TORRINGTON - Heartland Bio Composites has moved one step closer to opening a plant in Goshen County that will produce wood substitute products made of recycled plastics and wheat or barley straw.
Heath Van Eaton, developer of a wheat/plastic wood substitute product, has moved to Torrington with his wife, Amy, and has opened a temporary office on Main Street.
Looking forward to a target opening date of April, Van Eaton has hired a lead engineer, John Mitchell, to join him in starting up the plant.
Goshen County-raised Mitchell, a mechanical engineer, has moved his family back to Torrington.
Van Eaton and Mitchell, both 33 years old, met through a mutual acquaintance and had spoken several times over the past few years about the proposed plant. Both are University of Wyoming graduates.
"When I left college my emphasis was on composite material, and my first two jobs were with the composite industry," Mitchell said.
He worked in California and Arizona, where he was involved in start-ups of composite facilities.
Van Eaton said he is thrilled to have someone with Mitchell's experience.
"It's great to be around family and to be involved with an opportunity like this," Mitchell said.
According to Brad Sutherland, Goshen County Economic Development executive director, groundbreaking for the plant is expected soon and preliminary work is progressing.
"So we're already spending some money on that. It's up to my board," he said. "I have cash to put into it, I have a bank loan, and we need to see if they want to loan the money before the USDA guarantees it. Hopefully, the banks will get back to me and say, 'Brad, we're going to lend you the $450,000,' and then we can really start going."
All that becomes an in-kind match for a $1.5 million Wyoming Business Council grant.
"We could spend our half million, then when the grant comes through, they would pay 100 percent, up to the $1.5 million," Sutherland said.
Land for the plant hasn't yet been purchased, but that is next on the agenda, according to Van Eaton.
"We'd like to get the foundation and footings while the weather is nice, so they can continue building throughout the winter," Sutherland said. "If we can build the foundation, it doesn't take long to get the shell up."
A steel building is being planned for the shell of the 30,000-square-foot business, which will be located on 10 acres of land. The building may expand as the company grows.
Now is a good time for local people to begin recycling plastics, if they haven't already, for use at the plant. Only certain grades of plastic are useable.
"The market for recycled plastics has doubled in the last couple years and the market prices for the stuff, so there are good, viable economic returns to get out and collect plastics," Van Eaton said.
Sutherland suggests the city take on plastic recycling as a municipal function.
Van Eaton said he has contacted several southeast Wyoming wheat growers and the Wyoming Wheat Growers Association about harvesting wheat straw for his use.
"We've got lots of interest there, and we're very comfortable with our supply channels of wheat straw," he said. He said the company will pay $45 a ton for wheat straw.
"That would mean the profitability for wheat or barley acres would increase just about 50 percent because you get to sell your straw," Sutherland said. "So it's huge for the farmers."
On the conservative side, Van Eaton estimates he will need about 2,500 tons the first year. He expects to reach a point where the demand will be between 15,000 and 20,000 tons a year.
"We're confident about it," Van Eaton said. "We went out and did our work for a long time now. We've created the market for our end products, and now it's the matter of getting our facility, getting it set up and making the product at this point and time. There's really no uncertainty left there. After we make it, is somebody going to buy it? That is not our worry."
Heartland initially is expected to have about 60 full-time employees.
Plastics Heartland Bio Composites will use
- PET (polyethylene terephthalate): plastic soft drink and water bottles, beer bottles, mouthwash bottles, salad dressing containers, boil-in food pouches, processed meat packages.
- HDPE (high-density polyethylene): milk bottles, detergent bottles, oil bottles, toys, plastic bags.
- LDPE (low-density polyethylene): bread bags, frozen food bags, squeezable bottles, fiber, tote bags, bottles, clothing, furniture, carpet, shrink-wrap, garment bags.
- PP (polypropylene): margarine and yogurt containers, caps for containers, wrapping to replace cellophane.
Posted in Business on Sunday, August 14, 2005 12:00 am
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