Heat Recycling Brings Savings, Jobs to Fayette

By Sarah K. Winn, staff writer
February 06, 2008

Using recycled energy at the West Virginia Alloys Inc. plant in Fayette County is part of a plan to sustain both the business and the environment, the company's president said Tuesday.

Using recycled energy at the West Virginia Alloys Inc. plant in Fayette County is part of a plan to sustain both the business and the environment, the company's president said Tuesday.

"The plant has been here for 75 years and wants to be for another 75," said West Virginia Alloys President Arden Sims. "This project is important for its future."

The project — a $45 million to $55 million waste heat recovery system developed by Recycled Energy Development LLC — was born out of a mutual friendship, Sims said.

Sims, a West Virginia University Institute of Technology graduate, is a friend of WVU-Tech President Charles Bayless. Bayless, in turn, introduced Sims to RED Chairman Thomas Casten. Bayless also sits on the board of RED, said Sean Casten, RED president and chief executive officer.

After two years of work, the companies signed a partnership at the end of January, Sims said.

The energy-recycling project burns no fossil fuels and emits no pollutants, including carbon dioxide, yet the power costs less than coal-fire-generated.

West Virginia Alloys uses electric furnaces to produce nearly pure silicon. The heat from these furnaces, which is normally vented, will be captured and turned into steam. This steam will drive a generator, which will offset nearly one-third of the purchased electricity costs.

The new system will be running in 2010, producing more than 300,000 megawatt-hours annually of clean energy and eliminating 290,000 metric tons of greenhouse gas emissions.

During the building phase, about 50 construction workers will be hired, Sims said. In addition, 16 to 20 people will be hired to operate the equipment, he said. An increase in production because of the recycling could lead to an additional 20 jobs, he said. The plant now has about 200 workers, he said.

Globe Metallurgical Inc. bought the Alloy plant from Elkem Metals in December 2005. At its peak, the Alloy plant employed more than 2,000. For Fayette County, the investment is a welcome addition for the county's sixth-largest employer.

"We appreciate the good corporate citizenship demonstrated by West Virginia Alloys ... by utilizing otherwise wasted energy," said Matt Wender of the Fayette County Commission. "In doing so, it also allows [the plant] to be more competitive, helping to ensure the longevity of the plant. We appreciate having them in Fayette County."

The plant pays about $250,000 each year in property taxes, he said.

The Alloy plant project is the first for RED, which will supply the money and energy expertise for the project. RED has similar projects in the works with manufactures in West Virginia, Florida and California, but Casten wasn't naming names. "We are not hurting for lack of opportunities," he said.

The company's goal is to develop recycled energy projects that reduce greenhouse gas emissions, while keeping the manufacturers competitive.

In other words, environmental improvements don't have to mean a cut from profits, he said.

"The morals and the pocketbook don't have to be separate," he said. "Regardless of whether or not environmental stewardship is the thing to do, this is economic stewardship for your shareholders."

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