Spectro Alloys to invest $71M in expansion project

Spectro Alloys, headquartered in Rosemount, Minnesota, will invest $71 million to expand its aluminum recycling capabilities at its Rosemount campus with the addition of equipment to sort and melt postconsumer aluminum and cast it into various sheet and billet alloys.

The company says the expansion is in response to the growing market for recycled aluminum sheet and extrusion driven by consumer demand for sustainable products, green building standards a stable domestic supply chain and cost savings associated with recycled material and the need for improved recycling rates in Minnesota.

Spectro Alloys says it will break ground on the project in 2024 and be operational in 2025.

The company is expanding its Rosemount campus to approximately 42 acres and will build a new 90,000-square-foot building along Highway 55. The first phase of the project will result in up to 120 million pounds per year of additional recycling capacity.

The facility will include industry-leading automation and equipment for sorting, melting, casting and homogenizing aluminum scrap, Spectro says, and the best available technology for pollution control. It also will create up to 50 new full-time jobs, according to the company, which is celebrating 50 years in business this year.

“As we celebrate 50 years of responsible aluminum recycling this month, we’re looking toward the future and the opportunity to improve recycling in Minnesota,” says Luke Palen, Spectro Alloys president.

Image courtesy of Spectro Alloys

Aluminum billet is used as raw material for extruders, who turn it into products that include railings, window and door trim; structural components for cars, boats, airplanes, trailers, docks; and more.

Spectro Alloys also plans to recycle used beverage cans (UBCs) and other end-of-life aluminum products to produce sheet ingot, which are high-purity slabs of aluminum weighing up to 60,000 pounds each that are used as feedstock for rolling mills.

Spectro Alloys says that in Minnesota, only 45 percent of aluminum UBCs are recycled currently, according to data from the Minnesota Pollution Control Agency.

Spectro Alloy’s recycling process uses 95 percent less energy and releases 95 percent less CO2 than aluminum production using virgin raw materials. With this expansion, Spectro Alloys says it will save enough energy to power every home in Minneapolis and St. Paul combined.

“This investment isn’t just about adding jobs and producing more, it’s about helping Minnesota as a whole become better at recycling by creating an extremely valuable type of aluminum that manufacturers need,” Palen says. “It is about closing the loop for locally sourced materials—ensuring the value in aluminum products we use every day supports responsible recycling of aluminum right here in Minnesota.”

The billet project is the latest of several investments at Spectro Alloys. The company recently debuted a new 70,000-square-foot distribution center for shipping and processing finished products, air filtration and pollution control system upgrades and a new business office and internal facilities for its team of 140 employees.