Metal Watch

ALUMINUM SCRAP CONSUMPTION INCREASES

According to the U.S. Geological Survey, Reston, Va., consumption of aluminum scrap in the United States totaled 2.71 billion pounds through April 1996, increasing a mild 1.6 percent over the same period in 1995. For the first four months of 1995, aluminum scrap consumption was 2.67 billion pounds.

Metallic recovery from this amount of scrap also increased by 1.8 percent to 2.37 billion pounds in 1996, from 2.34 billion pounds recovered in 1995.

STEEL CAN RECYCLING CONTINUES TO GROW

According to the Steel Recycling Institute, Pittsburgh, Americans recycled more steel cans in 1995 than in the last six years. Last year about 1.6 million net tons of steel cans were recycled for a 55.9 percent recycling rate. This compares with 53 percent for 1994, and as low as 24.6 percent in 1990, when only 971,000 net tons of steel cans were recycled.

COMPANY TO COLLECT FERROUS AT WTE PLANT

Springfield Resource Recovery LP and Shaneway of Springfield Inc., both located in Springfield, Mass., have signed a contract to recover ferrous metals from SRR’s Agawam, Mass., waste-to-energy facility. Shaneway of Springfield, a wholly-owned subsidiary of Shaneway Inc., Akron, Ohio, will install a complete ferrous recovery system in the WTE facility that will magnetically separate the ferrous from the ash. SRR will operate and maintain the equipment that is expected to recover 3,600 tons per year of metals. The system is scheduled to begin operating in September.

ALCAN RECYCLING TOUTS SAFE FACILITIES

According to Alcan Aluminum Corp., Montreal, its aluminum recycling operations in Shelbyville, Tenn., and Ontario, Canada, have both achieved safety milestones that equal a total of 10 years without a lost time accident. The Shelbyville plant has achieved three consecutive years without a lost time accident, and the Ontario operation has achieved seven consecutive years without a lost time accident. Company officials stress that these are particularly noteworthy achievements since the two locations are both secondary smelters.

Last year, Alcan recycled 95 million pounds of consumer-generated aluminum non-can products. That same year, in the U.S. alone, the company recycled 15.5 billion aluminum beverage cans.

SILVER REPORT SHOWS INCREASE IN MINING

According to the seventh annual World Silver Survey from The Silver Institute, Washington, mining of silver increased in 1995, but still fell significantly short of meeting fabrication demand. Silver demand has out paced conventional supply for seven years and continues to reduce above-ground silver stocks, particularly in the United States.

“Our study finds that while mine supply increased for the first time since 1990, demand exceeded mine production and scrap by 154.8 million ounces, forcing the continued reduction of silver stocks,” says John Simko, president of Sunshine Mining & Refining Co. and The Silver Institute.

Demand for silver for photography, jewelry, silverware, industrial and decorative uses all increased. However, silver use for coinage dropped by 44 percent.

Although supply did not keep up with demand, it nevertheless increased through more mining and the recovery of more silver scrap. The report says that old silver scrap now supplies almost 20 percent of demand. However, any further substantial increase in silver recycling would require the price of silver to move “well beyond $6 per ounce.”

NI-CADS GET RECYCLED IN CONNECTICUT

The state of Connecticut is meeting the challenge of recycling nickel-cadmium batteries by partnering with the Rechargeable Battery Recycling Corp., which has offices in Gainesville, Fla, and Stafford, Va. The RBRC was formed to develop a nationwide battery management program. Connecticut currently has more than 100 retail stores participating in the recycling program.

For those wishing to learn more about ni-cad battery recycling in Connecticut or anywhere else in the United States, call (800) 8-BATTERY; or call the Portable Rechargeable Battery Association, Atlanta, Ga., at (770) 612-8826.

There is a strong incentive for recycling nickel-cadmium batteries, because cadmium is considered a toxic substance.

NICKEL, STAINLESS STEEL MARKETS REMAIN SLUGGISH

The nickel and stainless steel markets, although on a worldwide growth pattern, experienced a correction in the market during the past six months. Reporting on the United Kingdom market at the Bureau of International Recycling’s Spring Convention in Hong Kong, Austin Merrills, chairman of Ireland Alloys Ltd., Hamilton, Ireland, said that demand for stainless was sluggish and that prices were holding steady, but that order books for mills and foundries appear to be strong throughout the remainder of 1996.

In Asia, Japan, South Korea and Taiwan together accounted for about 34 percent of the world production of stainless steel in 1995, said Barry Hunter of Keywell L.L.C., Chicago. And with more capacity coming on line, these countries could account for about half of the world production in the near future. In addition, planned expansions in Taiwan and China will add to this capacity.

However, China’s growth in stainless steel may not advance as quickly as expected, although there will probably be an increase in demand, reported Zhao Gongyu of Jinchuan Nonferrous Metals Corp., Jinchang, China. Currently, China only accounts for 4 percent of world stainless steel production, and there are several problems facing increased expansions. Among those problems is a lack of capital for full production; a lack of stainless steel varieties; aging equipment; antiquated production processes; and high cost of the commodity.

In the pricing arena, Hunter gave a fearless prediction on the pricing of nickel which he said would average to $3.90 a pound for 1996. “We would have to see nickel reach the $4 mark this year for that to happen,” he said. “Then, in 1997 I predict nickel will average $4.75 a pound, and in 1998 it will average between $5.25 and $5.50 a pound.”