Now I have CNC envy! http://www.youtube.com/watch?feature=player_embedded&v=nITLI_WcnuM I apologize if this has been posted already.
NICE! this looks like a great project to build using OpenRail! Great find Neil thanks for sharing Mark and Trish
Normally you would use a block of material 'close' to what size your final part would be. Then you would do a rough pass using a large bit to remove the bulk of material. Then go back with a fine tip bit to complete the final finish passes. So I suppose you could have a hotwire set up to cut the cut the block down to the rough pass size.
"Regular" density EPS can be recycled - there is a company called ReFoamIt that recompresses it into solid form. unfortunately for me, the high density XPS Dow makes cannot be recycled this way, as it can't be compressed with their machine.