Asta Energy Solutions is to invest around EUR 17 million in a new copper recycling platform at its Oed site in Austria.
The manufacturer of copper winding and conductor components is expanding copper recycling within its own value chain and creating a European platform for the production of copper wire from secondary copper.
The first machinery will be ordered before the end of the year, with production scheduled to start three years later. Copper scrap for the platform will be sourced both from Asta’s own production and from customers and suppliers. Corresponding agreements are being finalised in parallel with the gradual ramp-up of the platform.
Commitment
‘In-house recycling makes us less dependent on the copper market and secures our customers long-term access to high-quality copper wire,’ says ceo Karl Schaeke. ‘This is exactly what we promised at the IPO (in January). The investment is also a clear commitment to Austria as a business location and strengthens our headquarters in Oed. Recycled copper wire, made in Austria.’
The vertically integrated approach offers Asta and its customers advantages in terms of cost and time: transport routes become shorter, the number of interfaces decreases, and the complexity of global supply chains is reduced. This strengthens security of supply and makes procurement more predictable.
Economic sense
Cfo Daniela Klauser adds: ‘The recycling platform meets our internal return-on-investment requirements and is in our medium-term investment planning. We are investing in a project that clearly makes economic sense.’
The investment is part of a low carbon copper initiative announced in connection with the IPO. The aim is to increase the share of recycled copper in production to 70% by 2030 and, with the full use of recycled copper, to significantly reduce the carbon footprint per tonne of copper wire compared with current sourcing.
The Austrian platform builds on Asta’s existing recycling platform in Brazil. The know-how gained there feeds directly into the planning, while the new platform in Oed will be further developed technologically.
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