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Zinc Nacional completes acquisition of Steel Dust Recycling LLC

October 1, 2009.


Zinc Nacional S.A. is pleased to announce the acquisition of Steel Dust Recycling LLC (“SDR”). SDR is a leading U.S. recycler of electric arc furnace (“EAF”) dust. The Company utilizes the Waelz Kiln process, recognized as the best available technology in the industry, to convert EAF dust to high quality waelz zinc oxide. SDR operates a state-of-the-art, environmentally-friendly, facility in Millport, Alabama, strategically located in an area of concentrated EAF steel production. The main goal of this acquisition is to enable Zinc Nacional, with the inclusion of SDR, to more closely service the steel mill industry in the United States, while also contributing additional zinc units for the production of zinc oxide and zinc sulfate.

“We are excited about the creative synergies that will be generated by our decision to maintain the management team that built and operated SDR and the addition of the experienced management and production personnel of Zinc Nacional” a company spokesman stated.

During the past 25 years, Zinc Nacional has successfully recycled EAF dust generated in Mexico and the United States. With its finished products widely accepted in the North American, European and Asian markets, this acquisition further enhances Zinc Nacional’s international reach by establishing a footprint in the United States.

“We look forward to continuing and strengthening relationships with the customers and suppliers of both Zinc Nacional and SDR.” the spokesman added.

About Zinc Nacional

Headquartered in Monterrey, Mexico, Zinc Nacional, founded in 1952, is a privately owned company dedicated to the production of zinc compounds and paper. The Company is a member of the Promax Group that is involved in multiple industries with a primary focus in zinc production and building materials manufacturing.

Zinc Nacional was advised by DLA Piper and Sanchez Devanny as outside legal counsel. SDR was advised by KeyBanc Capital Markets as financial advisor and Gardere as outside legal counsel. For inquiries, please contact: Eugenio Diaz del Guante, ediaz@gpromax.com , Phone: + 52 818 3454078.




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