ employees
• The largest manufacturer of wall plaster and industrial and
ceramic gypsum in Mexico
• The largest manufacturer of Zinc Oxide and Zinc Sulfate in
Latin America
• The largest producer of gypsum drywall in Latin America
• The largest supplier of light-weight construction systems in
Mexico
• Products sold in over 25 counties across the globe
• Own and operate Waelz kilns with 700k tons of total annual
capacity in the U.S., Mexico, Turkey and South Korea
Zinc Nacional Waelz Kilns
ZN, SDR, TURKMEX, and GSDK represent Grupo PROMAX’s proven waelz kiln technology for
processing metallurgical feedstocks across the globe.
• Location: Monterrey, Mexico
• Main Products: Zinc Oxide, Zinc Sulfate and recycled Paperboard
• 6 waelz kilns

• Location: Millport, Alabama

• Main Products: Waelz Zinc Oxide, Iron Concentrate
• Acquired in 2009

• Location: Aliaga, Izmir, Turkey

• Main Products: Waelz Zinc Oxide, Iron Concentrate
• Joint venture started in 2014 between ZN and Cinkom
• Started operations in February 2017

• Location: Suncheon, South Korea

• Main Products: Waelz Zinc Oxide, Iron Concentrate
• Started operations in June 2017
Waelz Sustainable
Products LLC
 Metallurgical Feedstock from Steel Mini Mills
Waelz kilns process a metallurgical feedstock that is a byproduct of steel mills, to create Zinc Oxide – a
widely used additive in numerous products such as rubber, plastics, ceramics, glass, cement, lubricants,
paints, sunscreen lotion, adhesives, sealants, pigments, micronutrients, batteries, and more.
SCRAP STEEL
ELECTRIC ARC
FURNACE

BAGHOUSE
COLLECTION
METALLURGICAL
FEEDSTOCK

Metallurgical Feedstock Collection: Electric Arc

Furnaces like Nucor Steel or Steel Dynamics, typically referred to
as “mini mills”, melt a blend of scrap metal, including a large
amount of galvanized scrap metal which contains zinc. In the melt
stage, zinc is evaporated and trapped in the air handling
(baghouses) of mills.
 Waelz Kiln Technology

EAF PELLETS COKE / WASTE

REDUCING AGENTS WAELZ KILN PROCESS

Fe Pb
Cd
Zn
K Cl
Ca Na

Waelz
Iron

PRODUCTS
Product
(WIP) 35%
CZO
Crude Zinc
Oxide
(CZO)
 The Waelz Process
The Waelz process is a method of recovering zinc and other relatively low boiling point metals from
metallurgical feedstocks, mined ores and other recycled materials using a rotary kiln (waelz kiln).

ZINC OXIDE WAELZ KILN PROCESS

ZnO Coke
Discharge
Production Combustion Water Metallurgical
Iron ZnO reacts FeO reacts
(Gaseous) (throughout Evaporation Feed & Coke
Concentrate
the kiln)

ZnO
ZnO CO2 CO2
ZnO Feed Pellets
Zn ° + ½ O2 ZnO ZnO
AIR ZnO ZnO CO
CO CO
GAS CO2 CO2 CO
OXYGEN ( O2 ) H2O
Fe2O3 + CO 2FeO + CO2
ZnO + CO Zn ° + CO2 FeO + CO Fe + CO2 C + 1/2 O2 CO
Fe

1000°C 1150 °C 900°C - 500°C - 900°C 150°C - 20°C – Coke

1300°C 500°C 150°C
Iron Concentrate

Waelz Kiln Flow

65% Iron 35% Waelz
concentrate Zinc
Oxide
Other Waelz Plant Images for Reference

Waelz Kiln Plant in Waelz Kiln Plant in

Aliaga, Turkey Monterrey, Mexico
Plant Specifics: Waelz Plant
Key Assumptions:
• Plant Capacity
• Phase 1: (1st Kiln) 120,000 tons/year
• Phase 2: (2nd Kiln) 240,000 tons/year
• Finished Products: Zinc Oxide &
Iron Concentrate
• Required Utilities:
• Electric Power 3MW
• Natural Gas 70 MMBTU/hr.
• Water 6,000 gallons per day
• Railroad Spur
• Connection to major highways
• Heavy Industry zoning
Millport, AL
Location and EAFD Supply
WSP is ideally situated to collect and process EAFD. We are excited to bring additional processing
capacity to EAFD generators. Our planning is measured, with room for expansion when needed.

• Our plant will be well positioned in Muncie, IN to serve a

large portion of steel producers throughout the Midwest
offering them a competitive logistics advantage.

• HES and ZN have EAFD data on 90+ mini mills, of which

nine are based in Indiana; HES and ZN have
relationships with many of the mini mill owners and
operators.

• Capacity
– Phase I: 130k tons/yr Q4 2020
– Phase II: 260k tons/yr soon after.
22
US EAFD Volumes To Off-Site Facilities 2017

Approx. 1 MM tons EAFD managed

in the United States

10
 USA EAFD Processing Capacity
YEAR 2006 2007 2008 2009 2010
EAFD Generation 988K 1013K 1038K 1063K 1088K

Horsehead 538K 538K 618K 668K 778K

Capacity
SDR Capacity 50K 120K 120K

PIZO Capacity 50K 100K

Zincox Capacity 100K 200K

Other Capacity 150K 150K 150K 150K 150K

TOTAL 688K 668K 818K 1088K 1348K

PROCESSING
CAPACITY
 Planned New Steelmaking Capacity
300,000 Tons/Year additional EAFD by 2022
• Nucor 61,000
• SDI 58,000
• JSW 42,000
• Big River 54,000
• USS 27,000
• North Star BlueScope 38,000
• Others 20,000

25
 US EAF Dust Generation vs Recycling Capacity

WSP brings much needed processing capacity to the market as U.S. EAFD generation is
projected to grow nearly 20% in the next four years.

EAF DUST FROM

2022 EXPANSIONS
WSP WSP
Phase I Phase II

2018
Current
0 200,000 400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 1,600,000

EAF Generation Waelz Kiln Capacity

26
Timing
 Project Alacran
• JV between HES and ZN agreed 2017-2018
• Press Release August 2018 announcing the project
• 3 potential sites from 80 in 4 states chosen
• Muncie IN site chosen January 2019
• Public Meeting in Muncie and Press Release January 2019
• Land purchased February 2019
• Engineering firm selected February 2019
• Air Permit application filed April 2019

28
 Project Timing

Year 1: 2018 Year 2: 2019 Year 3: 2020

Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr

Site Selection

Permits

Engineering

Equipment

Construction

Hiring

Commissioning & Start up