Announcement Presentation Aurubis Richmond, USA
Hamburg, November 10, 2021
1
At a glance: Aurubis Richmond, USA, sets stage for expansion in recycling business and execution of updated strategy
Efficient, low-risk approach based on proven technologies and long-standing experience
Investment | EBITDA p.a. |
~ € 300m | (by 2025/26) |
~ € 80m | |
Start of | ~ 90,000 t |
production | input material |
following ramp-up | ~ 35,000 t |
phase | blister copper |
1st HY 2024 | |
output | |
- Megatrends boost demand for recycling and multimetal solutions globally
- Aurubis creates frontrunner position in highly attractive US recycling market with significant annual growth rates of 4-6 % (CAGR) through 2035
- Aurubis Richmond marks milestone to deliver on updated growth strategy, unlock new growth areas, and further strengthen earnings profile
- Site located in Augusta, Richmond County in Georgia, featuring attractive conditions, close proximity to suppliers, and options for capacity expansion
- Creating competitive advantage by capitalizing on existing market know-how, proven market technologies, flexible application mix, highest sampling and laboratory standards
- Expansion of multimetal portfolio by processing and recycling new materials
- Easily adjustable approach allows for quick adaptation to changing market demands
- Project fully in line with Aurubis' sustainability targets and ambition to strengthen and expand our position as the most efficient integrated smelter network worldwide.
Aurubis / Announcement Presentation Aurubis Richmond | / 2 |
Aurubis accelerating growth in recycling by investing in the very attractive US market
Tapping into a new | New site to further | Investment supports |
market with proven | strengthen Aurubis' | climate targets and is |
market technologies | sustainable, integrated | fully in line with Aurubis' |
smelter network | Sustainability Strategy |
- Aurubis Richmond to become the largest specialized multimetal recycling smelter in the US market
- Next logical step following the recycling and multimetal business expansion, capitalizing on megatrends such as electrification, renewables, digitalization
- Efficient, low-risk approach based on proven market technologies
- Investment fully in line with sustainability targets and Aurubis' strategy to drive sustainable, profitable growth
Aurubis / Announcement Presentation Aurubis Richmond | / 3 |
Strategic step that capitalizes on underlying market trends
Increasing importance of sustainability in the US/Europe
- Regulation, consumers, and electronics manufacturers focus increasingly on sustainability
- Consequence: increase in recycling rates and incentivized local recycling
- Opportunity: limited availability of secondary smelters in North America opens unique opportunity for market entry
Decline in copper scrap imports in Asia
- Expected long-term trend towards emergence of local recycling markets in Asian countries
- Chinese import ban on low-purity copper scrap as catalyst for this trend
Growing market for copper- containing recycling materials
- Continuous positive development of underlying industries and accelerated innovation cycles, especially regarding consumer electronics
- Further increase in supply expected due to electrification and expansion of renewable energies
Aurubis / Announcement Presentation Aurubis Richmond | / 4 |
US recycling market with significant growth potential
Strong ~4-6 % growth through 2035 with focus on complex recycling/PM material
US market size for recycled materials 2019-2035(in million t) | Growth Drivers | |||||||||||||
Cu Scrap/Alloys | Complex Recycling | PM Material | Incremental | Continuous growth of industrial | ||||||||||
CAGR 29-35 | Growth | activity and consumption of | ||||||||||||
electronics lead to solid growth base | ||||||||||||||
~12.2 | ||||||||||||||
Collection | Increasing collection rates, | |||||||||||||
~9.7 | Rates | especially of bulk e-waste and PCB | ||||||||||||
~7.5 | materials (currently only ~30 %) | |||||||||||||
~5.6
2019 | 2024 | 2029 | 2034 |
Data sources include Aurubis internal data, UN Comtrade import/export statistics, IHS, industry expert interviews, and market reports.
Miniaturiza- Recycling materials are getting tion Effect smaller with technological
progress (e.g., bulk e-waste and PCBs)
Import/ Net export of copper scrap
Export continuously decreasing with increasingly restrictive import policies in current outlets
(China and Southeast Asia)
Aurubis / Announcement Presentation Aurubis Richmond | / 5 |
This is an excerpt of the original content. To continue reading it, access the original document here.
Attachments
- Original document
- Permalink
Disclaimer
Aurubis AG published this content on 11 November 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 11 November 2021 11:06:01 UTC.