Metaloy

One Man's Trash is Another Man's Treasure

3134 4F20

Author

Romila Aloysius

Romila Aloysius

School

Case Western Reserve University - Weatherhead School of Management

Case Western Reserve University - Weatherhead School of Management

Professor

Chris Laszlo

Chris Laszlo

Global Goals

9. Industry, Innovation and Infrastructure 12. Responsible Consumption and Production 13. Climate Action

Keep this story going! Share below!

Summary

  • Innovations around creating closed-loop systems that allows for processing of wastes from one industry into raw materials for another industry that generate economies for the company.
  • Processes create benefit to the environment by reducing waste going to landfills
  • Processes create cost benefit to the consumer (by reducing waste removal cost) and to the generator by reducing cost of purchase of raw materials from recycled products.

Innovation

Metaloy mostly works with by-products of alumina oxide and silica oxide, re-purposing these products for their compositional properties (vs. catalytic ability – for which these are primarily used) for the cement, refractory, steel and construction industries. The company currently has three recycling programs and a fourth in developmental stage (described below):

Claus Alumina Recycling: Claus catalyst is used to remove sulfur that naturally occurs in petroleum materials. Kennard, working with the US EPA’s Cincinnati R&D Laboratory, identified an alternate use of spent Claus for the removal of inorganic contaminants, such as mercury, selenium, fluoride and arsenic, from water generated from industrial waste streams. The innovation has led to three patents and the creation of a spin-off company, MAR Systems. Following the formation of MAR, additional patents were awarded.

Spent Alumina and Defluorinator Alumina Recycling: Similar to the re-purposing of used Claus, Kennard has found ways to redeploy other forms of alumina containing by-products into the other industries, such as the construction and aluminum industries.

Although passionate about all of Metaloy’s involvements, Claude is most excited about his latest innovation based on the recovery of Rare Earth Elements from spent catalysts containing alumina oxide and silicone oxide. Rare earth metals are used in a number of products (cell phones, eco-vehicles, fluorescent lights and magnets) and China produces close to 95% of the world supply. The United States largely imports these elements and is faced with problems of supply shortages and/or high costs. Claude believes this invention, which is preparing to enter its Phase 2 developmental stage, has promising ability to mitigate this problem. Unlike other processes used for the recovery of rare earth elements, the Metaloy process achieves the rare earth recovery without generating a waste stream. In addition, the rare earth materials generated by their process are thorium and radioactive element free. This is a huge advantage over conventional rare earth recovery processes.

One Man's Trash is Another Man's Treasure

Inspiration

Claude has many years of experience in industrial chemistry and has always felt obligated to understand the impact that waste or by-products materials have on the environment. When asked what has kept him going at this for so many years of his life, he states, “I find it very gratifying to walk into a Lowes or Home Depot and pick up a commercial product made using re-purposed byproducts or wastes materials that Metaloy has worked with the manufacturer to create.”

An example of the recycle process is depicted below. A by-product called alumina (the red stuff) used to make hydrogen peroxide is transformed under heat and the addition of zirconium to make the “grit” used in many of the world’s best industrial sandpaper and/or grinding products.

He wishes that more hydrocarbon industry companies would universally adopt the concept of Industrial Ecology and understood that it is, in fact, a more cost effective alternative than a landfill, when transportation costs and contingent risks associated with using a landfill are considered.

Overall impact

Kennard and the Metaloy team are genuinely concerned about the impact industrial by-products and wastes, generated from within the Hydrocarbon industry, have on the environment. Even though the company mostly works with non-hazardous materials, re-purposing by-products that would eventually become depository wastes is of urgent interest.

The Hydrocarbon industry, he describes, has always received “bad press” for the discharge of wastes and/or spills that have a significant negative impact on the environment. Some C-suite executives, he believes, have an interest in changing this image (at least this is what is stated during Board meetings to investors), but a misalignment of incentives between upper and middle management (that handle the process at the ground level), has posed significant challenges to change the footprint that the Hydrocarbon industry creates. This has not stopped Claude from pursuing his passion of changing back-end processes for waste management and he continues to develop new innovations and relationships to move this mission forward.

Metaloy uses phrases such as Industrial Ecology or Industrial Symbiosis to define what they do. They work with companies to build in recycle alternatives when new processes are being designed to ensure whatever waste streams that will and/or might be produced can be removed in an efficient and low cost method. Even if the company contacting Metaloy can't be helped directly, Kennard adds he is “happy to offer advice and make connections to other businesses that offer similar solutions, if that will help the cause.”

Business benefit

The company offers a number of benefits to both the by-product generator and the consumer:

  • Metaloy works with the generator to help meet internal, state and federal environmental waste minimization requirements. This includes audits at the consumer facility to ensure proper handling of materials received from the generator.
  • Metaloy conducts all of its operations without interrupting the way materials are discharged, so the generator does not need to change operations to be able to recycle the by-products.
  • Metaloy handles the transport of materials reducing the total cost associated with recycling in comparison to transporting materials to landfills (and associated tipping costs).
  • Raw materials received by consumer are purchased at a lower cost when obtained from recycled by-products versus purchasing new materials.

Benefit to Metaloy:

  • Metaloy generates revenue by developing cost effective recycle alternatives that save the generator and consumer money. The generator pays less than what would have been paid to transport and landfill while the consumer pays less than what would have been paid to transport and purchase virgin material.

Social and environmental benefit

The company focuses on reducing the depository of wastes into landfills through the re-purposing of as many by-products and waste streams as possible into raw materials used in other industries.

In addition to caring for the environment, Metaloy also works with a number of research groups and students to provide opportunities for education and learning.

Interview

Claude Kennard, Chief Executive Officer

Photo of interviewee

Business information

Metaloy

Metaloy

Cleveland, OH, US
Business Website: http://www.metaloy.com/
Year Founded: 1983
Number of Employees: 2 to 10

Within a few seconds of speaking with Claude Kennard, his passion for the environment becomes apparent. Having worked with BP for more than 20 years, Kennard expresses, “I have been just as interested in the back-end disposal processes of byproducts catalysts and wastes, as I have with the cost-effectiveness and efficiencies of the front-end procurement process.” This led him to join Metaloy, a company with a sole mission of managing byproducts generated within the hydrocarbon process in a closed loop system, by repurposing it as raw materials for use within another industry.