[Ferro-alloys.com] Zinc Oxide LLC, a Houston-based enterprise, announced late last week that it will build a $25-million zinc oxide production facility in Dickson, Tennessee. The company reportedly made its decision based on Horsehead Corporation’s decision to close its zinc facility in Pennsylvania. Zinc Oxide commented that it planned to step up to meet downstream demand. Zinc Oxide LLC plans to receive substantial help from the local and state governments, including tax incentives. For example, the company will not pay full taxes on property or equipment in the first eight years of operations. Instead, it will pay escalating payments in the first eight years, while in the first two years, no payments will be made.

 

Horsehead, meanwhile, is planning to ramp up production in North Carolina at its new zinc metal facility. The company has begun its heat-up cycle for commissioning of the induction melting furnace. The furnace should be ready by month’s end. In addition, Horsehead has entered into a joint venture agreement with Imperial Zinc Corp for the acquisition and processing of zinc-bearing secondary materials. The materials, as the company pointed out, will come from dust recycling plants from the North Carolina zinc production facility. The newly formed company, ThirtyOx LLC, will have operations near the Mooresboro plant.