SpilyayTymoo
Warm Springs. Oregon
February 19. 1993 PAGE 5
Developing a simple formula for a high-tech product
Keeping in mind that diversity is the key to the
future economic success of the Confederated Tribes,
the Warm Springs Tribal Council, after careful consid
eration, signed a joint venture with Structural Tech
nology Inc. (STI) February 2. The Madras-based com
pany is owned by Terry Turner and Phil Rodda.
The new tribal enterprise, by issuing product li
censes and producing environmentally friendly fire
resistant refractory and door materials out of a combi
nation of diatomaceous earth (D.E.) and other natural
materials, will provide long-term employment for
tribal members and substantial economic returns for
the Tribe. The Tribe's newest enterprise is located at
the former Warm Springs Forest Products Industries
plywoodplant.
Tribal Council allocated $250,000 of the Economic
Development Initiative Fund to start up operations,
due to begin on a limited basis in April. Initially, Warm
SpringsCompositeProductssitiscalledllopcrate
as a subdivision of Warm Springs Forest Products
Industries. All purchasing, personnel and payroll ser
vices will be provided by YVSFPI. Warm Springs Com
posite may assume these responsibilities when plant
operations are in full swing, but for now, "if s easier to
do it this way," says Bob Macy, project coordinator
and liaison among the new plant, joint venture and
Tribe.
The joint venture, 51 percent of which is owned by
the Tribe with STI owning the remaining 49 percent, is
the first of its kind for the Tribe. The Tribe will provide
project development money and STI will provide
technical expertise. Licenses will be awarded to manu
facturers desiring to produce D.E.-based materials.
The first licensee is WSCP itself. Royalties will be paid
to the joint venture for the use of the proprietary
?rocesses and formulas, says WSCP general manager
urner. The joint venture also has the authority to seek
other licensees, such as Weyerhaeuser and U.S. Gyp
sum. Another way to realize profits is to actually manu
facture the fire-proof products in Warm Springs and
market them. In doing so, Warm Springs will be
entering a national and world-wide market with their
new products. The $5.3 billion refractory brick market
and trie $40 million mineral fire door core industry are
currently dominated by large corporations such as
Weyerhaeuser and Georgia Pacific. According to
Turner, Warm Springs can produce superior fire
proof products at competitive prices. The products
. manufactured at the plant so far rjave proven to be .
high quality and have passed strenuous heat testing
time after time at independent laboratories. The re
fractory bricks exhibit qualities as good if not better
than whaf s currently on the market. A number of
other D.E.-based products are on the horizon that will
be looked at as being important products in the home
construction industry
Turner adds that the process to produce the high
tech, fire-resistant materials is really quite simple and
cost effective combine D.E., shredded newsprint,
perlite, glass fibers, gypsum, hydrostone, cement, re
tarder and water pour into door or brick molds,
allow to set up, remove from the molds and allow to
dry. It takes only about 50-cents in raw materials to
produce an item that will sell for about$18. Turner and
Rodda have also formulated a way to press the wet
sludge to form high-density "rail material" that can be
cut into strips and used to reinforce fire-proof doors.
Initial sales analysis, expense, income and employ
ment projections look favorable for the project. By
April, eight full-time employees will be on board with
a total of 26 expected by the end of the year; the project
should be turning a profit by June and total gross sales
for the year should be well over $1.5 million.
i
Louie Tewee works gelatinous material after it has been poured into brick mold.
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Hundreds of refractory bricks, used in aluminum industry, have been
produced at the plant The one cubic foot bricks measure four inches,
by twelve inches by three inches.
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A three hundred gallon mixer will be used
to combine materials before pouring into
molds.
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Powdery by nature, this substance, mixed with many other natural minerals,
will result in superior fire-proof products.
TerTjTurner,left,andPhUR(dda,ownenofStructuralTechnohgus,
a mechanism that will simplify removing rail material from forms.