Gypsum industry news

Australia: Knauf is reportedly looking for buyers for its business in Australia. The Royal Bank of Canada and PricewaterhouseCoopers have been helping the gypsum wallboard producer manage a potential sale, according to the Australian newspaper. The German company operates three wallboard plants in the country. They are thought to be worth up to US$200m.

Any such sale is likely to be related to Knauf’s acquisition of USG in 2019. The US-based company owns a 50% share in USG-Boral, which also operates wallboard plants in Australia. Boral said in April 2020 that it thought it unlikely that the Australian Competition and Consumer Commission (ACCC) would approve its plans for USG-Boral so far. If Knauf were able to sell its other assets in Australia then its options with USG-Boral are more likely to be accepted. Speculation has mounted in the local press about partial or full asset divestments by Knauf in Australia since the USG acquisition.

UK: Planning permission has been granted by Newport City Council for a new gypsum wallboard plant to be built by Associated British Ports (ABP). The unit will be built on empty land to the south west of Newport Dock’s South Dock, according to the South Wales Argus newspaper. The building will be up to 202m long and 110m wide, with a maximum height of 21m. Gypsum for the plant will be delivered by ship. The project is expected to create up to 70 jobs. Once complete, the facility will be leased to a manufacturer by ABP.

UK: British Gypsum says its wallboard capacity is at ‘approximately’ 80% of pre-coronavirus pandemic levels following the scaling up of its ‘Covid-19 safe’ operations and distribution plan. Managing director Matt Pullen said that the company’s plaster capacity was already at 80% and it was increasing supply volumes to merchant and distributor customers. It is continuing to allocate wallboard and plaster at lower levels than usual as it resumes normal production. It has also restarted taking new orders for its plasterboard recycling service. The subsidiary of Saint-Gobain shut down its non-essential operations in early April 2020 due to the coronavirus pandemic.

US: Johns Manville’s (JM) filtration products plant in Richland, Mississippi started production of nonwoven filtration media for use in face masks in April 2020. JM’s Engineered Products business decided to build on its existing capabilities and help meet market demand due to shortages in the US and Europe in relation to the coronavirus pandemic.

“Johns Manville is in a unique position to serve a market that is fulfilling a great need across the world,” said Mary Rhinehart, president and chief executive officer (CEO) of JM. “Our high-performance nonwoven material is designed to provide high levels of filtration for various types of face masks. We are proud of our teams in Richland and throughout JM for finding new ways to support the communities and people who are on the front lines of this global crisis.”

JM says its media meets or exceeds Level 1 BFE 95% (Bacterial Filtration Efficiency) and VFE (Viral Filtration Efficiency) requirements. These results were verified by a Food and Drug Administration (FDA) registered laboratory.

UK: France-based Saint-Gobain subsidiary British Gypsum has announced the suspension of non-essential operations until 22 April 2020, subject to regular review in light of government advice. British Gypsum managing director Matt Pullen said, “Further information on when new orders can be placed and deliveries made will be available nearer the time, after the safe re-start of our operations.”

The company says that it will retain a ‘small-scale customer services, operations and logistics team to be able to provide drylining products to support those NHS and other Covid-19 response essential infrastructure and building projects.’

UK: Plans have been submitted for a gypsum wallboard production facility in Newport, Wales. Put forward by Associated British Ports (ABP), which owns the city’s port, the 15,000m² plant would be built next to Alexandra Docks. Once complete, the facility would be leased to a manufacturer by ABP.

A design and access statement prepared by Adams Hendry Consulting on behalf of the applicant said, “The manufacturing facility will make an important contribution to the local economy by providing new jobs, including manufacturing and office jobs. “It will generate approximately 70 full-time equivalent (FTE) direct jobs and it is estimated that the facility will support an additional 130 indirect jobs in the supply chain. The facility is expected to operate 24 hours per day over three shifts year-round.”

ABP requested an environmental impact assessment screening opinion for the application in July 2019, although Newport City Council decided in December 2019 that this was not required.

Uzbekistan: Knauf has announced plans for a second gypsum wallboard production line in Bukhara, Bukhara region. The plans also include an investment of Euro2.2m in an additional gypsum mixture line at its Bukharagips plant, also in Bukhara, which produces dry building mixes. Trend News has reported that Knauf is currently Uzbekistan’s leading producer of gypsum wallboard, which it sells on the Uzbek, Afghan and Turkmen markets.

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.

Algeria: France’s Alphaplatre has delivered an AP400 vertical kiln for a gypsum project in Algeria. The kiln has a plaster capacity of 400t/day. Alphaplatre's work on the project includes supplying equipment for gypsum preparation, calcination, grinding and bagging.

Canada: Cabot Gypsum is investing just under US$5m on upgrade to its Port Tupper gypsum wallboard plant in Nova Scotia. Company president Marcel Girouard said demand for rented residential properties was driving the expansion, according to the Canadian Broadcasting Corporation. The project is expected to create up to 40 new jobs.

The wallboard producer has benefited from the building materials distribution network operated by its parent company, Acadian Drywall. It acquired the Port Tupper plant in 2011 following its closure in 2008.