Romcos Q1 Results | 2021 Starts Strong
Romco officially opened a new facility in Ghana, added two new furnaces to the Nigerian operation, joined the Aluminium Stewardship Initiative for sustainability assessment, and earned a record USD $5.8 million over Q1, 2021. That makes this quarter the biggest in the history of Romco, but in the words of Romco Group CEO, Raymond Onovwigun, “There is still so much to come.”
From January to March in 2021, the Romco Group processed 3,897 metric tonnes of various scrap metals, 487% more than Q1, 2020. This historic achievement is possible thanks to the upgraded facility in Nigeria which boasts four furnaces (three currently operational, the fourth in testing), and a new facility in Ghana with two furnaces (currently one operational). The materials recycled save over 26,000 mWh of energy compared to primary sourcing, the equivalent electricity of 3,347 standard US homes for one year, and reduces 7,700 tons of CO2 emissions, the equivalent emissions from burning over 17,000 barrels of oil.
IMAGE: Scrap awaiting processing at the Romco recycling facility in Nigeria.
The financial picture is just as strong as the environmental one. USD$5.8million for the quarter is the highest revenue Romco earned yet, 713% higher than Q1, 2020, and projections show further increases will be made throughout the year. This is due to the ambitious growth model and further proof that Romco is filling a large hole in the market, increasing recycling capacity from a heavily under-represented area; West Africa.
IMAGE: The first stacks of Al-alloy ingots processed in the new facility in Ghana.
Romco made two significant commitments this quarter, becoming a member of the Aluminium Stewardship Initiative (ASI) and signing the UN Global Charter. The ASI is the biggest global non-profit standards setting and certification organisation for aluminium, with the most recognised independent third-party certification program for sustainability and quality. As a mandatory part of our membership, Romco is committed to obtaining ASI’s Performance Standard via a thorough audit of our facilities and processes. It is important to note that ASI certification will make Romco the first secondary producer in all of Africa to achieve the landmark qualification; a great milestone for the organisation.
The UN Global Charter is a transparent commitment to human rights, labour, the environment and anti-corruption to the UN. Our participation in the UN Global Compact means that we are committed to operating our business in accordance with ‘The 10 Principles’ and will be reporting our progress in a Communication On Progress annually to the UN. This commitment is a natural extension of the UN’s Sustainable Development Goals (SDGs) framework that we already work within, and reflective of our long-term commitment to human rights, labour standards, the environment and anti-corruption.