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In a compaction factory, you put stacks of items you want to compact inside. Then, it consumes one crate per stack and creates one lored item per stack. It will be called "compacted x", e.g. "compacted obsidian".
To turn one compacted item back into a full stack you have to uncompact it in a compaction factory. The crate is not returned, and so crates are the "cost" of compacted items, as it is otherwise lossless.
These items usually lose their lore when placed or crafted, to be safe don't place or use the compacted item in crafting.
The printing press currently is not configured correctly and does not work.