Gypsum industry news
Update on European gypsum supplies, June 2023
22 June 2023Eurogypsum added its views on the European Union’s (EU) proposed Critical Raw Materials Act (CRMA) last month. It wants gypsum to be added to the bill’s list of critical and strategic raw materials. It is not surprising that the European federation of national associations of producers of gypsum products might want to do this. However, when compared to rare earth minerals of the sort required to manufacture batteries for electric vehicles (EV), gypsum doesn’t seem all that, well, rare.
What may be rare though is people’s patience with new gypsum mines. The association’s argument is that gypsum is indeed abundant in the EU but that accessing it is increasingly becoming difficult. The EU’s sustainability agenda has made the energy efficiency of buildings as important as reducing CO2 emissions from the transportation sector. Gypsum and other materials used to make lightweight building materials are a way of renovating existing buildings and improving energy efficiency. Therefore it suggests that the act should either recognise gypsum as strategic or introduce a new ‘essential’ category. This would then make the process of extracting gypsum more easy.
This approach ties back to initiatives such as one by the Federal Commission on Geosciences (BLA-GEO) in Germany, which previously started to compile an inventory of the nation’s gypsum deposits with the intention of putting this in front of policy makers. Nor is the gypsum sector alone in targeting the potentially lucrative retrofit market. In May 2023 Daikin, Danfoss, Knauf Insulation, Rockwool, Saint-Gobain, Signify and Velux signed an agreement to promote building energy efficiency in Central and Eastern Europe (CEE). Radek Bedrna, Knauf Insulation’s managing director for Eastern Europe and Middle East, noted that two thirds of the 43.6m homes in single- and multi-family houses in the CEE region were reportedly built before 1989 and are energy inefficient. The European Commission places transport-related greenhouse gas emissions at about 25% of the region’s total. Renovating buildings fully, by contrast, could save up to 5% of the EU’s emissions. Targeting transport emissions may be a higher priority for the EU but the savings from retrofitting are not trivial either.
Then - on cue in mid-June 2023 - there was an example of the difficulties gypsum product producers can face with building new quarries or enlarging old ones when expansion plans for a gypsum quarry supporting Placoplatre’s wallboard plant in Chambéry in France were scaled back from local opposition. The subsidiary of Saint-Gobain met similar issues in late 2022 when a public enquiry started examining its plans to build a new quarry at Fort Vaujours, Seine-Saint-Denis. This site is intended to serve the Vaujours gypsum wallboard plant as a replacement for its Bernouille quarry after the latter closes in 2026. This one has a happier ending, for the gypsum sector at least, since the project received an environmental permit in late May 2023. One of the key issues that came up in the enquiry was a disagreement over the means of extraction. A local environmental group favoured underground mining but an open-cast approach was preferred by the producer as it would yield much more gypsum. The latter was eventually approved.
What this suggests is that making gypsum an ‘essential’ raw material in Europe requires engagement with the general public as much as legislators. Some people may not like having a wind farm built near where they live but the chances are that there will be less opposition than building a new coal mine. Digging up new gypsum deposits should be presented as more like the former than the latter. Whizzing around in a new EV is generally seen as being more fun than bragging about how great the lamba factor is for one’s house. However, this may change if energy prices keep ticking upwards. Gypsum may not be rare but Eurogypsum and others can make a strong case for it being essential.
China: Saint-Gobain has inaugurated a new 37Mm2/yr gypsum wallboard plant in Yuzhou, Henan province. The site will also produce 150,000t/yr of plaster. The plant will also use over 400,000t/yr of industrial by-products to increase its sustainability. Other initiatives include using renewable electricity, installing solar panels, using electric-powered forklift trucks and recycling all of the plant’s gypsum waste.
France-based Saint-Gobain has been present in China since 1985 and it employs more than 8000 people. The Yuzhou plant is the company’s sixth unit in the country. Construction of the site was supported by a green financing loan, implemented with BNP Paribas.
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
Canada: CertainTeed Canada’s Delta wallboard plant in Vancouver has recycled over 1Mt of gypsum. The unit achieved this breakthrough in collaboration with New West Gypsum Recycling (NWGR). CertainTeed Canada chief executive officer Julie Bonamy Racine, Delta Plant Manager Richard Sebastianelli and NWGR Vice President Richard McCamley all attended a celebration event held at the plant.
Bonamy said, “Surpassing 1Mt of recycled gypsum returned to production is an important milestone, which demonstrates Saint-Gobain and CertainTeed Canada’s commitment to sustainability and minimising our environmental footprint.” She added “Thank you to the provincial government of British Columbia and NWGR for your important partnerships and congratulations to our entire Vancouver team for your hard work to make this accomplishment a reality.”
Etex increases sales and earnings in 2022
17 March 2023Belgium: Etex's sales were Euro3.74bn in 2022, up by 25% year-on-year from 2021 levels. Its building performance division, which includes gypsum wallboard, recorded revenues of Euro2.43m, 65% of the group total. Etex said that the division’s market positions and results 'evolved positively,' and 'demonstrated leadership' in the face of raw materials price rises. The group's recurring earnings before interest, taxation, depreciation and amortisation (REBITDA) totalled Euro645m, up by 13%.
During the year, Etex's Romania-based subsidiary Siniat commissioned its new Euro1m gypsum drying and micronisation plant at its Aghiresu gypsum wallboard plant in Cluj. The market yielded turnover growth of 17% year-on-year for Siniat, to Euro72.5m
Etex recycled 54% more gypsum than in 2018 across its operations, making it 'the most advanced gypsum recycler in Europe,' according to the company. Its absolute CO2 emissions fell by 20% over the same period.
US: Advanced materials producer Xeriant plans to enter trial production of its recycled plastic-based gypsum wallboard alternative, NEXBOARD. Plastic products company TMF Corporation will support production by agglomerating post-industrial plastic waste and densifying it, along with different eco-friendly flame retardants, for use as feedstock.
US: USG says that the Science Based Targets initiative (SBTi) has approved its 2030 emission reduction targets. The subsidiary of Germany-based Knauf said that it was one of just a few companies in the US building-product sector that has signed onto SBTi. The company has agreed to reduce its carbon emissions from manufacturing (Scope 1 and 2) at the WB-2°C (well below 2°C) level, which equates to a 30% reduction in greenhouse gas emissions by 2030. USG has also committed to reducing carbon emissions associated with purchased raw materials and services, transportation and waste generation (Scope 3) by 15% within the same period.
Knauf UK and Ireland haulage contractor switches to gas
13 February 2023UK/Ireland: Knauf UK and Ireland’s haulage contractor Nicholls has switched to using renewably generated liquefied natural gas (LNG) to power its trucks. The transition should reduce Knauf’s Scope 3 emissions generated by transporting its raw materials and products. Knauf’s emissions from deliveries represent roughly 23% of all Scope 3 emissions for the UK business.
Nicholls started trialling LNG powered trucks in 2018 and then built a local refuelling site. It currently uses 29 trucks that run on LNG. The haulage company still uses diesel power vehicles for some routes depending on distance and infrastructure.