Gypsum industry news

US: CertainTeed Gypsum plans to close its Cody gypsum wallboard plant on 3 April 2020. 50 jobs at the site will be lost when the subsidiary of France’s Saint-Gobain closes, according to the Associated Press. Saint-Gobain is reported to be attempting to sell the 26Mm²/yr facility.

Germany: Logistics visibility provider Sixfold says that Saint-Gobain Rigips will use its Sixfold’s logistics software to enable the firm’s sales teams and planners to provide customers with real-time data on shipments. Customers will be provided with live data on the status of shipments through Sixfold’s product and be able to track the status of goods in transit without calls to carriers, with the potential to gain savings of up to 30%.

Saint-Gobain Rigips’ is a joint customer of Sixfold and Transporeon, a major European logistics network. Sixfold is the exclusive shipments visibility provider for the Transporeon network and provides shipment information on over 50,000 shipments each day. The network comprises more than 1200 shippers in the manufacturing and retailing industries.

US: France-based Saint-Gobain has announced a 120MW wind power supply deal with Blooming Grove Wind Farm, the largest renewable energy contract in the gypsum wallboard producer’s history. The 12-year contract, which secures 120MW of the available 250MW of power for Saint-Gobain from the wind farm in Illinois, will reduce the company’s US carbon footprint by 21%, it says. “This makes North America a significant contributor in our global network towards helping meet Saint-Gobain’s sustainability goal of net-zero CO_² emissions by 2050,” said Saint-Gobain North America president and CEO Mark Rayfield.

US: Saint-Gobain is preparing to complete its acquisition of Continental Building Products in early February 2020. The announcement follows approval by Continental Building Products’ shareholders for the US$1.4bn deal.

Saint-Gobain said that the purchase of the gypsum wallboard producer would increases its presence in the US with its positioning in growth regions in the East and Southeast US. It would also widen its product portfolio and create the opportunity for at least US$50m in cost synergies and performance improvements by the end of the third year following the close of the transaction.

"This transaction will allow us to become a leading player in plasterboard and construction solutions across North America. It will enable the group to enhance its growth and profitability profile,” said Pierre-André de Chalendar, Chairman and Chief Executive Officer of Saint-Gobain.

UK: Global not-for-profit organisation CDP has included Saint-Gobain on its Climate Change A-List 2019 for environmental transparency and performance aimed at facilitating a zero-net carbon economy. Only a handful of industrial producers achieved inclusion on the list, including US-based insulation producer OwensCorning and Germany’s HeidelbergCement and steel producer Thyssenkrupp. The company said that the listing commended its ‘ambitious commitment made in 2019 to achieve net zero carbon emissions by 2050, in line with the +1.5°C warming scenarios.’

US: A shareholder in Continental Building Products is taking legal action against the company over its acquisition by France’s Saint-Gobain on 14 October 2019. The claimant alleges that company withheld necessary information from shareholders prior to the transaction, in violation of Securities and Exchange Commission regulations.

UK: Saint-Gobain subsidiary British Gypsum has announced the removal of customer Gyproc gypsum plasterboard allocations with the resumption of normal distribution of its flagship product on order for up to next day delivery. The company said that capacity increases in 2019 solved its supply issue. “The level of effort, innovation and ingenuity that has gone into improving our supply capability has been significant,” said British Gypsum managing director Matt Pullen. “We go into 2020 with renewed confidence and positivity.”

UK: British Gypsum’s mine at Brightling near Robertsbridge has provided gypsum samples to researchers from the Natural History Museum. The rock specimens are intended to aid the scientists in looking at signs of past life in preparation for a joint European Space Agency and Russian Roscosmos State Corporation mission to send a robotic rover to mars in July 2020, according to the Rye & Battle Observer newspaper. Previously, NASA's Mars Rover Opportunity found bright veins of a mineral, which appeared to be gypsum, in 2011.

"Minerals like those found at Brightling hide clues within them that can tell us about the history of liquid water where they formed, and they have the potential to trap and preserve organic material. Studying these natural fresh samples on Earth that mimic not just the minerals, but also the formation environments we see on Mars, will give us an insight into the potential for life to be detectable at the ExoMars2020 landing site," said Louisa Preston, UK Space Agency Aurora Research Fellow and member of the Department of Earth Sciences at the Natural History Museum.

France: Saint-Gobain has entered an agreement with US-based Continental for the acquisition of the latter’s Building Products section at an estimated value of Euro1.4bn. Saint-Gobain stated that the North American plasterboard producer has ‘strong geographic complementary’ with its existing operations in the continent, with a possible gain of Euro45.3m in cost synergies and performance improvements. It also noted Continental Building Products’ good positioning in its Eastern and South-Eastern United States growth regions and strong profitability.

UAE: French-based Saint-Gobain Gyproc’s Habito gypsum wallboard has received the Green Product of the Year Award at the Middle East and North Africa Green Building Awards for setting standards in environmentally friendly production. Saint-Gobain says that sustainability is at the core of its long-term strategy.