GCMC Raises Stakes in Bear Metallurgical
Gulf Chemical & Metallurgical Corporation Raises Stake
in Bear Metallurgical Company
FREEPORT, TEXAS – Gulf Chemical & Metallurgical Corporation, Inc., the world’s largest recycler of spent catalysts from the oil refining industry, has increased its stake in Bear Metallurgical Company (BMC) of Butler, Pa., from 49.5% to 100%. The Texas-based operation is a subsidiary of the French mining and metallurgy group, Eramet Comilog.
With an eye on growth and expansion in a time of increased oil refining and catalyst production in North America and a surge in world steel consumption, executives at Gulf Chemical say the time was right to acquire the balance of the business. BMC is one of the industry’s leading producers of ferrovanadium and ferromolybdenum. The ferroalloys are frequently used in the production of high strength steels, popular in the automotive industry for their ultra-light weight.
Gulf Chemical has tapped BMC founder and chief executive officer, Kevin H. Jones, to take over the reins for President and CEO William G. Deering. Following an impressive 40-year career building the Gulf business, Mr. Deering has decided to retire. Jones takes on his new role as incoming President and CEO at Gulf on Jan. 1, 2006.
“It is an honor to carry on the legacy of Bill Deering and to pursue new opportunities for the customers, employees and stakeholders of Gulf Chemical & Bear Metallurgical,” says Jones, who will retain his post as CEO for Bear Metallurgical. “We are bullish for growth and the ongoing success of the company. I will be working in tandem with my colleagues at Gulf and Eramet Comilog to advance our leadership position worldwide and continue to outshine our competition.”
Gulf Chemical started reclaiming metals from spent catalysts in 1946. In the oil refining process, metals such as vanadium and molybdenum can be reclaimed and reused. In 1990, Gulf Chemical’s investment in BMC allowed it to diversify in the production of ferroalloys. Under Jones’ leadership, BMC has emerged as a leading supplier of ferrovanadium and ferromolybdenum. The company’s highly reputable products are used in the specialty steel, automotive and foundry industries. High-strength microalloyed steels, such as vanadium-bearing steels, are a material of choice for automakers to construction sites because of their weight reduction, superior fabricability, and cost.
“Eramet Comilog is committed to expanding its position globally in the recycling of vanadium and molybdenum,” says François Bour, Chairman of Gulf Chemical & Metallurgical Corporation. “Our increased ownership position in Bear Metallurgical is a natural progression for our organization. The acquisition is directly aligned to our strategy to be a valued source and trusted resource to industry. By expanding our role globally as a quality recycler and producer of ferroalloys, we are bringing a comprehensive range of products and services to the marketplace.” Eramet is a global leader in the production of nonferrous metals and their chemical derivatives, high performance special steels, nickel alloys, manganese alloys, superalloys and high performance parts for industry.
Bear Metallurgical Company is one of the industry’s top providers of high quality ferroalloys and toll processing services. More than 35 workers are employed at its 100,000-square-foot production facility in Butler, Pa., outside of Pittsburgh. Over the last 15 years, the company has produced more than 60 million pounds of ferrovanadium and 40 million pounds of ferromolybdenum.
For the team at BMC, it’s business as usual. “We will continue to serve our customers with the quality of service they are accustomed to and bring all of our resources to bear to present custom solutions for their unique needs,” says Jones. “Our ironclad commitment to tolling conversion has the full backing of a world-leading metals and mining operation. We’ll bring these pillars of strength to everything we do while maintaining our rigorous quality controls and high standards of excellence.”
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