There were many reasons for investigating the use of a compactor, 1/ We were filling up multiple skips per week with swarf. 2/ Said swarf being oily was dripping all over the area and causing concern because of groundwater contamination. Yes there is "groundwater" in South Australia, the driest State in the driest Continent!! 3/ Swarf had a fairly low recycling value, because it was dirty and low density.
The compactor ended up compacting the cleaned swarf to better than 90% of the density of the bar material, at least for the al.alloy swarf which was about 95% of the swarf generated. In fact the "pucks" generated by the compactor were machinable!! The scrappy liked it because instead of the 5 round trips of about 15km per week, they were able to make less than one trip per week, with many obvious benefits.
The recycler paid a premium for the compacted swarf, as it was clean and didn't require any operations (like cleaning) before dropping in the bucket to be melted.
I retired before it had paid for itself, but I believe that after 12 years it's still going strong.
cheers
Bill