Newcastle-based steel maker Molycop has purchased JLW Services, a waste management company specialising in hard-to-recycle materials such as mattresses and tyres, with the aim of creating a circular economy.
Molycop, which makes steel grinding balls for use in the mining industry, had been using scrap steel supplied by the Cootamundra-based business for several years.
"The strategic rationale behind purchasing this business is to enable Molycop to move deeper into the circular economy, cementing our position at the forefront of recycling, decarbonising our industry and promoting sustainable manufacturing," Molycop president Michael Parker said.
"As well as increasing our ferrous scrap and recycled carbon capabilities - essential raw materials in the electric arc furnace steelmaking process - this purchase allows Molycop to provide responsible waste and recycling services for challenging waste streams."
JWL currently services industries, governments and communities across Australia.
Its mobile shredding equipment enables it to travel and shred onsite.
A fleet of trucks collect and transport material to its processing facility in Cootamundra where recyclable components are extracted for reuse.
The business will be rebranded as Molycop 360. Founder Jamie Walmsley will join Molycop in the role of general manager. The business' 25 employees will also join Molycop.
"After founding the business in 2014 with my wife, Leah, it's incredibly satisfying to see it bought by one of our most valued clients. Molycop is at the forefront of sustainable manufacturing in Australia and understands both the business and environmental case for building a strong circular economy," Mr Walmsley said.
"I look forward to becoming part of the Molycop Australia team, as we seek to double the recycling plant's revenue over next few years."
IN THE NEWS:
The Molycop Group has been producing steel at the Waratah site since 1917.
The company flicked the switch to renewable energy as part of a long-term purchase agreement with energy retailer Flow Power in 2019.
Under the agreement, Molycop's expected offtake of renewable energy is 100,000 megawatt hours per year, which covers more than half of its electricity consumption in NSW.
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