RoI Company Locates New Business in Londonderry
Foyle Recyclers, a new Londonderry-based company, has been formed in by Erin Recyclers of Kinlough, Co Leitrim in a £400,000 Invest Northern Ireland-backed investment to dispose of vehicles that have reached the end of their life (ELV) and other metals for export.
The new growth start company was announced today by Desmond Foley, a director of Erin Recyclers and managing director of Foyle Recyclers, and Kevin Helferty, manager of Invest NI’s North West Local Office.
The new company is locating its processing operation at Londonderry Port, where it is expected to employ 16 people by the end of 2007 as an Authorised Treatment Site approved by the Environment and Heritage Service, the first of its type in Northern Ireland.
Said Mr Foley: “The new company will provide an ELV service not currently available in the North West of Ireland and will enable the region to meet increasingly exacting European Union recycling targets for materials from scrap vehicles during 2006.
“The EU’s recent ELV Directive requires that by 2006 85 per cent of vehicle parts to be recycled rather than being disposed of in landfill sites, as is currently the practice, rising to 95 per cent by 2015.
“ From 1 January 2007 only 15 per cent of a car will be allowed to be put into landfill and from 2015 only five per cent. The cost of landfill is also escalating both in terms of government levies through the Landfill Tax and increasing disposal costs associated with the limited availability of landfill in Northern Ireland.
“We decided to locate the new recycling operation in Derry because the port is a deep water facility and will enable us to use larger ships to transport our scrap materials to customers that we have already identified on the continent. Invest NI has been extremely responsive and supportive in providing an attractive package of incentives for us to develop what is a strategically important project for our overall business in Derry,” he added.
Welcoming the new investment in Derry, Mr Helferty said: “We are backing this investment because of the important benefits that it will offer in terms of its environmental focus and job creation in an area of social need.
“The investment is also fully consistent with our corporate strategy and the North West Action Plan (NWAP) in that it is an inward investment which combines enterprise, innovation and internationalisation. Almost all the materials recovered will be exported to clients in markets such as Spain and Portugal and it will assist the development of a ‘freight hub’ at Londonderry Port, a key NWAP objective.
“It will provide worthwhile employment opportunities and promote new skills and knowledge within the rapidly growing environmental technologies sector, thereby generating new wealth for the local economy.
“Our support is geared to enable the new business to develop the capacity and capabilities to become a modern and successful treatment facility in the emerging recycling and recovery sector,” added Mr Helferty.
Foyle Recyclers will recover, recycle and sell a range of materials from scrap cars including fluids such as oil, plastics, batteries, gases, rubber and metal.