Gypsum industry news

Ukraine: Knauf Ukraine says that equipment is already in place for its upcoming 30Mm²/yr Ternopil gypsum wallboard plant at Borschiv, construction of which began in December 2024. Business World Magazine News has reported that the company imported the equipment from the site of a dismantled plant in Southern Germany.

World: Germany-based Knauf and its insulation subsidiary Knauf Insulation have consolidated their online presence with a new website, knauf.com. The site offers access to the group’s entire product range. Knauf said that the shift is intended to help customers to increase their productivity.

Knauf Ibérica marketing and technical director Pablo Maroto said "This new platform reinforces our commitment to innovation and facilitates access to our solutions at a global level."

Germany: Chemicals company BASF's sales fell by 19% year-on-year to €37.3bn in the first half of the 2024 financial year (FY2024). Its earnings before interest, taxation, depreciation and amortisation (EBITDA) declined by 34% to €4.72bn. As a result, the company now anticipates full-year sales of €73 – 76bn in FY2024, down from the previously forecast €84 – 87bn. It revised its earnings forecast to €4 – 4.4bn, from €4.8 – €5.4bn previously. At the same time, it increased its anticipated reduction in CO₂ emissions for the year. It now expects to generate 17 – 17.6Mt of CO₂ from its operations, down from its previously forecast 18.1 – 19.1Mt.

Germany: A working group of gypsum producers in the Harz region has supported the Mission: Urban Forest Rescue 2024 reforestation initiative in Osterode, Lower Saxony. The group, including CASEA, Saint-Gobain, Rump & Salzmann and VG Orth, donated €12,500 to the initiative.

The Mayor of Osterode, Jens Augat, said "We are pleased about the companies' commitment to conservation, which goes far beyond the required level.”

Germany/Ukraine: The Würzburg Prosecutor's Office has opened a preliminary investigation into Knauf over its alleged involvement in the on-going reconstruction of Russian-occupied Mariupol. The investigation will seek to establish whether an ‘initial suspicion’ of criminal activity exists. Germany-based media outlet ARD published its allegation of Knauf’s involvement in the reconstruction via the use of its materials earlier in April 2024. The Würzburg Prosecutor's Office added that "There is currently no initial suspicion against Knauf employees."

The producer denied the allegations, adding that it complies with relevant laws and sanctions.

Germany: Grenzebach has expanded its portfolio by acquiring the technology to build its own special hammer mill, previously sourced from Beumer Group subsidiary FAM Minerals & Mining. The hammer mill processes particle sizes of 0 – 50mm, with a throughput of up to 50t/hr. The acquisition also covers technology for the dynamic classifier. Grenzebach says that it will continue to further develop its portfolio of calcination line components, focused on energy efficiency, carbon reduction and digitisation.

CEO Robert Brier said “We are constantly looking for ways to optimise our customer orientation. That is why we were very interested in expanding our portfolio and ultimately acquired the technology.”

Germany: Rigips held the first meeting for its specialist contractor advisory board on 13 – 14 September 2023 at the Brieselang gypsum wallboard plant in Brandenburg. The managing directors of 10 wallboard construction companies met to discuss the market and future challenges. The program for the two-day meeting included a tour of the plant and a workshop moderated by the Rigips product management and the research and development departments.

Danijel Lučić, the director of sales at Saint-Gobain Isover G+H and Saint-Gobain Rigips said “With the expertise of the 'Rigips Experts', we want to be even closer to the market, from product management through research and development to sales.” He added, “The members of the advisory board are all professionals in modern wallboard construction. We want to include these experts in our considerations when developing products and systems and also when developing messages for and in the market. Your feedback is enormously valuable for us in order to be able to prepare and make important decisions safely.”

Germany: Knauf Gips has started an upgrade at its Iphofen gypsum wallboard plant to switch its use of synthetic gypsum to natural gypsum. The project is taking place to prepare the unit for the local phase out of coal-fired power plants by 2038 at the latest. Early work at the site has involved using a 700t crane to lift material over the Würzburg-Nuremberg railway line, during planned renovation to the transport link in late July 2023. The company described the cost of the upgrade as a “mid-double-digit million sum.”

Eurogypsum added its views on the European Union’s (EU) proposed Critical Raw Materials Act (CRMA) last month. It wants gypsum to be added to the bill’s list of critical and strategic raw materials. It is not surprising that the European federation of national associations of producers of gypsum products might want to do this. However, when compared to rare earth minerals of the sort required to manufacture batteries for electric vehicles (EV), gypsum doesn’t seem all that, well, rare.

What may be rare though is people’s patience with new gypsum mines. The association’s argument is that gypsum is indeed abundant in the EU but that accessing it is increasingly becoming difficult. The EU’s sustainability agenda has made the energy efficiency of buildings as important as reducing CO₂ emissions from the transportation sector. Gypsum and other materials used to make lightweight building materials are a way of renovating existing buildings and improving energy efficiency. Therefore it suggests that the act should either recognise gypsum as strategic or introduce a new ‘essential’ category. This would then make the process of extracting gypsum more easy.

This approach ties back to initiatives such as one by the Federal Commission on Geosciences (BLA-GEO) in Germany, which previously started to compile an inventory of the nation’s gypsum deposits with the intention of putting this in front of policy makers. Nor is the gypsum sector alone in targeting the potentially lucrative retrofit market. In May 2023 Daikin, Danfoss, Knauf Insulation, Rockwool, Saint-Gobain, Signify and Velux signed an agreement to promote building energy efficiency in Central and Eastern Europe (CEE). Radek Bedrna, Knauf Insulation’s managing director for Eastern Europe and Middle East, noted that two thirds of the 43.6m homes in single- and multi-family houses in the CEE region were reportedly built before 1989 and are energy inefficient. The European Commission places transport-related greenhouse gas emissions at about 25% of the region’s total. Renovating buildings fully, by contrast, could save up to 5% of the EU’s emissions. Targeting transport emissions may be a higher priority for the EU but the savings from retrofitting are not trivial either.

Then - on cue in mid-June 2023 - there was an example of the difficulties gypsum product producers can face with building new quarries or enlarging old ones when expansion plans for a gypsum quarry supporting Placoplatre’s wallboard plant in Chambéry in France were scaled back from local opposition. The subsidiary of Saint-Gobain met similar issues in late 2022 when a public enquiry started examining its plans to build a new quarry at Fort Vaujours, Seine-Saint-Denis. This site is intended to serve the Vaujours gypsum wallboard plant as a replacement for its Bernouille quarry after the latter closes in 2026. This one has a happier ending, for the gypsum sector at least, since the project received an environmental permit in late May 2023. One of the key issues that came up in the enquiry was a disagreement over the means of extraction. A local environmental group favoured underground mining but an open-cast approach was preferred by the producer as it would yield much more gypsum. The latter was eventually approved.

What this suggests is that making gypsum an ‘essential’ raw material in Europe requires engagement with the general public as much as legislators. Some people may not like having a wind farm built near where they live but the chances are that there will be less opposition than building a new coal mine. Digging up new gypsum deposits should be presented as more like the former than the latter. Whizzing around in a new EV is generally seen as being more fun than bragging about how great the lamba factor is for one’s house. However, this may change if energy prices keep ticking upwards. Gypsum may not be rare but Eurogypsum and others can make a strong case for it being essential.

UK: Langley Holdings, owner of Claudius Peters, recorded consolidated sales of Euro1.17bn during 2022, up by 40% year-on-year from Euro815m in 2021. The group ended the year with an order backlog worth Euro900m. Its Other Industrials division, which includes Germany-based Claudius Peters, recorded sales of Euro277m, up by 11% from Euro250m. Langley Holdings said that, due to the length of its lead times, Claudius Peters’ profitability was especially impacted by costs rises in its delivery on existing contracts in 2022.

Chair Anthony Langley said “Hopefully management will make progress with tangible improvements to the plant machinery business: restructuring is not the preferred option, but, either way, I do expect a better result this year.”