NEWS
Czech firm buys Chemours ’ mining business
Draslovka , a multi-family-owned Czech speciality chemicals firm , has agreed to acquire the Mining Solutions business of Chemours for $ 520 million , or 10 x 2020 EBITDA . This came shortly after another agreement to buy Sasol ’ s sodium cyanide business for $ 101.7 million . CEO Pavel Brůžek said that the deals were “ highly synergistic ”. Mining Solutions operates the largest solid sodium cyanide plant in the world in Memphis , Tennessee , and has a market presence in Mexico , Canada and South America . This is Draslovka ’ s first major investment in the US and it will give the firm a presence on three continents . According to Draslovka , the integration of its own technological expertise with Chemours ’ customer support and services “ provides a stable and growing business with solid margins and a roster of strong customer relationships , including a number of the world ’ s top global mining companies ”. The deal should close in Q4 , subject to regulatory approval . Draslovka has been active in hydrogen cyanide ( HCN ) production for over 100 years and specialises in fully synthetic and highly purified liquid HCN . This is used , following downstream processing , in multiple industries , notably mining and agriculture , but also pharmaceuticals , biocides , coatings and others . For Chemours , CEO Mark Newman said that the sale furthers its strategy of focusing on core businesses . In this context , Chemours recently broke ground at a $ 93 million mining facility in Clay County , Florida , to deliver concentrated deposits of titanium and zircon mineral sands used to produce its Ti-Pure brand of TiO 2
. Construction has begun , with projected start-up in Q4 . The Sasol deal also includes plans to invest a further $ 50 million to modernise and expand the site at Sasolburg and bring it up to Draslovska ’ s environmental standards . It should close in 1H 2022 . Navuka Investment Holdings , a black women-owned company with existing investments in mining , will take a 25 % plus one share stake . Draslovka has existing production and services facilities in the Czech Republic , Australia , New Zealand and India , plus Stellenbosch-based Draslovka Services South Africa , which was formerly known as Agri-Soil . This was its first major investment in manufacturing in Africa and Bruzek said that it “ represents the first step on our global ambitions to take Draslovka to the next level ”. Sasol described the sale as part of its “ ongoing , strategy-aligned , asset divestment programme ”. The company will continue to supply Draslovka with key feedstocks , utilities and site services on an “ arm ’ s length basis ”. It added that it intends to “ explore the potential for business development opportunities by Draslovka , which could result in further synergies at the site ”.
PFAS claims settled
Following two years of sampling , forensic analysis and corporate record review by the Delaware Department of Justice , DuPont and two former affiliates , Chemours and Corteva , have reached a settlement with the state . Under this , they are held responsible for decades of damage done to Delaware ’ s environment by per- and polyfluoroalkyl substances ( PFAS ). The agreement has avoided a potential lawsuit for historic contamination by PFAS in Delaware , which remains DuPont ’ s headquarters . PFAS had impacted waterways and groundwater in each of the state ’ s three counties . Based on a cost-sharing agreement , Chemours will pay $ 25 million immediately , while the others will pay $ 12.5 million each . They will also pay up to $ 25 million if they settle similar claims with other states for more than $ 50 million . This appears highly probable , given that one analyst has estimated total PFAS legal liability for all three firms at $ 5.2 billion in litigation and $ 1.3 billion in clean-up costs , and that DuPont and Chemours reached a separate settlement for $ 670 million in West Virginia in 2017 . PFASs are used in applications , including non-stick and waterproof coatings , lubricants and foams for tackling fires . Over many decades , they have been discharged into multiple waterways in the US , which has no federal and few state limits . They have been disputedly linked to health problems like cancers of many types , organ failures and hormone disruptions .
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