Gypsum industry news

US: A study by Resource Recycling Systems found that 33% of construction and demolition materials (CDM) entering landfill in Summit County, Colorado, could be effectively diverted into CDM recycling. Gypsum wallboard was among the 11 materials included in the study. Local press has reported that county authorities aim to reuse or recycle 25% of CDM generated locally by 2028, and 50% by 2035. Landfill capacity will run out in 2078.

CDM constituted 30% of Summit County’s landfill intake during the study period.

US: Xeriant will begin to produce its Nexboard alternative wallboard for sale at some time in the near-term future after making further recipe adjustments focused on ensuring fire safety. The company has contracted large-scale production to a ‘well-established’ producer, with which it is currently in the setup stage. It is also in talks with a bank about finance.

CEO Keith Duffy said "After initial fire testing at a national certification laboratory in June 2024, we engaged a polymer chemist to refine Nexboard's composition with a focus on passing the rigorous NFPA 286 fire safety test. This step followed several modifications in the base material and fire-retardant compositions and the finalisation of a production method that ensures the highest-volume, best quality and lowest-cost output. This extensive research and testing over many months has led us to believe that the additional changes will enable Nexboard to meet or even surpass the existing code requirements for building materials used in our targeted applications."

US: GMS recorded first-quarter sales of US$1.4bn in the 2025 financial year, which began on 1 April 2024. This corresponds to a 3% year-on-year rise from first-quarter 2024 financial year levels. Group adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) dropped by 16% to US$146m. During the reporting period, GMS increased its gypsum wallboard sales by 3%, to US$588m. It reported an overall rise in sales volumes, buoyed by 4% growth in single-family residential construction, offsetting declines in multi-family residential and commercial construction. President and CEO John Turner nonetheless announced a new US$25m/yr costs reduction programme, due to on-going ‘market pressures.’

Turner said "We continued to focus on the execution of our strategic pillars and adapting to shifting end-market demand, and are managing costs more firmly across the business. We believe the market pressures we faced this quarter will likely persist over the next several quarters, at least until the expected reduction in interest rates can positively impact demand for our products.”

Mexico: Saint-Gobain has entered into a definitive agreement to acquire construction chemicals producer Ovniver Group for US$815m. The parties expect to conclude the deal in early 2025. Ovniver Group produces its CeMix brand adhesives, renders, surface preparations and waterproofing products across 16 sites in Mexico, Guatemala, Honduras and the US.

Ovniver Group recorded revenues of US$285m in 2023, with an average annual growth rate of 20% over the past five years.

US: The Oregon Department of Environmental Quality is receiving public comment on its revised 2021 Climate Protection Program, under which natural gas users, including gypsum wallboard producers, will face tighter emissions regulations. The programme will enable plants to buy credits for emissions above regulation level, with the money raised primarily going to fund community-based projects. Local press has reported that the revised rules aim to help realise a 50% reduction in CO₂ emissions by 2035 and a 90% reduction by 2050. The latest revision also shortens companies’ compliance period from three years to two.

US: Eagle Materials raised its sales in the first quarter of the 2025 financial year to US$609m, up by 1% year-on-year. Its adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) grew by 5% to US$225m. The group’s Light Materials segment raised its sales by 2%, to US$248m, 41% of group sales. Its operating earnings grew by 5%, to US$103m. A rise in gypsum wallboard prices offset a 1% decline in sales volumes to 70.3Mm² of wallboard, while paperboard sales volumes rose by 10% to 91,000t. The segment also reported a drop in operating costs, including for energy.

CEO Michael Haack said “Our portfolio of businesses continued to perform well, despite adverse weather conditions during the quarter across many of our core markets. Underlying fundamentals in our markets continue to be favourable, and we expect demand for our products to remain steady for the balance of the year. In addition, despite some interest-rate sensitivity, residential construction activity remains resilient, given chronic housing-supply shortages and continued underlying demand strength. Our well-positioned balance sheet, significant cash flow generation and consistent, disciplined operational and strategic execution through shifting economic cycles position Eagle for another strong fiscal year."

US: Xeriant plans to build plants to produce its NexBoard alternative wallboard panels. The company says that it has secured finance and selected equipment and sites. Discussions with banks over possible tax-free green bonds are on-going.

CEO Keith Duffy said "We are looking forward to having customised manufacturing plants that can meet the market demand from homebuilders who have committed to using our wallboards."

US: GMS grew its sales by 3% year-on-year to US$5.5bn in the 2023 financial year. It attributed this partly to high volumes of multi-family residential construction. The group’s Canadian operations contributed US$660m (12%) of sales. GMS recorded adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) of $616m, down by 7% year-on-year.

During the year, the company made three new acquisitions. It repurchased US$116m-worth of shares and refinanced its senior secured term loan to extend its maturity by seven years, to 2030.

US: US gypsum wallboard sales grew by 1% year-on-year to 628Mm² during the first quarter of 2024. The country imported 20.1Mm² of gypsum wallboard, down by 13% year-on-year. Mexico supplied 19.3Mm² (96%) and Canada 800,000m² (4%) of imports. Meanwhile, the US exported 19.1Mm² of gypsum wallboard during the quarter, 18Mm² (94%) of it to Canada.

US: GLC Minerals has increased its production of specialised gypsum formulas for various applications, after the Port of Baltimore closed on 26 March 2024. The port previously received the largest quantity of gypsum imports of any US port. It closed when the Singapore-registered container ship Dali collided with the nearby Francis Scott Key bridge in the Baltimore harbour. GLC Minerals says that it is collaborating with public and private entities, among them the Port of Green Bay in its home state of Wisconsin, to support supply chains reliant on gypsum.

GLC Minerals’ chief commercial officer, Ed Van Poucke, said “We’re ramping up gypsum production to help support specific segments of the supply chain until the Port of Baltimore is up and running. We operate a terminal at the Port of Green Bay, in the heart of the Midwest, which enables us to help fill this gap in demand, allowing industries that rely on gypsum to continue operating.”

GLC Minerals president Holly Bellmund said "We are nearly 1600km away from the Port of Baltimore, and we’re seeing the impact this event has had on the market. We’re just pleased to be able to assist and be a stop-gap for certain industries until their supply chain is restored.”