Busche, MetalX Announce Partnership
Busche Performance Group Inc. in Albion has finalized a deal with Waterloo-based scrap metal recycling company MetalX LLC. The agreement says MetalX will be responsible for managing the sourcing of all aluminum raw materials that will be used in BPG's foundry operations.
BPG designs and manufactures aluminum castings and other components used in automotive chassis and engines, as well as markets such as agriculture, construction and refrigeration. Per the terms of the agreement, MetalX will manage the sourcing, procurement, delivery, and administration association with the aluminum scrap and refined aluminum products that will be consumed and generated by BPG's aluminum foundries.
The companies say BPG foundries will continue to maintain direct responsibility for payment to suppliers, establishment of material specifications and governing terms and conditions.
"This agreement will allow the foundry division to be better connected to the aluminum markets and gain significant benefits from the MetalX team’s expertise with buying and selling of aluminum raw materials in the metals marketplace," said Daniel Dressler, vice president of procurement and business development for BPG. "This will also allow BPG foundries to focus on growing their foundry operations and “partner” with a highly-regarded metals recycling and trading company that already has demonstrated performance with managing scrap for all of our US machining facilities."
MetalX says it will be sourcing approximately 70 million pounds of alloy aluminum annually and seeking to develop additional suppliers, such as scrap processors, secondary producers and industrial generators.