Dowa Holdings to Expand Zinc Output Capacity by 10%

Dowa Holdings expands zinc production capacity by 10% to annual 220,000 tonnes by fiscal 2014 ending March 2015 at Akita Zinc, of which Dowa Holdings controls 81%. Akita Zinc already expanded the raw material side operation through better recycling. The firm expands electric system and related facilities to treat byproducts for the additional production. The firm tries to improve the profitability of zinc operation through a series of the efforts including targeted 50% of equity ore compared with 30% now.

The group’s smelting unit, Dowa Metals & Mining supplies recycled materials including zinc rich steel making dust to Akita Zinc. The recycling plant started the operation in October 2010 and reached full capacity operation at annual 20,000 tonnes in summer 2011.

Akita Zinc already has annual 220,000 tonnes of output capacity for electrolytic zinc production unit while the firm needs to expand power supply capacity for actual 220,000 tonnes production. The firm decided the expansion to increase the supply.

Dowa Holdings targets 35% of captive ore rate by fiscal 2014. The firm eyes 50% in longer term. Dowa Holdings’ equity zinc reaches around 180,000 tonnes after the expansion at Akita Zinc. The firm will secure 90,000 tonnes of zinc from equity mines while the firm already has equity 50,000 tonnes zinc including 20,000 tonnes of recycled material.