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A business which creates fuel from waste is set to create a further 10 new jobs after securing a £300,000 investment from Lancashire’s Rosebud Finance.

The Lancashire Waste Recycling plant at Fleetwood takes waste destined for landfill and turns it into fuel which can be used by manufacturing plants and power stations.

The £6m plant was opened in 2013 by engineer Jim Entwisle and businessman Paul Mellor and has already created 15 jobs. It is the largest of its type in the North West and one of only a handful of such plants in the country.

Paul Mellor of Lancashire Waste Recycling, centre, with Paul Ferguson of Enterprise Ventures and County Councillor Niki Penney.

Paul Mellor of Lancashire Waste Recycling, centre, with Paul Ferguson of Enterprise Ventures and County Councillor Niki Penney.

Currently, most of the fuel produced goes to Hanson Cement. However, the two owners plan to open up a further four plants at locations around the UK and expand their customer base to sell to other industrial users and to energy-from-waste plants.

The Rosebud funding will allow it to install additional processing features to further improve efficiency.

Paul Mellor, managing director, said: “We truly believe in what we are trying to achieve here at Lancashire Waste Recycling. We take pre-sorted waste, that has had all recyclables removed, that would have been destined for landfill. We then reprocess this material into a fuel that can be used as a replacement to fossil fuels.

“We have invested heavily in the best processing equipment and the Rosebud investment will allow us to make further improvements. We aim for zero landfill and to be known as the number one for alternative fuels”.

Rosebud is a finance package supporting Lancashire firms to grow and expand their business. It is managed by Enterprise Ventures, on behalf of Lancashire County Developments Ltd (LCDL) – the county council’s economic development company.

Paul Taberner of Enterprise Ventures which manages Rosebud, said: “Lancashire Waste Recycling provides an innovative solution to tackling the problem of waste, while at the same time producing a more environmentally friendly alternative to fossil fuels. By making further improvements to the current plant, the company is developing a model that it could roll out throughout the country.”

County Councillor Niki Penney, Chair of LCDL, said: “We’ve identified the energy and environment sector as one of our priority sectors which could deliver high business growth in Lancashire.

“Lancashire Waste Recycling is an example of how, with investment, new businesses can be launched and contribute towards a more sustainable economy.”

Lancashire’s waste goes to Thornton and Farington Waste Recovery Parks, which are run by Global Renewables Ltd on behalf of Lancashire County Council and Blackpool Council. The two waste recovery parks process the county’s waste and send less to landfill. Lancashire Waste Recycling takes what is left over after this process.

Councilor Penney added: “Much of Lancashire’s domestic waste, such as metals and plastics, are extracted during the sorting process at Global Renewables Ltd, then sold on to recycling markets. However, some low grade waste with little commercial value is left.

“Lancashire Waste Recycling makes fuel pellets from this waste, which give this material a new commercial value. This creates jobs and growth for a number of businesses, which is all great for Lancashire.”