Project Type: Auction Services
Industry: Pulp & Paper
Our client was a municipality that assumed ownership of a long-defunct pulp mill.
When the mill’s previous owners failed to reopen the mill, the town diversified its economy to include freight shipping. To make room for a new port, it opted to decommission the mill.
To expedite asset recovery, we hosted a two-day auction to sell more than 200 lots.
We salvaged more than 5,000 pieces of equipment, machinery and parts; this included valves, pumps, washer drums, pulp processing systems, as well as maintenance, repair and overhaul (MRO) equipment and parts.
Types of equipment sold on behalf of client
Prior to engaging with NRI, the client listed out 3 problems they wanted to address:
While items such as valves, pumps and MRO had generic appeal, speciality equipment such as pulp processing equipment and parts required selling to buyers located overseas.
Selling small, less valuable items, such as MRO equipment and parts was just as resource intensive as selling larger, more valuable items, such as digesters and pulp systems. Our sales strategy had to include more efficient, less intensive sales methods.
Due to the facility’s pending demolition, we had a limited timeframe that made transporting equipment off-site difficult and costly. As a result, expedient onsite sales were crucial to this project’s success.
To expedite and maximize asset recovery, our sales strategy involved:
1. Organizing a two-day, online industrial auction
2. Hosting the sale on an industrial-specific auction platform to target relevant and interested buyers
3. Grouping smaller MRO equipment and parts into larger lots
After leveraging our expertise, our client:
Sell more than 1,500 pieces of equipment for a combined total of $2.2 MIL
Reduce the resources and time required to sell individual items