Davis Index: Market Intelligence for the Global Metals and Recycled Materials Markets

CELSA Manufacturing UK (CELSA) has applied for planning permission to construct and operate a ferrous metals recovery centre with the use of a shear processing plant in Rotherham, according to the local community website.


The application was registered on Sep 6, 2019 by an independent civil engineering consultancy and has turned valid from Feb 5, 2020 with a public consultation period from Jan 29 to Feb 28, 2020, as per documents viewed by Davis Index. 


CELSA’s proposed ferrous scrap processing site will be built on a plot adjacent to the Sheffield Road in Ickles, Rotherham, South Yorkshire, and is interestingly close to Liberty Specialty Steel’s narrow strip mill. Furthermore, the plot is also close to the rail line (part of the Masbrough Sorting Sidings) used for the delivery and shipment of metals to CELSA’s Cardiff smelting operations.


According to CELSA’s application, the Rotherham Shear Processing Plant will “process, store and distribute up to 75,000mt” of ferrous scrap metal per annum. While the headline volumes of this proposed processing plant are relatively small – for now, this move represents a significant change in strategy as to how CELSA conducts business and procures ferrous scrap from local suppliers.


Davis Index understands that CELSA has already held meetings with several local suppliers to secure the necessary volumes of feedstock for processing. However, one UK-based scrap trader has already refused to supply material to the company as they do not agree with their “tactics”.


CELSA operates a 1.2mn mt ferrous scrap-intensive steelmaking electric arc furnace in Cardiff, UK, and can produce up to 890,000mt of reinforcing bar, coils & rod and 350,000mt of merchant bar & heavy sections.

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