CHICAGO Global Aluminum (USA) Inc. plans to invest millions to upgrade its Aluminum Shapes LLC and Signature Aluminum Canada Inc. businesses, according to market sources and a New Jersey official.
Sources estimated the total investment at the two facilities at $45 million to $65 million.
The lower figure is more likely, AMM has been told, with $30 million slated for a new casthouse and upgrades to the extrusion plant at Delair, N.J.-based Aluminum Shapes LLC, and another $15 million to $20 million earmarked for a new extrusion press and upgrades to two current presses and the casthouse at Pickering, Ontario-based Signature Aluminum Canada.
Former Aluminum Shapes and Signature Aluminum Canada chief executive officer Ted Riddle (amm.com, Sept. 13) has said that Global Aluminum, Walnut, Calif., was mulling investments in the two facilities, including a casting capability at Aluminum Shapes. The parent company has also said it was considering adding new extrusion presses and other upgrades to boost production (amm.com, Dec. 7).
A preconstruction permit for Aluminum Shapes has been approved, according to documents filed with the New Jersey Department of Environmental Protection (DEP). AMM couldnt confirm whether the permit was for a new casthouse.
Pennsauken Township Mayor Rick Taylor, whose jurisdiction includes Delair, said officials and company executives met to discuss "making some improvements ... and going back to more or less 24-hour, around-the-clock shifts, which is the way it was several years ago."
Taylor said he "gleaned" from the talks that Aluminum Shapes might build a new casthouse. He recalled $30 million being mentioned but wasnt positive about the figure.
A spokesman for Pickering Mayor David Ryan didnt return requests for comment Sept. 13.
Christopher Tresize, chief technology officer of Global Aluminum parent LiaoNing ZhongWang Group Co. Ltd., told AMM Sept. 12 that he wasnt authorized to speak about any potential expansions. He referred questions to Global Aluminum chief executive officer Johnson Shao, who didnt respond to requests for comment.