Gypsum industry news

UK: Saint-Gobain has opened a technical academy in the town of Flitwick, Bedfordshire, UK, to help bridge the skills gap in technical training.

The Saint-Gobain Technical Academy will run a range of training and specialist up-skilling courses. The multi-purpose centre has been developed to feature innovation and product demonstration areas, practical workshops, lecture rooms and meeting facilities.

The courses from Saint-Gobain's companies, including Weber, British Gypsum, Isover, PAM and Pasquill, are designed for 10 to 15 candidates and cover topics such as external wall insulation (EWI), internal wall insulation (IWI), renders and tiling to concrete repair, construction mortars, roofing, pipework and flooring.

Pádraig Barry, managing director for Weber, said, "The facility offers training on a wide range of products and systems from a number of Saint-Gobain brands. The decision to invest in the Flitwick site creates a more accessible location for installers and trade professionals operating in central and southern regions." He continued, "The construction market is believed to need approximately 180,000 more workers to deliver the planned housing and infrastructure projects by 2018. Part of the Saint-Gobain Technical Academy's role is to facilitate this need, but crucially it will also ensure that new and current trade professionals are of the highest calibre, trained on innovative and sustainable systems and have the opportunity to up-skill."

Australia: Len Buckeridge, Australia's 19th richest person, died of a heart attack at the age of 77 on 11 March 2014. The billionaire owner of Buckeridge Group of Companies (BGC), was a well-known and long-standing character in the Australian construction industry. The group has interests in gypsum wallboard, bricks and cement as well as residential construction.

Buckeridge built up BGC, which turns over US$2.25bn/yr, from humble beginnings in the 1960s following his training as an architect at Perth Technical College. Hard-but-fair in business, his determined approach saw him amass a personal fortune of over US$1.5bn via the group. Despite his success he retained a down-to-earth approach to the company's day-to-day operations, latterly running the business from the dining room table in his house at Mosman Park, near Perth.

His hard-nosed stance, which helped him in some aspects of his business life, also made him a controversial figure. Buckeridge was involved in a number of deeply-entrenched confrontations with construction unions in Australia. He also attempted to sue the Government in the Supreme Court over a stalled private port project. Upon his death, Buckeridge was described by former construction union boss Kevin Reynolds as 'a formidable opponent.' "People will remember Len as a person who was prepared to take on anyone and everyone whether it would be the unions, government, other employer groups or other builders," said Reynolds. "If Len believed in something he would take them on."

Buckeridge, who had been contemplating succession plans for BGC without coming to a conclusion prior to his death, owned 100% of the group. The Australian business world and the global cement and gypsum industries is awaiting news on how the future ownership of the company will look. Buckeridge is survived by his wife, six children and eight grandchildren.

Australia: Boral chief executive Mike Kane said that coal seam gas is critical to the future of Australian manufacturing as he warned that rising energy costs are threatening to kill the industry. The US executive has only been running Australia's Boral for about 18 months, but he has already slashed 1000 jobs and cut US$95.5m from the company's cost base.

Kane still has costs firmly in focus, saying that spiralling energy costs are seriously damaging manufacturers. "Coal seam gas is part of the future recovery for Australian manufacturing," he said. "If it is not exploited properly, I think Australian manufacturing has a use-by date attached to it because the inflationary pressures in energy will kill domestic manufacturing over time."

Gas and electricity costs Boral about US$91.1m/yr. The group's newly-signed contracts in New South Wales and Victoria will see Boral's cost of gas rise about 20% from 2014. Because of import parity pricing, it is difficult for Boral and its competitors to pass cost increases on to customers. However, Kane is testing the waters. At its half-year result in February 2014, when Boral reported a 73% jump in underlying half-year profit to US$82.4m, the company flagged its intent to raise concrete prices by 6% in April 2014.

Over the past decade the strong Australian Dollar, high wages, rising energy costs and static productivity have taken their toll on manufacturers. "The Australian economy is showing signs of recovery but it is still early days. Not all of the states are reaching the same rate so I would argue that Queensland, Victoria and South Australia still have a while to come," Kane said.

Oman: Zawawi Gypsum has loaded its first export consignment of gypsum from the port of Salalah. The vessel loaded 66,000Mt of gypsum destined for India. A press release said that the company expects exports to increase to 2Mt/yr within the next three years.

''This shipment is the beginning of a long-term relationship between the port and our company. This relationship will grow stronger when our facility in the free zone commences exports through the port. Salalah, with its proximity to the main trade lanes and direct main line connectivity to our export destination was the ideal location for our facility in Oman,'' said Ramachandran, CEO of Zawawi Minerals.

Zawawi Minerals has created two joint ventures with USG Corporation, Zawawi Gypsum and Zawawi Drywall. Zawawi Drywall is building a 8MM2/yr gypsum wallboard plant. The US$37m plant is expected to be opened in early 2015. It will target growing markets in the Middle East, India and East Africa.

USA: A new study highlights the top reasons that crop growers apply gypsum to cropland. The research cites increased yields, valuable sulphur fertility and soil quality improvements as key benefits of gypsum use, contributing to positive financial returns. The study involved an extensive review of published scientific literature, in-depth interviews with several long-time gypsum users and a survey of US farmers.

"On average, gypsum users received US$1.68 in return for every US$1 invested in gypsum. In addition, gypsum significantly improved the productivity of their soil," said Marvin Batte, professor emeritus of The Ohio State University. "Many gypsum users experienced even higher returns. Plus, there were significant environmental benefits as well."

"Returns were highest for alfalfa where users experienced dramatic increases in yield," said Batte. "In alfalfa, returns per dollar of gypsum cost were often 5:1 or higher. In corn, returns were 2:1 or higher. Alfalfa is a crop with a high sulphur requirement and gypsum supplies sulphur in the sulphate form, which is readily available to plants, unlike elemental sulphur that must be converted to a usable form," said Ron Chamberlain, lead agronomist for Gypsoil. The value of sulphur in gypsum is more than US$16/acre (24281m²) for a 6t alfalfa yield and more than US$5/acre for a 200-bushel corn crop. Producers also found that gypsum improved the effectiveness and efficiency of other plant nutrients, including nitrogen, phosphorus and potassium.

While increased yield and improved fertility were among the easiest benefits to measure, improved soil quality was viewed by many, especially long-time gypsum users, as the most important benefit. The most valuable soil improvement benefits included improved plant rooting, improved seedling emergence, increased soil water retention, reduced runoff and improved absorption of nutrients. Enhanced soil biological activity was also noted.