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Funding boost for bottom ash plant

Bgf johnsons aggregates

A recycling firm has received a funding boost to support the construction of a plant for recycling incinerator bottom ash (IBA) from energy-from-waste (EfW) facilities.

Business Growth Fund (BGF) provided £5m of equity capital and NatWest provided a further £5m debt facility to East Midlands-based Johnsons Aggregates & Recycling.

The money will go towards its £11m facility on a seven-acre site in Stanton, Derbyshire, which is expected to be fully operational by early 2017.

The facility will triple the company’s current capacity of around 150,000 tonnes of IBA a year to 450,000 tonnes.

Founded as an aggregates business by chief executive Steve Johnson in 1999, the business will also use the funding to support growth across its other services, which include the supply of recycled roadstone, fill material, sands and pipe bedding.

Jon Earl, who led the transaction for BGF, and Paul Capell, an experienced industry executive, have both joined the board.

The company, which employs 50 people at its existing facilities, achieved annual revenues of £11m in 2015.

Johnsons extracts metals from the IBA and turns the residue into an aggregate suitable for the construction industry.

In May, EfW operators across Europe backed a call to count metals recovered from IBA towards recycling targets.

Former resource minister Rory Stewart supported this, and in March praised a trade deal between the UK and the Netherlands to transfer IBA.

  • Pictured from left: Lewis Johnson (Johnsons business development director), Sir Nigel Rudd (BGF chairman), Steve Johnson (Johnsons chief executive), Gavin Petken (BGF regional director), Phil Wood (Johnsons financial director), Earl


Readers' comments (1)

  • It seems again that all the incineration businesses want is subsidy after subsidy to placate their business plants.

    Incineration bottom ash is a Persistent Organic Pollutant (POP) under the Stockholm Conventions and as such should be regarded as an ongoing nuisance which needs treatment as required therein. In other countries this means that the source should be disposed of in a manner which combats the POP issue and is fully accredited. It should be charged out and treated as fully toxic materials and under that guise that means that the current costs should incur the disposal fee of around £200 per tonne which includes atl important issue of the long-term taxation issue.

    Hiding it within a reduced capacity plant that masks its toxicity is a fudge.

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