Gypsum industry news

North America: Saint-Gobain has signed a 100MW solar power purchase agreement (PPA), called Danish Fields, with TotalEnergies. The Danish Fields PPA will supply Saint-Gobain North America with solar energy for 15 years, commencing in 2024. Saint-Gobain says that it expects the PPA to eliminate 90,000t/yr of CO₂ emissions across its operations. This is the group’s third deal of its kind.

Saint-Gobain North America CEO Mark Rayfield said “With this agreement, Saint-Gobain North America will further reduce its CO₂ emissions, demonstrating how fast the manufacturing industry can transform when long term solutions are at hand. This renewable energy project is a new milestone on the way to meeting Saint-Gobain’s commitment to reduce Scope 1 and 2 CO₂ emissions by 33% by 2030 compared to 2017, and to reach carbon neutrality by 2050.”

One can tell that gypsum wallboard is a popular product because companies keep trying to devise alternatives to it. A recent one is Breathaboard. The company making it, Adaptavate, announced in August 2023 that it had generated around Euro2.3m in its latest investment round. It is building a pilot production line in Bristol in the UK and attempting to licence its Breathaboard product, amongst other plans. Its take on wallboard is being marketed as a sustainable substitute that is made from crop waste, that sequesters CO₂ and that then can be composted at the end of its life. It is also promoting the product’s breathability and moisture buffering capabilities, hence the name.

Another new contender hoping to steal some of the gypsum wallboard market is Xeriant’s Nexaboard product. This one uses plastic waste as its alternative to gypsum. Florida-based Xeriant said in July 2023 that it had started to buy equipment and raw materials, was running pilot production and was testing its first samples. It too is working on getting its product used in pilot construction projects.

Both of these examples, and others over the years, have taken a pop at wallboard’s sustainability credentials. Adaptavate is rather quieter about what happens to all of that sequestered CO₂ when its product is composted and Xeriant does not mention the environmental impact of making the plastic it uses in the first place. Yet, it is a valid question to ask how sustainable is gypsum wallboard? This column has covered issues with the supply of raw gypsum from either natural, synthetic or recycled sources previously, so we will stick to the general picture here.

The late-lamented consultant Bob Bruce pulled together data from various studies for the Global Gypsum Conference in 2019 to estimate the CO₂ emissions from wallboard production. He estimated that the global average of CO₂ production by wallboard was around 2.4kg/m², equating to 24Mt/yr of CO₂ for the global wallboard industry. For reference, it is estimated by the Center for International Climate and Environmental Research - Oslo (CICERO) that the process emissions from clinker production alone released around 1.6Gt/yr of CO₂ in 2022. When compared by mass (as opposed to area) to other building materials, wallboard has a lower carbon intensity than many products such as glass, cement (made from clinker), plastics, steel and plywood. Timber, concrete and brick are all better than wallboard though. However, as Bruce pointed out, a lot more concrete is manufactured than wallboard. Bruce came up with a handful of suggestions for how wallboard production could reduce its CO₂ emissions such as the reduction of slurry water, local delivery, co-generation, increasing drying efficiency and so on.

The two big sustainability trends from the sector over the last year have been the drive to support higher recycling rates of gypsum and a move towards ‘greener’ sources of energy. This can be seen in the growing use of electrical energy from renewable sources such as the production of net zero CO₂ gypsum wallboard at Saint-Gobain’s Fredrikstad plant in Norway from April 2023. The group’s Montreal plant looks set to follow in 2024 following an upgrade, potentially making it the first net zero wallboard plant in North America. Chiyoda-Ute in Japan has also started using renewably-sourced electricity at its plants in Japan, but it is uncertain what other energy sources these sites are using. China-based BNBM also claimed in its half-year results that it had built four “nearly zero emission” gypsum board production lines in the reporting period.

Wallboard's market position in North America, Europe and elsewhere seems secure. However, it is in dynamic tension as it is both a potential replacement for more carbon intensive building materials and it could also be susceptible to new emerging products that can improve on its own emissions. The manufacturers of Breathaboard and Nexaboard are clearly hoping for the latter. Yet, as is often pointed out, giving more market share to wallboard from other common building materials could reduce CO₂ emissions from construction massively. The diversification of traditional heavy building materials companies such as Holcim into light building materials in recent years suggests that some businesses are seriously preparing for this possibility. No doubt, if global wallboard usage does start to rise significantly, the pressure will grow to make wallboard more sustainable and to devise even more alternative board products.

Japan: Chiyoda-Ute will add its Chiba gypsum wallboard plant to its ‘green electricity’ mark scheme from September 2023. The certificate from Japan Natural Energy shows that products have been manufactured at a plant using electricity generated from a renewable source. The switch to using renewably-sourced electricity is expected to reduce CO₂ emissions at the Chiba plant by 3800t/yr.

Japan: Chiyoda-Ute plans to mark the packaging of its gypsum wallboard product with a ‘green electricity’ mark when it has been manufactured at a plant using electricity generated from a renewable source. The company first started using electricity supplied from sustainable sources at its Yokkaichi wallboard plant in April 2023. It intends to extend this to its other plants in the near future.

France: Etex subsidiary Siniat plans to install a new boiler, fired by either solid recovered fuel (SRF) or waste wood, at its Auneuil gypsum wallboard plant in Oise Department. The producer expects this to reduce the plant's gas consumption by 20%. The L'Usine Nouvelle newspaper has reported that the project is part of a planned Euro30m sustainability overhaul of equipment at the plant before 2026. Siniat recently brought the Auneuil plant back online following the installation of a new Euro15m dryer in early 2023, which increased wallboard drying times by 10% and reduced gas consumption by 20%. The producer said that this has eliminated 5900t/yr of CO₂ emissions.

From the remaining Euro3m of its allotted budget for sustainability upgrades, Siniat will build a gypsum recycling plant at the Auneuil gypsum wallboard plant. It currently receives its recycled gypsum from Ritleng Revalorisations' gypsum recycling plant in Rohr, Bas-Rhin Department. Currently, natural gypsum from the Le Pin-Villeparisis and Montmorency mines accounts for 40 - 60% of the Auneuil plant' gypsum consumption.

Japan: Chiyoda-Ute is preparing to launch a gypsum board product, Chiyoda Circular Gypsum Board, from June 2023 that uses 100% recycled gypsum. The company says it is the first product of its kind in the world to use 100% waste gypsum board collected from construction sites. Manufacturing will also be carbon neutral through the use of wood chips to heat the plant’s boiler and electricity supplied from renewable sources.

Norway: Saint-Gobain has started producing net zero CO₂ gypsum wallboard at its Fredrikstad plant. This was made possible by switching the power supply for the unit to hydroelectric power from natural gas previously. It worked with state-owned sustainable energy agency Enova on the Euro25m upgrade project. Following the completion of work at the site it will now avoid emitting 23,000t/yr of CO₂. Improved heat recovery and process efficiency will reduce energy consumption by 30%. Plus, the company says that the plant’s production capacity has been increased by 40%.

The group says that this is the world's first carbon-neutral wallboard plant and it will enable it to launch a range of products with the lowest carbon footprint on the market in 2023. It added that the this initiative was a clear indication of the company’s commitment to reduce its scope one and two CO₂ emissions by 33% by 2030 compared to 2017, with a commitment to becoming carbon neutral by 2050

France: Saint-Gobain recorded sales of Euro51.2bn during 2022, up by 16% year-on-year from Euro44.2bn in 2021. The group reported that its sales volumes fell by 1.3% year-on-year. It nonetheless recorded growth in revenues of 9.2% in Northern Europe, 8.2% in Southern Europe, the Middle East and Africa, 33% in the Americas and 19% in Asia-Pacific.

During the year, Saint-Gobain made Euro3.8bn-worth of divestments, including of its Polish and UK distribution businesses, and Euro1.9bn-worth of new acquisitions.

CEO Benoit Bazin said “In an unsettled geopolitical, energy and macroeconomic environment in 2022, the group once again delivered record results. The group’s profile has been profoundly optimised: one-third of the group’s scope has changed in the past four years and over 60% of our earnings now come from North America and emerging countries." Bazin continued "I am confident that 2023 will be a good year for Saint-Gobain. Our roadmap is clear: disciplined execution of the Grow & Impact strategic priorities, leveraging the strength of our operating model against the backdrop of a slowdown in new construction but good resilience in renovation."

Spain: France-based Saint-Gobain has signed a power purchase agreement (PPA) with Endesa. The 11-year agreement will start in 2024 and will cover around 55% of Saint-Gobain’s local electricity requirements. Endesa will supply 150GWh/yr of renewable energy. This agreement will enable a reduction in CO₂ emissions of roughly 39,000t/yr. This is the second renewable energy supply agreement signed by Saint-Gobain in Spain. Together, the two agreements will cover 65% of the group’s electricity needs in Spain.

France: Saint-Gobain’s sales grew by 14.5% on a like-for-like basis to Euro38.4bn in the first nine months of 2022 compared to Euro32.9bn in the same period in 2021. Strong sales growth was reported in all business lines although sales were driven in particular by the group’s High Performance Solutions business and its Asia-Pacific and North America regions.

The group noted that raw materials, freight and energy costs were growing, especially in Europe. It said that it had hedged around 80% of its natural gas and electricity purchasing needs for 2022 and around 60% for 2023. It has also been preparing continuity plans for its gas-consuming plants in Europe to ensure the flexibility of production to operate with less or alternative energy. The group said that its gypsum wallboard and construction chemicals production lines were “extremely flexible.”

By region the group said it had started the world’s first zero-carbon wallboard production at its Balsta plant in Sweden powered by biogas and ‘green’ electricity. In France it produced and marketed its Placo Infini 13 product, which is said is the first wallboard made from over 50% recycled gypsum.