Tadweeer’s production volume hits 26,000 tons in H1 2022, operating profit up 27%: CEO

Nasser Aldueb CEO of Tadweeer

National Environmental Recycling Co.’s (Tadweeer) production volume from recycling increased almost three times this year to 26,000 tons in the first six months, CEO Nasser Aldueb said.

Metals prices were affected by high volatility in H1 2022, due to several factors, such as the lockdown of some major industrial cities in China, the largest producer of copper, on COVID-19 pandemic, as well as higher inflation and interest rates, Aldueb told Argaam in a phone interview.

Copper prices dropped from $10.4 thousand per ton to $6.8 thousand per ton. However, Tadweeer generated a 27% rise in operating on raising its capital last year and boosting production capacity. Accordingly, the company was able to get very large amounts of recyclable materials, even low-margin materials.

On the other hand, precious metals indices absorbed various factors and saw price corrections, Aldueb added, expecting no sharp fluctuations in prices, especially as China gradually started to resume production. 

Aldueb also affirmed Tadweeer’s long-term contracts with several firms to obtain large quantities of waste of electrical and electronic equipment (WEEE), including entities operating in communications infrastructure.

WEEE quantities increased in the second half of the year, the CEO noted, adding that work is ongoing on collection orders of other quantities to transfer various materials. He expected this rise to boost Tadweeer’s revenue in H2 2022.

Work is ongoing on the construction of the world’s largest WEEE facility. Aldueb expected higher sales volumes and treatment of other types of materials, when the company relocates to the new factory in Q1 2023, thanks to artificial intelligence (AI) and machine learning (ML)-based techniques to enhance the efficiency of separating useful materials from waste.