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Zinc

Horsehead Holding Corp. Announces Exploratory Plans for a New, Efficient, Sustainable Zinc Plant

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PITTSBURGH, Feb 07, 2011 (BUSINESS WIRE) -- Horsehead Holding Corp. (Nasdaq: ZINC) today announced it has completed a preliminary feasibility study to construct a 150,000 ton per year zinc plant based on state-of-the-art &quot;green&quot; technology. Initial work has commenced on basic design and engineering and a site selection effort aimed at identifying a location for the plant is in progress. The goal is to produce zinc at much lower costs, to significantly reduce air emissions and to provide opportunities for the Company to not only serve its traditional hot-dip galvanizing and zinc oxide markets, but to also serve the broader market for special high grade zinc and the continuous galvanizing market as well.
The proposed new facility will utilize a lower-cost, environmentally-friendly solvent extraction and electrowinning technology to convert electric arc furnace-based feed and other recycled materials into special high grade zinc and other zinc products. This facility, which would replace the existing capacity, will position Horsehead among the world's low-cost zinc producers. The successful execution of this initiative will result in the sustainable production of zinc from recycled sources.
Horsehead is considering numerous potential sites from multiple states for its new plant. Some of the criteria for site selection include electric power costs, environmental permitting process and requirements, labor costs and the value of incentives provided by state and local government. Horsehead's Monaca, PA location is one of the sites under consideration.
If constructed, the new facility will be expected to:
Increase operating efficiencies and reduce operating costs Enhance Horsehead's position as a globally competitive zinc producer Open new zinc markets with significant growth potential Reduce Horsehead's currently permitted air emissions including particulates, lead and greenhouse gases Further promote the principles of sustainable development and product stewardship currently embodied in the Company's operations
Horsehead's site selection process is expected to continue through Spring 2011. If the project is approved by the Board of Directors and financing is secured for the project, the Company hopes to begin construction of the new facility before the end of the year. 
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