Cabot Corporation breaks ground on new fumed silica facility in China_Cabot to increase fumed silica production through investment to meet market demand in China_by chemwinfo

7 June 2017

ABOUT CABOT CORPORATION

DETAILS

Cabot Corporation 

and joint venture partner

Inner Mongolia Hengyecheng Silicone Co., Ltd (HYC)

broke ground today on

their new fumed silica manufacturing facility

in Wuhai, China.

The project, announced in September 2016,

is scheduled to be completed in 2019,

and will further Cabot’s position

as a leading producer of fumed silica.

Cabot and HYC are investing approximately $60 million 

to build a world-class fumed silica manufacturing facility,

with Cabot owning an 80 percent equity interest.

In this mutually beneficial relationship,

Cabot brings

* advanced fumed silica production technology

  and a strong leadership position in the rapidly growing region

* while HYC provides a long-term reliable source of feedstock.

CAB-O-SIL® fumed silica is a key ingredient

in a variety of applications, including

silicone elastomers, composites, 

adhesives, coatings, energy storage 

and consumer goods.

Cabot’s fumed silica production technology

ensures a high-performing and consistent

fumed silica product that helps customers

advance solutions in growth markets

such as automotive, construction and renewable energy.

The new facility will have

a manufacturing capacity of 8,000 metric tons

of fumed silica per year.

Cabot’s latest technological advances will be incorporated

in the plant design and operations.

These technologies will enhance

Cabot’s leadership position in the industry,

while promoting an industry standard

in energy efficiency and recycling of by-product streams.

Cabot has operated in China for nearly 30 years,

and currently operates manufacturing sites

in Shanghai, Xingtai, Jiangxi and Tianjin.

Sean Keohane

President and Chief Executive Officer, Cabot Corporation

“Today is a momentous day for all of us

  as we break ground on this important expansion

  that will allow us to grow our manufacturing capabilities

  to meet the growing needs of our customers,”

“We would like to thank our partners HYC

 and the Wuhai Municipality for their support,

 and we look forward to becoming

 a part of this community and contributing to it.”

“This investment is an important milestone

 in our corporate strategy to extend our leadership

 in performance materials

 by investing for growth in our core businesses,”

 “We are proud of our industry and technology leadership

  in China, and this project further demonstrates

  our long-term commitment to this important core market.”

Nick Cross,

Executive Vice President and President,

Performance Chemicals segment

“Our new facility will allow us to better serve our customers

 in parts of China where we expect

 to see significant growth and development in the coming years.

 At the same time, it will enable us to strengthen

 our overall production capacity

 to keep pace with growing global demand,”  

“Furthermore, we are committed to consistently

 delivering the highest quality products and customer service

 while practicing and promoting Responsible Care.

 We have been a dedicated leader, promoter

 and practitioner of Responsible Care in China,

 and our new world-class fumed silica production site

 in will serve as an example of sustainable development in Wuhai.”

Wang Yongquan,

Chairman of Zhejiang Zhongcheng Holding Group Co., Ltd,

parent company of HYC 

“We are very glad to establish this partnership with Cabot.

 We will provide all-around support

 for the construction and operation of the new plant,”

“HYC will work closely with Cabot to produce

 high quality silicone downstream products,

 in order to meet the growing demands of the Chinese market.”

READ MORE

Source: Cabot Corporation

Cabot Corporation

Vanessa Craigie,

617-342-6015

Corporate Communications

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