March
2, 2010 - Officials from DuPont Co.'s Belle plant said Tuesday that they have
lifted a "voluntary safety stand-down" instituted in January after a series of
accidents, including a phosgene leak that killed a longtime DuPont worker. In a prepared statement, DuPont spokesman Roger
Hess said the company has restarted most of the units that were not involved in any of
those incidents. "We are monitoring each
unit closely to ensure continued safe operation," Hess said in the statement.
"We will continue with the staged resumption of operations as we determine that we
can do so safely." Various federal
agencies, including the U.S. Chemical Safety Board, have launched investigations at the
Belle plant following a series of accidents that also included a leak of toxic and
flammable methyl chloride that went undetected by plant officials for nearly a week. In the worst of the incidents, on Jan. 23,
32-year-plant veteran Carl "Danny" Fish was sprayed with phosgene, a chemical
building block that was used as a poison gas during World War I. Fish died the following
day. DuPont did not provide a full list of
units that are still not in operation, but did identify one unit that will not restart.
The Belle plant's
sulfuric acid recovery unit -- where a sulfuric acid leak occurred the same day as the
phosgene leak -- was already scheduled to shut down by March 31 under the terms of a
federal environmental enforcement settlement. DuPont
and a partner in the unit, Lucite, agreed to pay a $2 million fine for not upgrading
pollution control equipment when they expanded the unit's production capacity. "In light of the current voluntary pause in
production and the brief timeline to March 31, the SAR unit will not be restarted,"
DuPont said. "We do not anticipate any job losses as a result of these actions. We
expect to place employees assigned to the SAR unit into existing openings at the Belle
plant."
May 29, 2009 - On November 11, 2008,
Mitsubishi Rayon Co., Ltd. announced its intention to purchase Lucite International Group
Limited of the United Kingdom, and to convert the company into a consolidated subsidiary
of Mitsubishi Rayon. We herewith announce that all procedures required for the said
purchase and the inclusion of Lucite International in the Companys scope of
consolidation were completed on May 28, 2009. The acquisition of Lucite
International will make Mitsubishi Rayon into the leading company in the world MMA monomer
market, and it constitutes the first step in expanding the Companys core business,
which is a priority issue under our current medium-term plan for three years to March
2011. Mitsubishi Rayon will become the sole possessor of the worlds current
three main technologies for MMA production, and the Company will be the largest maker of
MMA monomer with a balanced production structure encompassing the United States, Europe,
and East Asia. Thanks to this production system and its superior technology, including the
new ethylene process (Alpha technology) of MMA production, the Company will be well-placed
to satisfy all its customers needs, thereby achieving growth. The assets and
liabilities held by Lucite International will be included on the balance sheet of
Mitsubishi Rayon for the settlement of accounts, on a consolidated basis, as of June 30,
2009, the end of the first quarter of fiscal 2009 (the business year ending March 31,
2010). However, profits and losses recorded by Lucite for the first quarter will be
excluded from the income statements of Mitsubishi Rayon on a consolidated basis.
April 20, 2009 - DuPont and Lucite
International Inc. have agreed to pay a $2 million civil penalty to settle Clean Air Act
violations at a sulfuric acid plant in Belle, West Virgina, the U.S. Environmental
Protection Agency, the U.S. Justice Department, and the state of West Virginia announced
today. The sulfuric acid plant is located on a 100-acre chemical manufacturing
complex along the Kanawha River. The plant is owned by Lucite and operated by
DuPont. The companies will pay $1 million to the United States and $1 million to the
state of West Virginia. Further, the companies chose on their own to shut down the
sulfuric-acid manufacturing unit of a larger chemical facility at the site and the
settlement confirms this agreement. Under the settlement, the sulfuric acid unit is
scheduled to shut down by April 1, 2010. The actions taken as part of this
settlement will reduce emissions of air pollutants by more than 1,000 tons each
year, said Catherine McCabe, acting assistant administrator for the EPAs
Office of Enforcement and Compliance Assurance. Sulfur dioxide emissions can be
harmful to children, the elderly, and people with heart and lung conditions.
This settlement is part of the U.S. governments dedicated effort to bring all
sulfuric acid manufacturers into compliance with the Clean Air Act, said John C.
Cruden, Acting Assistant Attorney General in charge of the Justice Departments
Environmental and Natural Resources Division. In a joint complaint, filed
concurrently with the consent decree, the United States and West Virginia allege that the
companies made modifications to their plant in 1996 without first obtaining
pre-construction permits and installing required pollution control equipment. The Clean
Air Act requires major sources of air pollution to obtain such permits before making
changes that would result in a significant emissions increase of any pollutant. The
Belle sulfuric acid plant burns sulfuric acid sludge, which creates sulfur dioxide (SO2).
Most of the SO2 is converted to sulfuric acid and recovered, but a portion of
the chemical is emitted to the atmosphere. In addition to SO2, the plant also
emits sulfuric acid mist, nitrogen dioxide and carbon monoxide. The settlement is
part of an EPA initiative to improve compliance among industries that have the potential
to cause significant amounts of air pollution, including the cement manufacturing, glass
manufacturing, and acid production industries. The consent decree, lodged today in
the U.S. District Court for the Southern District of West Virginia is subject to a 30-day
public comment period and approval by the federal court.
April 13, 2009 -
Chinas competition authorities are holding up the takeover of UK acrylics maker
Lucite by a Japanese materials group, the Financial
Times reported. Mitsubishi Rayon had agreed to acquire Lucite for US$1.6
billion in November and had expected to complete the deal by January. However, sources
told the paper that Chinas Ministry of Commerce (MofCom) has withheld approval for
the acquisition, making it the only global antitrust regulator to not approve the deal.
While neither Mitsubishi Rayon nor Lucite are based in China, both companies have sales
and manufacturing in in the country, thus requiring MofCom approval for any takeover.
March 30, 2009 - Lucite
International, Inc., part of the Lucite International group of companies, announced that
it will cease manufacturing Methacrylic Acid (MAA) at its facility in Belle, West
Virginia, at the end of the first quarter of 2010. "In
these economic times the operating costs are prohibitive to the point that Lucite
International can no longer justify continuing to manufacture MAA at Belle
profitably," said Robert Connolly, Business Director - Monomers of Lucite
International, Inc. He continued, "As the global Methacrylate leader, we will utilize
our global resources to fulfill all contractual commitments." This announcement does not affect or impact in any
way Lucite International`s Higher Monomers operations at the Belle facility.
November
11, 2008 - The Board of Lucite International Group Limited ("Lucite" or
the "Company"), has announced that the Company is to be acquired by Mitsubishi
Rayon Co., Ltd. ("Mitsubishi Rayon") for a total cash consideration of
approximately $1.6 billion. The acquisition, which is subject to approval by the relevant
regulatory authorities, is expected to be completed by the end of January 2009. Lucite is the world's leading manufacturer of
methyl methacrylate (MMA) and owner of the globally renowned Lucite® and Perspex
brands®. The Company was formed from an amalgamation of the acrylics businesses of ICI
and DuPont in 1993 and has been majority owned by the private equity investor,
Charterhouse Capital Partners LLP, since 1999. Lucite owns the new low cost and
proprietary MMA production route, known as Alpha technology. The Company has invested in
the development of this new technology, which fundamentally changes the economics of MMA
manufacturing, and the first Alpha plant has begun to manufacture MMA in Singapore in the
last few days and will be fully operational by the end of this year. The acquisition will make Mitsubishi Rayon the
global leader in this market and confirms its position as the leading acrylics
manufacturer in the fast growing Asian markets. The acquisition will lift Mitsubishi
Rayons annual sales to approximately „600 billion, putting it well on the way
towards achieving its target of „1 trillion annual sales. In the year ended 31 December
2007, Lucite generated revenues of £849 million and earnings before interest, tax,
depreciation and amortisation (EBITDA) of £114 million.