HMC 1.67% $12.33 hmc capital limited

Wednesday, dropped in on the plant on the way past and was lucky...

  1. jwt
    2,547 Posts.
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    Wednesday, dropped in on the plant on the way past and was lucky enough to find a manager happy to show me over. I had never thought much about it so am pleased I now understand more about the process. So for those interested I will describe the process as best I can. The facilities at the property are huge with battery work only taking up the one shed. The rest had been used for the other waste treatment, now being wound back and discontinued. The plant is not being kept I understand. The used batteries start up a conveyor(manaually loaded) into a crusher. The pulp drops out the bottom and comprises five diferent components; lead, sulphuric acid, lead oxide in the form of a sludge, and two types of plastic. In a first process, the plastics are separated out from the sludge and acid liquids. These go into two sluice bins where the oxide sludge is sepatated out from the acid. The sludge is taken out in a moving belt into a chute where a worm moves it towards a packaging point. Towards the end of this, lime is manually added to dry it out somewhat. This is sold as is and the lead removed by whoever. The acid comes off the top of the bins and goes off to storage. The two plastics go into a water storage bin. One floats and the other sinks and are separated and sent to storage ( we are talking the case and the inner linings between cells). Lead chunks go their separate way. So that's a very simplified version.
    Management seems to be confident that the authorities have said yes to the increase in lead through-put; it is just the signing and the paper work holding things up. They told me that the existing plant will handle the increase. There is no need for capital expense on the existing plant. Changes to the shift work patterns are all that is required. From memory the output is 12000 tonnes a year on a 24/5 shift programme. This could rise substantially; maybe triple.
    Asking about the competition in Oz, there are two other groups breaking down batteries; one in Sydney and the other in WA. So there is competiion for the batteries.
    And for those that don't know, the other HMC treatment plant is in Newcastle. I wish I had known because on Monday I was at the APG plant in Newscastle.
    Hope that didn't bore the pants off. I'm looking for an increased dividend this year; even if it is from only 3 months say of extra output.
    Time will tell. Cheers JWT
 
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