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F.E. Mottram's non ferrous plant goes into liquidation

Secondary aluminium products manufacturer F.E. Mottram (Non Ferrous) announced the closure of its Congleton plant on 22 June after going into voluntary liquidation.

The firm, which claimed to be the largest single secondary aluminium smelter in the UK, has temporarily ceased trade and 60 employees have been made redundant.

F.E. Mottram chief executive Andy Smith said: Anyone connected with the automotive industry will have felt the devastating effects of the economic conditions in 2009 which have been, and will continue to be treacherous. Mottrams secondary aluminium melting operation is no exception. The extraordinary volatility of sterling, commodities, equities and capital has deterred investment. This coupled with the loss of credit insurance and ineffectual government support for this UK industry sector mean prospects for profitability remain poor.

Smith went on to predict low ingot demand and prices over the summer period.

KPMG Restructuring administrators were appointed to carry out the liquidation process.

KPMG Restructuring director and joint administrator Paul Bumbell said: F.E. Mottrams secondary aluminium smelting operation has been hit hard by the global downturn and in particular, by the reduced level of orders from car manufacturers and the reducing level of metal prices. The administrators intend to preserve the site in Congleton with the hope of finding another buyer for the business.

Neither F.E. Mottrams Fero-Titanium firm based in Sheffield, nor Dunstan and Wragg in Dronfield are affected by this administration and continue to trade as normal.

The company was established in 1973 producing a range of casting alloys, hardeners and de-oxidants.

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