Federal Metal Co. to locate in North Little Rock; $17.8 million investment, 40 jobs
by March 16, 2023 12:25 pm 3,374 views
The Federal Metal Company, a maker of copper-based cast alloys, announced Thursday (March 16) it is expanding its footprint into North Little Rock. The company will build a new manufacturing facility to recycle post-consumer aluminum copper radiators.
Federal Metal will invest approximately $17.8 million in the facility is expected to create 40 new jobs within four years. This will be the company’s first facility in Arkansas.
Federal Metal plans to be operational mid-2023. The company will be able to recycle more than 3,000 metric tons per month of aluminum copper radiators in North Little Rock.
“Major investments in new mill, foundry, and refining capacity are underway in the United States for the first time in generations, and it’s important the scrap industry here keeps pace to assure the domestic supply chain is well fed,” said Peter Nagusky, Federal Metal’s President and CEO. “It is wasteful when valuable scrap like these radiators are exported. Companies producing semi-finished copper and aluminum will need to increase the recycled content of their products by using more scrap and less primary metal. The main reasons are clear: it is economically advantageous and environmentally sustainable.”
“Importantly, this strategic location is convenient for our supplier partners and close to several key customers,” Nagusky added. “We are looking forward to a long partnership with the city of North Little Rock and the state of Arkansas. With their help, and the talent available to us within a mile of downtown Little Rock, this specialized operation will quickly emerge as the most advanced of its kind in the world.”
In 2020, Federal Metal developed “pre-melt specification” aluminum products, which offer cost savings to rolling mills that would otherwise be using more expensive prime aluminum or aluminum RSI (remelt secondary ingot).
“The metals industry plays a key role in the vibrancy of the Arkansas economy, accounting for about 13.6 percent of total manufacturing,” said Clint O’Neal, executive director of the Arkansas Economic Development Commission. “More than 22,000 Arkansans are employed in the industry. I am confident that Federal Metal will find the resources and workforce they need to take this next step in their success story.”
Federal Metal Co. is headquartered in northeast Ohio and has been in business since 1913.