GMI Construction Group has reached a major milestone ahead of schedule in the construction of a £15.7 million waste-to-energy facility in County Durham.

The steel framework of the 75,000 sq ft high-temperature thermal treatment plant has been completed, marking significant progress in the project.

To celebrate the achievement, Gary Oates, GMI's Divisional Managing Director, and Ian Jones, Joint Managing Director of Fornax Environmental Solutions, hosted a steel signing ceremony at the site on Millennium Way, Newton Aycliffe.

Construction of the facility, developed for Fornax Environmental Solutions, began in June 2023 and is slated for completion by April 2025. Following construction, a three-month commissioning period will ensure the plant is fully operational.

The facility is designed to process up to 10,500 tonnes of hazardous and clinical waste annually, primarily from the industrial and healthcare sectors within the North East. Using advanced rotary kiln combustion technology, it will generate energy and heat to support neighboring businesses, contributing to reduced reliance on fossil fuels.


The development is the latest addition to Merchant Park in Newton Aycliffe, a £90 million, 65-acre industrial hub that also houses Hitachi Rail Europe. The waste-to-energy facility is expected to bring significant economic and environmental benefits to the region.

The project will create 75 construction jobs and 27 permanent positions once operational. Designed to meet high sustainability standards, the building targets a BREEAM rating of "Very Good" and an EPC grade B, depending on final fit-outs. It will also include:

• First-floor office spaces

• High eave heights

• Advanced warehouse floor loadings

• Secure yards

• EV charging stations

Gary Oates, GMI's Regional Director, said: "This milestone marks an exciting chapter for the project and highlights the incredible progress we’ve made. Completing the steel framework ahead of schedule highlights the dedication, skill, and teamwork of our staff and delivery partners and reaffirms our commitment to providing high-quality industrial facilities in the North East."

Ian Jones, Joint Managing Director of Fornax Environmental Solutions, added: "The completion of the steel framework is a significant step toward fulfilling our mission of delivering this sustainable waste management solution.

"We are investing in a critically underfunded sector within the UK, addressing the limited capacity for the disposal of clinical and hazardous waste. Instead of exporting it offshore, we're offering a local solution to a local problem.

"However, this facility will also provide energy to local businesses. Many have already expressed interest in the heat offtake, helping them reduce their reliance on carbon-based fossil fuels for heating and electricity."