Metal plant set to expand
By Blake Belden, Staff Writer
Sep 6, 2013, 13:52
PRINCE GEORGE — An aluminum production facility in Prince George is currently erecting a new building adjacent to the existing one that is slated to generate at least 16 new jobs and begin production in April of 2014, according to Chip Dollins, the vice president of operations for Service Center Metals.
SCM, a privately owned company that just celebrated its 10th anniversary, held a ribbon-cutting ceremony last week to initiate breaking ground on the construction of the new 81,000-square-foot building directly next to the original 156,000-square-foot extrusion plant.
The company produces aluminum extrusions, rectangular rods of aluminum which can easily be reshaped or used in things like window frames, cars, appliances and defense missiles, and distributes them to service centers rather than selling directly to end users like Boeing, Dollins explained.
This process of creating extrusions from much larger logs of aluminum creates a sizeable amount of scrap that SCM then delivers to another company to melt back into more usable raw materials, Dollins said before explaining that the new building’s purpose is to allow for them to handle this process independently.
“We’re going to take all of the scrap we generate in our plant. We’re going to melt it down and we’re going to produce logs for our extrusion process in this plant. [We’re] basically recycling our scrap,” he said.
Because of the recent economic recession, the market for aluminum log suppliers took a hit and many businesses were forced to shut down. Now that the market has begun to pick up again, the supply is less than it used to be, therefore pricing has shot up.
Dollins said that the new building is the most economically viable decision for self sustainability following the recent economic downfall.
“It makes sense for us to be more self-sufficient by making our own logs because we don’t have to pay the higher price,” he said.
Although the plant located at 5850 Quality Way is the company’s sole location, Dollins said expansion is definitely a long-term vision for the company.
“We’re always looking to expand. Right now, it makes more sense to expand by being vertically integrated than it does to add another extrusion press or build another extrusion plant somewhere else in the country,” Dollins said.
Construction is expected to be finished in November, and then the next five months will be spent installing the necessary equipment which will be shipped from Austria, Dollins said.