OPERATIONS History  |  Process  |  Processing Fees  |  Quality Programs History The Processing Facility, which is located in Salaberry-de-Valleyfield, Quebec, was commissioned in 1963. On September 17, 2003, the Facility celebrated its 40th anniversary. Over the past four decades, plant output has increased four-fold, from 65,000 tonnes a year to 262,133 tonnes in 2007. In addition, the Facility has developed premium products to suit the needs of its customers. Today the plant is a world-class facility with strategic size and location, unique products and low risk technology. The facility employs approximately 690 people. Since the United States imports 67% of its annual zinc requirements, premiums are sustained at levels that allow distant suppliers to cover their shipping costs to zinc consumers. The Processing Facility's proximity to the largest zinc-consuming region in the United States provides a competitive advantage. In addition, major roads, rail lines and the St. Lawrence Seaway serve the plant. Process Zinc concentrates are produced globally by zinc mines and are then shipped to processing facilities forfurther processing and refining. These concentrates typically contain approximately 54% zinc, 33% sulphur and 11% iron. The Processing Facility extracts and separates the zinc metal from the concentrate and charges a processing fee for performing this service. The extracted zinc metal is either sold directly to end-users as commodity-grade zinc or is further transformed into specific zinc-based products. This value-adding process results in premiums being paid over the LME zinc price. View Refinery Flow Sheet (65 K PDF). Read more about products. Processing Fees About 70% of the Fund's net revenues are derived from processing fees charged to transform zinc concentrates into zinc metal. The Processing Facility currently requires 520,000 tonnes of zinc concentrate annually to support 100% of its expected production. Xstrata Zinc has agreed to supply up to 550,000 tonnes of zinc concentrate until 2017 under a Supply and Processing Agreement. Xstrata Zinc will be charged a processing fee initially set at $0.352/lb on 96% of the payable metal content in the zinc concentrate. This fee is adjusted upwards by 1% per annum starting January 1, 2004. In addition, the processing fee is adjusted upwards or downwards by approximately 50% of the change in the annual electricity cost from the preceding year. As a result, processing fee revenues are stable and predictable and will potentially grow as the Processing Facility increases its metal production. By further transforming refined metal into value-added products, the Fund is able to earn additional premiums. Over 95% of the Facility's production generated a premium and this represented approximately 18% of the net revenues in 2007. Going forward, opportunities exist for the Fund to increase revenues with further product development. Quality Programs Over the last 15 years, quality assurance has become an integral part of the management philosophy. Beginning in 1988, the Processing Facility's first quality assurance policy and quality management system were put into place. Quality management systems include standard procedures and documentation controls for all major steps of both zinc and sulphuric acid production lines. Internal and external teams, such as QMI, regularly audit these quality systems. By implementing the quality assurance program, the Processing Facility distinguishes itself from its peers with a unique set of products. View Quality Policy (12 K PDF). In 1992, the Facility became the first zinc refinery in the world to obtain the International Organization for Standardization (ISO) 9002 certification for all steps of its zinc production process. In 1995, the ISO 9002 certification was extended to cover the Processing Facility's production of sulphuric acid. In 2003, the zinc production process and the sulphuric acid plant received ISO 9001 certification. In 2005, CEZinc earned its ISO 14001-2004 certification covering all environmental processes at the plant. View ISO 9001 certificate (505 K PDF). View ISO 14001 certificate (488 K PDF). What is ISO certification? ISO certification is an international standard for the management of environmental systems. ISO standards specify the requirements for state-of-the-art products, services, processes, materials and systems, and for good conformity assessment, managerial and organizational practice. ISO standards make a positive contribution to the world we live in. They ensure vital features such as quality, ecology, safety, economy, reliability, compatibility, interoperability, efficiency and effectiveness. They facilitate trade, spread knowledge, and share technological advances and good management practices. The ISO 9000 family is primarily concerned with "quality management". This means what the organization does to fulfil: the customer's quality requirements, and applicable regulatory requirements, while aiming to enhance customer satisfaction, and achieve continual improvement of its performance in pursuit of these objectives. The ISO 14000 family is primarily concerned with "environmental management". This means what the organization does to: minimize harmful effects on the environment caused by its activities, and to achieve continual improvement of its environmental performance. Terms & Conditions of Use   -   Privacy Policy