Cabot planning to invest US$90 million in Louisiana factory
Cabot Corporation is planning to invest US $90 million in upgrading its Ville Platte, Louisiana carbon black factory. According to various US news sources, the project will capture waste energy to create steam from an incineration process, remove impurities and generate electricity to power site operations. Cabot is expected to create 15 new jobs in addition to the existing workforce of 90 at the site as a result of the investment.
Louisiana Economic Development began discussing the project with Cabot in June 2018. To secure the project, the state offered the company an incentive package that includes a $1 million performance-based grant, which will offset infrastructure costs, and a $500,000 Modernization Tax Credit, which will be provided in five annual instalments. In addition, Cabot is expected to utilize the state’s Quality Jobs and Industrial Tax Exemption programs.
Construction of the project is expected to begin by the second quarter of 2021 and be completed in 2022.
Emissions reduction upgrade
News of the latest investment plans on 11 July follows Cabot Corporation’s completion of an emissions improvement upgrade at its Franklin, Louisiana location at the end of June. In this instance Cabot, purportedly the first carbon black producer to collaborate with the US Environmental Protection Agency (EPA) in connection with the EPA’s national enforcement initiative to control air emissions from carbon black manufacturing facilities, completed 90 per cent of the estimated person-hours required and remains on track to finish ahead of the industry’s April 2021 EPA deadline.
“We are proud of our continued leadership in cleaner air emissions across the world and the significant investment we are making in Louisiana, and even more so that we have been able to continue to progress despite the challenges caused by Hurricane Barry and COVID-19,” explained Bart Kalkstein, President, Reinforcement Materials Segment, and President, Americas Region. “Our deep experience deploying best-in-class pollution control technologies at sites all across our global network gives us a clear understanding of the technical, operational and patent landscape. We are leveraging this experience to assure successful implementation of proven technologies in Louisiana, unhindered by operational or intellectual property concerns.”
At the Franklin plant, Cabot will reduce NOX emissions by 90 per cent through the use of selective catalytic control and SO2 emissions by 95 per cent using wet gas scrubbing. Applying its best practices of these technologies, these systems are set to reduce the annual emissions of NOX and SO2 by nearly 900 and 6,500 tons per year, respectively, at the Franklin plant.
Cabot Corporation publishes 2019 Sustainability Report
The recent efforts form part of Cabot’s ongoing 2025 sustainability goals, targets that were published in the company’s 2019 Sustainability Report at the end of June. The report highlights accomplishments and progress made throughout 2019 and details Cabot’s 2025 Sustainability Goals.
Cabot’s 2025 Sustainability Goals are focused in three key areas: Caring for our People and Communities; Acting Responsibly for the Planet (which builds upon our previously established goals for greenhouse gases, SO2 and NOX emissions – such as in Louisiana); and Building a Better Future Together.
“As a leading global player in the chemical industry, we understand that we have an obligation to lead by example in our industry,” added Sean Keohane, president and CEO. “Part of that obligation includes setting ambitious goals to inspire our teams to advance our sustainability performance. I am immensely proud of the work our team has accomplished to date and look forward to continuing to collaborate across our global network to push ourselves and our industry to innovate for a more sustainable future.”
Cabot declares dividend
On Friday 10 July 10 2020, the board of directors of Cabot Corporation declared a quarterly dividend of $0.35 per share on all outstanding shares of the Corporation’s common stock. The dividend is payable on 11 September 2020, to stockholders of record at the close of business on 28 August 2020.
Separate to the US announcements, while most of Europe was on lockdown, Cabot Corporation announced that it completed its previously announced acquisition of Shenzhen Sanshun Nano New Materials Co., Ltd (SUSN) for approximately $115 million on 1 April. The business will be integrated into Cabot’s Performance Chemicals Segment. systems are set to reduce the annual emissions of NOX and SO2 by nearly 900 and 6,500 tons per year, respectively, at the Franklin plant.
Separate to the US announcements, while most of Europe was on lockdown, Cabot Corporation announced that it completed its previously announced acquisition of Shenzhen Sanshun Nano New Materials Co., Ltd (SUSN) for approximately $115 million on 1 April. The business will be integrated into Cabot’s Performance Chemicals Segment.