News Release Details

Two Power Utilities in the Midwest U.S. to Leverage Cabot’s DARCO® Hg Family of Mercury Control Products

BOSTON--(BUSINESS WIRE)--Jan. 26, 2015-- Cabot Corporation (NYSE: CBT) announced that it has been awarded contracts by two U.S. utilities to supply its DARCO® Hg family of activated carbon products to remove mercury from the flue gas of coal-fired power plants in the Midwest. In order to meet stringent federal regulations for mercury emissions in the United States, Cabot expects to provide the utilities with approximately 40 million pounds of activated carbon over the next three years.

The agreements cover multiple Cabot DARCO activated carbon products and have varying terms, with one through 2017. These industry benchmark products have demonstrated to be highly effective in numerous full scale operating facilities, and enable customers to meet stringent mercury emission limits across a variety of fuels and unit configurations.

These agreements will provide a key material to the utilities as they reduce mercury emissions to comply with the U.S. Environmental Protection Agency’s (EPA) Mercury and Air Toxic Standards (MATS) rule. The MATS regulation requires that coal-fired power plants in the U.S. remove approximately 90 percent of mercury from their emissions by April 2015.

Compliance with MATS is expected to boost demand for activated carbon by electric utilities. Based on the demonstrated success of Cabot’s current customer base along with numerous Department of Energy and EPA-sponsored tests and customer trials, Cabot’s DARCO Hg family of products has proven to be highly effective in achieving mercury removal levels compliant with MATS.

“As the MATS regulation implementation approaches, we are ready to meet the demands of the power generating utility market. These two new contracts clearly demonstrate confidence in the quality and reliability of our products to meet the stringent regulations for mercury removal,” said Bart Kalkstein, vice president and general manager, Global Emission Control Solutions, Cabot Purification Solutions. “Over the years, we have demonstrated our leadership in this application and have proven our ability to reliably supply high-quality products.”

Cabot’s DARCO Hg family of products for mercury control has currently been selected for use in over 80 units throughout the United States and Canada. The utilities chose Cabot products based on their proven ability to enable utilities to meet or exceed mercury removal levels compliant with MATS and their respective state regulations. In addition, Cabot is the only activated carbon manufacturer with multiple manufacturing sites dedicated to this market in North America, providing customers with a consistent source of supply and supply chain reliability. Cabot offers a full range of activated carbon services including rental systems, carbon reactivation, bulk delivery and change-out, carbon evaluation, as well as technical service and support to help customers meet their specific purification needs.

In addition to its role as a technology leader in mercury removal from flue gas, Cabot Norit Activated Carbon is recognized as the world’s largest and most experienced producer of activated carbon, which is used to remove pollutants, contaminants and other impurities from water, air, food and beverages, pharmaceutical products and other liquids and gases in an efficient and cost-effective manner. Combined with Cabot’s technical expertise, the DARCO Hg family of products can help customers achieve the lowest total cost of mercury removal.

ABOUT CABOT CORPORATION

Cabot Corporation (NYSE: CBT) is a global specialty chemicals and performance materials company, headquartered in Boston, Massachusetts. The company is a leading provider of rubber and specialty carbons, activated carbon, inkjet colorants, cesium formate drilling fluids, fumed silica and aerogel. For more information on Cabot, please visit the company’s website at: http://www.cabotcorp.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Statements in the press release regarding Cabot's business that are not historical facts are forward looking statements that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward looking statements, see “Risk Factors” in the Company’s Annual Report on Form 10-K.

Source: Cabot Corporation

Cabot Corporation
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