The construction of a US$2 billion aluminum can sheet rolling mill and recycling center in Valencia,a county in the U.S. state of New Mexico, has been announced by Manna Capital Partners.
The Louisville-based investment firm is reportedly partnering with Ball Corporation, a renowned manufacturer of recyclable aluminium beverage packaging on the new development; which is expected to generate up to 950 employment opportunities in the region. Ball Corporation accepted a minority equity position in the business deal and has also made public its plans of entering into a long-term supply agreement.
According to Mana, the announcements made concerning the aluminum can sheet rolling mill and recycling center in Valencia, were a testament to the companies’ commitment to building a more robust and sustainable domestic supply chain for the growing beverage packaging market.
A letter of intent was signed by Mana recently for the purchase of a 1,300-acre parcel in Los Lunas, which will be used as the development site for the Valencia aluminium recycling centre. Construction is scheduled to commence by the end of 2023, and the facility is expected to become fully operational by 2026.
Design plans and support for the aluminum can sheet rolling mill and recycling centre in Valencia
The aluminum can sheet rolling mill and recycling centre in Valencia will be designed with a production capacity of 1.3 billion pounds of aluminium per annum, with the goal of ensuring that up to 85% of recycled content after the mill is fully operational. The facility would need an excess of 500,000 megawatts of electricity per year to remain functional, and this energy supply will come from the Public Service Company of New Mexico (PNM).
PNM will provide the facility with 100% renewable energy and also work with Mana through the entire process, to ensure all its renewable energy goals are met. The project will also receive financial support from the State of New Mexico in the form of a Local Economic Development Act (LEDA) job-creation fund, worth about $5 million. This will be paid out as soon as the developer reaches the required economic development benchmarks, as stated in the Project Participation Agreement.
In addition, The Village of Los Lunas is also helping Mana with securing Industrial Revenue Bonds and will act as the developer’s fiscal agent.