A recycling company has received a second debt investment from Finance Wales, which will provide the Flintshire based company with the development capital it needed to install a state-of-the-art recycling plant. Paperback Collection & Recycling Ltd has been salvaging and reprocessing waste paper, card, polythene and plastics at its Deeside plant since 2009. Turnover has almost doubled since Paperback Recycling received a £350,000 loan from Finance Wales in 2010 which enabled it to install a new automated system to sort larger quantities of recyclable waste. The company is now expanding its core services to take advantage of the emerging market for refuse-derived fuel (RDF) in the UK. The company has used Finance Wales’ latest investment to purchase innovative new plant which will improve its core sorting and storage business and also enable it to produce high-quality RDF.
“We’re aiming to continue developing our core storage, salvage and reprocessing business but we also plan to diversify into producing high-quality refuse-derived fuel or RDF. Although the European market for RDF is now quite mature, demand is just starting to take off in the UK and we want to establish ourselves as a UK leader. Finance Wales’ first investment helped us increase our capacity and we’ve used this investment to purchase new plant to help increase our efficiency and break into a growing new market. Finance Wales’ backing has been key to our continued growth. The UK needs to achieve higher overall levels of recycling and using our new plant we’re committed to achieving ever higher rates of recyclate recovery as well as to making RDF from remaining final residues,” explained Managing Director, Gordon Anderson.
Turning waste into fuel is well-established in Europe and is also set to increase in the UK. Shredding and dehydrating allows thermal energy to be extracted from solid refuse. It also drastically reduces the amount of waste sent to landfill and costly waste exports.
Finance Wales Portfolio Executive, Allan Jones who structured the investment has established a long-term relationship with the company. He said: “Paperback Recycling has been operating in the waste management and recycling sector since 1995. It has invested heavily in its Deeside facility since opening it in 2009 and now has the capacity to process large volumes of waste. The company provides its growing client base with a range of collection and recycling services and is continuing to expand its presence in this market. Waste management is becoming a significant global issue and changing the way waste is processed. Legislation and high landfill taxes are driving growth in the market for refuse-derived fuel market. Finance Wales’ latest investment has enabled Paperback Recycling to gear up its operations to take advantage of new market growth.”
Finance Wales’ investment in Paperback Collection & Recycling Ltd came from the £150 million Wales JEREMIE Fund.