Cabot Completes Fumed Silica Expansion Project In China

Cabot Corporation (NYSE: CBT) and joint venture partner China National Bluestar Group announced the completion of its new fumed silica expansion project at the Spark Industrial Park in Jiangxi Province, China.

The two companies began expansion on the project in September 2010. The expansion solidifies Cabot’s position as one of the world’s largest producers of fumed silica. The Jiangxi site can now produce up to 15,000 metric tons of product annually, with the near term potential to further expand to 20,000 metric tons as demand in Asia grows.

The facility incorporates the industry’s most advanced manufacturing technologies to produce a broad range of highly pure, electronics-grade fumed silica for key growth segments including silicone parts for automotive and industrial applications, composite parts such as windmill blades, automotive panels and boat hulls, and electronics applications such as CMP slurries, solar panel adhesives and electrophoretic toners.

“This site demonstrates the power of collaboration between our companies,” said Patrick Prevost, Cabot president and chief executive officer. “In working closely together, Cabot and Bluestar are finding new ways to create enabling products for our customers through sustainable manufacturing technologies.”

“An important part of Cabot’s strategy is to be close to our customers in growing markets,” said Jeff Zhu, Cabot president, Asia Pacific Region. “Our Jiangxi site is critical to serving our customers in Asia, and our new expanded facility will allow us to grow with them.”

“As we continue to strengthen our global fumed silica business, we appreciate the support provided by the Jiangxi Provincial Government, the Jiujiang Municipal Government, and the Yongxiu County Government as well as our partners that have helped to build this facility,” said Zhu.

Ren Jianxin, founder and president, China National Bluestar Group, and general manager, ChemChina, said, “Our collaboration with Cabot is integral to our ability to optimize resources and create a closed loop system that demonstrates our commitment to resource conservation and environmental protection. Furthermore, the successful completion of the Cabot Bluestar expansion establishes a foundation for our future development in the performance materials and silicone industry, enabling us to increase the production at the Bluestar Silicon Monomer plant and downstream silicones compounding.”

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