Gypsum industry news

Belgium: Eurogypsum’s board of directors has elected Jörg Ertle president of the association. The Etex head of corporate social responsibility will succeed Saint-Gobain Group vice-president for sustainable development Emmanuel Normant, who now takes over the position of Eurogypsum vice-president. Knauf Group Central Europe managing director and Knauf Gips chair Christoph Dorn will serve as the association’ new treasurer.

Ertle studied mining and mineral engineering at RWTH University Aachen and holds a Ph.D in environment technology from Berlin Technical University. He has over 20 years’ gypsum industry experience, including time spent in management roles Lafarge before and after its acquisition by Etex. Having previously headed Etex’s worldwide gypsum sourcing, Ertle took on his current role in the group in 2019. He has also participated in different Eurogypsum working groups concerning raw material policy, and has chaired the association’s Environment and Sustainability Committee since 2018.

Ertle said “I am taking over Eurogypsum’s presidency at a challenging time for Europe, with a global climate and environmental challenge, as well as a particularly unstable international environment. Economic actors are working under increased regulatory and financial pressure.” He added “I am convinced that gypsum solutions are a strong enabler to facilitate this transition, supporting the ambitions of the European Green Deal.”

Canada: Saint-Gobain has shared plans to install a US$3.19m waste heat recovery (WHR) system at its Vancouver gypsum wallboard plant in British Columbia. It has secured US$1.12m in funding from the provincial government’s CleanBC Industry Fund for the project. The producer says that the installation will increase the plant’s energy efficiency and reduce its CO₂ emission by 10%.

Saint-Gobain said “This project will help our company to maximise our positive impact for our customers and the communities where we do business, while minimising our environmental footprint. We thank the CleanBC programme for its support, and look forward to many more years of sustainable, state-of-the-art manufacturing in Vancouver.”

Canada/US: Saint-Gobain North America and its subsidiary CertainTeed say they have reduced their CO₂ emissions from electricity usage by about a third in 2021 through the use of renewable energy contracts. In February 2020, Saint-Gobain entered into a 12-year virtual power purchase agreement with the Blooming Grove Wind Farm in McLean County, Illinois. At the time, the agreement was the largest renewable energy deal in Saint-Gobain’s 356-year history. Saint-Gobain worked with Edison Energy, an industrial energy advisor, on the arrangement.

“We’re thrilled with the results of our partnership with the Blooming Grove Wind Farm, and will continue to look for ways to maximise our positive impact, for our customers and the communities where we do business, while minimising our environmental footprint,” said Mark Rayfield, the chief executive officer of Saint-Gobain North America and CertainTeed. “In this next chapter of our company’s history, our team will strive to lead our industry towards a more sustainable future.”

UK: Freight transportation services provider XPO Logistics has started taking delivery of 76 Volvo FM trucks that will be used exclusively on the company's contract with British Gypsum. 23 of the tractor units are Volvo FM LNG models running on bio-generated liquefied natural gas. The other 53 Volvo FM trucks will be fuelled with hydrotreated vegetable oil. The vehicles are expected to reduce their greenhouse gases emissions by 90% compared to diesel tractors giving a total network reduction of 30%.

Brian Fisher, Head of Distribution at British Gypsum, said "Our new fleet of vehicles underlines our commitment to ensuring that our products are delivered to customers in an efficient, secure, safe and sustainable way, whilst further improving welfare standards for our drivers. The latest investment signifies yet more progress as we continue on our journey to being net carbon zero by 2050 and highlights our continued commitment to the Fleet Operator Recognition Scheme (FORS) and Construction Logistics and Community Safety (CLOCS) status."

The Volvo trucks will form part of British Gypsum's single, integrated transportation network, digitally managed by XPO. They will deliver building supplies to a broad customer base and will transport stock and materials including plaster, wallboard and high-performance drylining systems – between British Gypsum's five production plants. The Volvo FM LNG trucks will refuel at Gasrec's site at Daventry International Rail Freight Terminal.

US: CertainTeed has installed new recycling technology at its Silver Grove, Kentucky, gypsum wallboard plant which will enable the facility to divert 15,000t/yr of production scrap paper from landfill. The technology grinds gypsum-contaminated paper into fine pieces for separation. The subsidiary of France-based Saint-Gobain says that it will then be able to reuse both paper and gypsum in its wallboard production at the plant.

CertainTeed’s gypsum general manager and vice president Jay Bachmann said “This project allows us to reduce our waste and reduce our production costs in Silver Grove while also empowering us to increase the efficiency of our use of natural resources.” He added “We will continue to look for ways to minimise our environmental footprint while maximising our company’s positive impact for our customers and the communities where we do business.”

Belgium: Etex has donated five sustainable modular housing units to families dispossessed by flooding in the summer of 2021. The company built the houses at Rochefort and Pepinster in two weeks and their assembly took 48 hours. Etex said that it plans to develop the construction method in future in order to meet needs and new trends in the housing sector.

Bernard Delvaux, chief executive officer of Etex said “It was important for us to donate our expertise through these five houses built in a circular way with a very low carbon footprint. Our modular construction technologies meet multiple housing needs around the world with the fast construction of affordable, well-insulated, high-quality and attractive living spaces.”

Belgium: Saint-Gobain has appeared on climate charity CDP’s Climate Change A List 2021. The producer says that the listing recognises its environmental ambition and transparency. It has taken ‘significant and demonstrable action,’ including allocating Euro100m/yr until 2030 in capital expenditure and research and development funding to reduce CO₂ emissions. It employs an internal carbon
price for investment decisions, which has risen by 50% to Euro75/t for capital expenditure. For research and development, it is Euro150/t.

Senior vice president human resources and corporate social responsibility Claire Pedini said “This is a recognition of the progress made and the commitment of the group with regard to the fight against climate change. Saint-Gobain is a key player in this respect and demonstrates at all levels its leadership and responsibility: maximising the positive impact for our customers thanks to our solutions, whilst minimising our own footprint as part of our commitment to be carbon neutral by 2050.”

US: Saint-Gobain plans to invest a total of US$400m in expansions to its operations including gypsum operations at four US sites. The group says that the sites are located in California and the Southeastern US. It said that the new capacities will apply the most advanced available technologies for industrial performance, safety and sustainability. This will reduce waste by 50% and CO2 emissions by 20% from current levels, according to the company.

Saint-Gobain said it hopes that the investments will strengthen its leadership in North America and accelerate its growth in the region by enriching its comprehensive range of solutions for light and sustainable construction.

Belgium: Etex’s 2020 Sustainability Report has recorded the company’s progress towards its sustainability goals under four headings. Under the heading ‘carbon neutrality,’ it produced and purchased 72% of its electricity consumption renewably, compared to 14% in 2019. Under ‘health, safety and wellbeing,’ its lost-time accidents per million working hours fell by 36% year-on-year to 1.4 from 2.2. Under ‘waste management and circularity,’ it reduced its waste generation by 8.9% to 254Mt from 278Mt and reduced the share of its waste sent to landfill to 18% from 26%. Lastly, under ‘diversity and inclusion,’ 28% of the company’s newly hired staff were women, compared to a group total share of 19%.

CEO Paul van Oyen said “At Etex, we have a clear commitment to helping build a better, sustainable future. We seek to offer holistic value to our customers, employees, shareholders and other stakeholders, as we continue to decouple our growth from environmental and social impacts. To help achieve this, we focus on lightweight materials and prefabricated construction. These methods offer advantages such as reduced raw material use, energy consumption, waste and emissions. Even more, they contribute to enhanced long-term circularity by creating opportunities for deconstruction, reuse and recycling.”

France: Saint-Gobain has launched Grow & Impact, a new strategic plan to increase profitable growth. The plan consists of new annual financial targets for 2021-2025, including organic sales growth of 3 - 5%, an operating margin of 9 – 11%, a free cash flow conversion ratio above 50%, a return on capital employed of 12 - 15% and an annual dividend payout ratio representing 30-50% of recurring net income. The company also announced a Euro2bn share buyback programme for 2021 – 2025.

Saint-Gobain has forecast full-year energy and raw materials costs of Euro1.5bn, up by 36% from its previous estimate of Euro1.1bn. Euro1.1bn (73%) of the new estimate is forecast for the second half of 2021. The group said that it will need a positive price impact of around 6% over the full year and of 8% in the second half of 2021 in order to offset this. CEO Benoit Bazin said “The Group will build on the success of its new local organisation and its multinational culture driven by performance and by proximity to its customers, in order to benefit fully from strong growth on its underlying markets. By capitalising on innovation and the power of data to enrich our range of solutions, Grow & Impact will enable us to outperform our underlying markets and maximise our positive impact in numerous areas.” He added “Our vision is to become the worldwide leader in light and sustainable construction. In a world moving towards net-zero carbon, Saint-Gobain aims to provide a full range of solutions that address three major issues of our time: drastically reducing the 40% of CO2 emissions linked to construction, protecting natural resources and facing the challenge of rapid urbanisation in emerging countries.”