Gypsum industry news

UK: Matt Pullen, the managing director of British Gypsum, says that the company intends to loosen restrictions on wallboard sales in August 2020. “Whilst we continue to see high levels of demand, we have sufficient capacity to supply your wallboard requirements without formal supply restrictions,” said Pullen. He added that the company’s plaster manufacturing plants continue to, ‘operate consistently at maximum capability.’

Gypsum plaster-based products have been in short supply in the UK since the local coronavirus-related lockdown started in March 2020. The subsidiary of Saint-Gobain suspended operations in April 2020 and Knauf stopped production at its wallboard plants in the UK at the end of March 2020. British Gypsum reported in late May 2020 that its wallboard capacity was at ‘approximately’ 80% of pre-coronavirus pandemic levels following the scaling up of its ‘Covid-19 safe’ operations and distribution plan. Etex’s Siniat said it was ending product allocation controls in early July 2020.

UK: British Gypsum says its wallboard capacity is at ‘approximately’ 80% of pre-coronavirus pandemic levels following the scaling up of its ‘Covid-19 safe’ operations and distribution plan. Managing director Matt Pullen said that the company’s plaster capacity was already at 80% and it was increasing supply volumes to merchant and distributor customers. It is continuing to allocate wallboard and plaster at lower levels than usual as it resumes normal production. It has also restarted taking new orders for its plasterboard recycling service. The subsidiary of Saint-Gobain shut down its non-essential operations in early April 2020 due to the coronavirus pandemic.

Azerbaijan: The president of Azerbaijan has attended the opening of the 0.4Mt/yr Ağdağ gypsum plaster plant built by Matanat-A in Baku's Garadagh District on 30 January 2016. The plant has been built using US$0.9m loan from the national business promotion fund. It employs more than 800 workers.

Suppliers supporting the project include Boemer, Saake, Haver and Boecker, Atlas Copco, ABB, Caterpillar, STP and Erisim. Half of the products made at the plant will be exported to Russia, Kazakhstan, Georgia, Turkmenistan, Ukraine and Iran.

US: Louisville's Charah Inc uses by-product gypsum from a local coal plant to make a fertiliser, SUL4R-PLUS, which is used by domestic and international farmers. Charah has now announced plans to expand its operations as demand grows.

In April 2013, Charah opened a US$14m plant at Mill Creek Generating Station in Louisville to produce SUL4R-PLUS after recognising a market for it in the agricultural industry. The sulphur content in local soil has fallen significantly in recent years as high-yield farming has pulled more of it out of the ground.

Charah gets gypsum powder from the Mill Creek facility and makes it into fertiliser pellets using several additives. It then sells the pellets to distributors. SUL4R-PLUS is now used in several states, including Texas, Wisconsin, Florida and other countries, including Canada and the Dominican Republic.

Due to its popularity, company officials have stated that they plan to expand operations with the introduction of a second production line at the Mill Creek production facility. In the future, it could also build production lines at other power plants it works with around the country.

Pakistan/India: The price of gypsum has increased by about US$1.50/t for local consumers after the opening of Wagha border, because mine contactors are exporting gypsum to neighbouring India in massive quantities. Industry sources said that if exports of gypsum continued unchecked the local cement manufacturers, who are the major users of this commodity, will suffer the most due to its constant hike in rates, which may impact the price of cement.

In India the price change has been in the opposite direction and more pronounced, with prices falling from US$35/t to US$24/t on a glut in supply.

An official of the Pakistani Punjab Mines & Minerals Department, on the condition that his name not to be mentioned, questioned the prudence of allowing raw gypsum exports. "We are monitoring export of gypsum and trying to approach the cement industry, which is the biggest user of this mine. In several meetings with the representatives of the cement industry we have raised the issue of unregulated gypsum exports to India through the Wahga border route," the official said.

In the 2010-2011 financial year, which ended on 30 June 2012, Pakistan produced around 0.68Mt of gypsum, with its part of Punjab producing 0.49Mt of the total.

France: Lafarge has chosen a handful of bids, including those of investment funds Cinven and Bain Capital, for its plaster unit Lafarge Gypsum, from at least 10 different offers. Belgian building material group Etex is also reportedly still in the race, while Advent, Carlyle and TPG have been ruled out.

Other offers were reportedly made by Kohlberg Kravis Roberts & Co. Eagle Materials Inc., USG Corp and Saudi Arabia's National Gypsum Company. The bids are around Euro900m on average.

Lafarge Gypsum's operating profit jumped 80% on the year in the first quarter to Euro18m, while its sales rose by 9% to Euro375m. The US activity, however, struggled with a loss in 2010. It is not known whether or not the assets will be split up geographically, as had previously been suggested.