The total production of frac sands in the U.S. will exceed 100 million tons this year at an average selling price of over $60 ton creating a $6 billion market. The revenues for CFT suppliers are much higher per ton of product because much of the production is shifting to local manufactured sands. So the big cost is in the processing and not the freight.

This fundamental shift in U.S. frac sand production is away from the Midwest, home to the highest quality Northern White, to lesser-grade sands which are then upgraded (manufactured). As a result, Northern White’s market share is expected to be 43 percent in 2019, down from 75 percent in 2014,

Various granular products require dry or wet processes. Some require both. These involve some combination of pneumatic or mechanical conveyors, pumps, valves, scrubbers, fabric filters, precipitators, filter presses, centrifuges, dryers, classifiers, fans, controls, and instrumentation.

In 2017, 890 million tons of construction sand and gravel valued at more than $7.7 billion was produced by an estimated 3,600 companies operating 9400 pits and 360 sales/distribution yards in 50 States. Leading producing States were, in order of decreasing tonnage, California, Texas, Minnesota, Michigan, Arizona, Colorado, Washington, Ohio, Wisconsin, and New York, which together accounted for about 52 percent of total output. It is estimated that about 44 percent of construction sand and gravel was used as concrete aggregates; 25 percent for road base and coverings and road stabilization; 13 percent as asphaltic concrete aggregates and other bituminous mixtures; 12 percent as construction fill; 1 percent each for concrete products, such as blocks, bricks, and pipes; plaster and gunite sands; and snow and ice control; and the remaining 3 percent for filtration, golf courses, railroad ballast, roofing granules, and other miscellaneous uses.

Crushed stone, the other major construction aggregate, is often substituted for natural sand and gravel, especially in more densely populated areas of the Eastern United States. Crushed stone remains the dominant choice for construction aggregate use. Increasingly, recycled asphalt and Portland cement concretes are being substituted for virgin aggregate, although the percentage of total aggregate supplied by recycled materials remained very small in 2017. 

Dredging may or may not involve more than just controls, pumps and valves. In many cases sediment is contaminated and must be cleaned with filters and separators. In the U.S. the amount of dredged material is around 200 million m³ or 400 million tons.

The McIlvaine Company provides specific forecasts for the CFT components in granular processing in the following publications:

N007 Thermal Catalytic World Air Pollution Markets

N008 Scrubber/Adsorber/Biofilter World Markets

N018 Electrostatic Precipitator World Market

N021 World Fabric Filter and Element Market

N031 Industrial IOT and Remote O&M

N028 Industrial Valves: World Market

N024 Cartridge Filters: World Market

N020 RO, UF, MF World Market

N019 Pumps World Market

N006 Liquid Filtration and Media World Markets

N005 Sedimentation and Centrifugation World Markets

The forecasts for shale fracturing and specific projects are provided in N049 Oil, Gas, Shale and Refining Markets and Projects.

For more information contact Bob McIlvaine at rmcilvaine@mcilvainecompany.com.

Flow and Treat Acquisition Choices Shaped by Most Profitable Market Program

A new program available from Mcilvaine Company will help acquirers make the best choices and then maximize the value of these acquisitions.

There are continuing acquisitions of flow and treat suppliers. Some acquirers such as the Filtration Group and IDEX have grown and prospered as a result of their acquisitions. Others such as GE have not. Picking the right candidates is the first and most important step. Proper integration is equally important. It is difficult to leverage the benefits available from the acquiring company with the independence needed to succeed.

Some companies such as Emerson have been focused on flow but not treat. They have acquired valve and automation companies but avoided the product and chemical companies. Danaher has acquired companies across the spectrum including Hach for flow measurement, Chemtreat for treatment chemicals, and Pall for filtration.

Treat system companies are not constrained by manufacturing capability. Filters and scrubbers are typically constructed of ¼-in. plate and can be sub contracted. Valve and pump companies have moved away from owning their own foundries but provide other fabrication capabilities in their own facilities. Therefore the location of manufacturing facilities becomes a factor in decision making.

Anticipation of future trends is one of the more difficult determinations. Few people anticipated the steep drop in oil prices in the past or the massive new planned investments by Chevron and Exxon Mobil in U.S. shale. The single use biopharmaceutical system market for T-cell transfer immunotherapy has grown more rapidly than had been commonly anticipated.

Some future trends are negative. A company with a specific flue gas conditioning agent to make precipitators work better was making huge profits at the time it was acquired. Within a year the precipitator companies introduced a mechanical solution completely eliminating the demand for the chemical. Thorough understanding of the industries, processes, and products is advantageous in anticipating future trends.

The flow and treat industry has not been nearly as innovative as some other industries such as semiconductors or pharmaceuticals. It can be argued that there is not the same potential. On the other hand a few individuals completely changed the world economy by developing commercial horizontal hydraulic fracturing. Fifty years ago the conversion of flue gas and liquids to a toothpaste type foam was achieved. The mass transfer from gas to liquid is 1000 times greater than with packed towers. However, the subsequent separation of the liquid and gas was not fully perfected and the pursuit quickly canceled. There was a short period in the 19666-1974 period where R&D budgets were almost unlimited as U.S. power companies tried to perfect flue gas desulfurization. However the industry was soon content with a solution even if it was not ideal. Less R&D money has been spent on FGD in the four decades subsequently than was spent in the first eight years of the program.

Clearly the horizontal fracturing development has had a huge return on investment. How do the flow and treat companies find these highly profitable opportunities? One is answer is a new program from McIlvaine:

The McIlvaine Most Profitable Market Program provides acquirers with:

·         A valuable tool to select acquisition candidates

·         A program to integrate the new acquisition painlessly

·         A growth platform for both organic and acquired companies

A valuable tool to select acquisition candidates

The Most Profitable Market (MPM) Program provides forecasts of the gross margins and EBITA which can be achieved with each product in each industry and in each location. This is based on present and future lower total cost of ownership. This lower cost can be leveraged to increase margins. Estimates of future EBITA using this approach are superior to estimates based on historical performance.

A new product such as automation can lower the cost of ownership for the product being automated. A purchase to match a pump product with the accompanying valves provides a package approach which will likely result in lower costs for the customer. The program eliminates silos between industries, technologies and products and helps identify profitable R&D investments.

A program to integrate the new acquisition painlessly

MPM forecasts the specific purchase opportunity at each major prospect. This provides a foundation for bottoms-up collaboration. The newly acquired company local sales representatives can share information with peers in other divisions and pursue each opportunity. This collaboration potential can also be an acquisition criteria. A candidate whose products are well received by important prospects is attractive.

A growth platform for both organic and acquired companies

The MPM program is based on understanding processes and technologies and developing new and better products. The resulting higher margin opportunities create funding for increased R&D and further innovation. With shared process and technology knowledge the acquired company can improve its products and increase EBITA faster.

More information on the Most Profitable Market Program is found at www.mcilvainecompany.com.

IRON AND STEEL

Meros Off-Gas Cleaning Systems Started Up at Kardemir

In December 2018, a Meros off-gas cleaning plant supplied by Primetals Technologies was started up at sinter plant No. 3 of Turkish steel producer Karabük Demir Celik Sanayi ve Ticaret A.S. (Kardemir), followed by the Meros plants supplied for Kardemir´s sinter plants No. 1 early February and No. 2 in in early March. Each Meros plant is able to treat 400,000 Nm³/h of sinter off-gas, reducing SO_x by more than 90 percent as well as delivering extremely low dust emissions. All the three Meros plants are using sodium bicarbonate as desulphurization agent. The projects were realized within a very short time span. For example, only ten and half months were required from the technical specification of the Meros plant installed at sinter plant No. 3 until startup. With the new Meros plants, air quality in the valley of Karabük is improved considerably.

Kardemir operates an integrated iron and steel works in Karabük, in the northern part of Turkey. The production site is located in a narrow valley, close to the city of Safranbolu. Three sinter plants are operated by Kardemir. Kardemir´s Meros plants represent the fourth implementation of sodium bicarbonate desulphurization, following voestalpine Stahl in Austria, Masteel in China and JFE in Japan.  Primetals Technologies was responsible for the engineering, supply of key equipment like sodium bicarbonate dosing and milling, filter heads, bags, cages, electrics and automation as well as for advisory services for cold and hot commissioning.

In general, Meros process involves several modules for injecting and finely distributing adsorption and desulfurizing agents, such as activated carbon and sodium bicarbonate, into the off-gas flow. This efficiently binds and removes heavy metals, harmful and hazardous organic components, as well as sulfur dioxide and other acidic gases. The use of sodium bicarbonate to reduce the amount of sulfur dioxide also eliminates the need for a conditioning reactor. The dust particles are deposited in a specially developed, energy-efficient bag filter and is recycled back into the flow of off-gas to further optimize the efficiency and cost-effectiveness of the gas purification process. Any remaining unutilized additives are then once more in contact with the off-gas, so that they are finally almost completely utilized. There is also considerably less discharged residue when sodium bicarbonate is used instead of slaked lime. The process automation system ensures stable operation, even when there are considerable fluctuations in the volume and composition of the off-gas. Emission limits can therefore be observed at all times. Thanks to the modular design of the Meros system, a tailor-made solution based on the environmental restriction can be provided, with possible upgrades of the system by subsequent installation of required modules. 

Primetals Technologies to Supply EAF Quantum Electric Arc Furnace and Ladle Furnace to Wuzhou Yongda

Primetals Technologies has received an order from Chinese steelmaker Wuzhou Yongda Special Steel Co., Ltd. (Wuzhou Yongda) to supply an EAF Quantum electric arc furnace and a ladle furnace for a greenfield project in Wuzhou city, in Guangxi Zhuang Autonomous Region. This marks the tenth EAF Quantum for China. The EAF Quantum furnace is designed to handle scrap steel of very varied composition and quality. The electrical energy requirement of the electric arc furnace is extremely low because the scrap is preheated. This reduces both the operating costs and the CO2 emissions. The twin ladle furnace sets the desired steel grades and the correct casting temperature. The new furnaces are scheduled to be commissioned in early 2020.

Wuzhou Yongda is a privately-owned steelmaker operating in the Guangxi Zhuang Autonomous Region in Southern China. The company produces steel rods, coiled rebar and coiled wire. The EAF Quantum and the twin ladle furnace are part of a greenfield project for the production of stainless steels. For the new EAF Quantum electric arc furnace and the twin ladle furnace, Primetals Technologies will supply the complete mechanical and electrical process equipment and the automation technology. This includes the automated scrap yard management, the automated charging process, automation of the oxygen injection and sand refilling, as well as the Level 2 automation which makes the plant ready for Industry 4.0. A basic data package for dedusting equipment is also part of the order.

The EAF Quantum developed by Primetals Technologies combines proven elements of shaft furnace technology with an innovative scrap charging process, an efficient preheating system, a new tilting concept for the lower shell, and an optimized tapping system. This all adds up to very short melting cycles. The electricity consumption is considerably lower than that of a conventional electric arc furnace. Together with the lower consumption of electrodes and oxygen, this gives an overall advantage in the specific conversion cost of around 20 percent. In comparison to conventional electric arc furnaces, total CO2 emissions can also be reduced by up to 30 percent per metric ton of crude steel. An integrated dedusting system with modern automatic off gas control fulfills all environmental requirements.

COMPANY NEWS

Babcock and Wilcox Segment Increased Revenues by 18.5 Percent

Babcock & Wilcox Enterprises, Inc. announced 1^st quarter 2019 revenues of $231.9 million, a decrease of $21.2 million, or 8.4 percent, compared to the 1^st quarter of 2018. The decrease was primarily the result of several EPC contracts being in the final stages of completion in the 1^st quarter of 2019. GAAP net loss from continuing operations in first quarter 2019 improved to $49.9 million compared to $116.8 million in 1^st quarter 2018. Adjusted EBITDA also improved by $72.7 million to negative $5.0 million compared to negative $77.6 million in the prior year period.

"Our performance in the 1^st quarter of 2019 reflects the impact of the strategic actions we have taken over the past several months. Combined with the settlements we reached in March 2019 and our additional financing, we have momentum on our path to profitability," said Kenneth Young, Chief Executive Officer. "Our Babcock & Wilcox segment continues to perform well, and our change in strategy for the SPIG segment is beginning to drive results. As 2019 progresses, we expect the core strengths of our businesses to continue to become more visible to our customers and shareholders. We are also making progress on our cost-savings initiatives, and looking forward, we continue to target a run-rate adjusted EBITDA of approximately $100 million as we exit 2020, not including corporate overhead."

Babcock & Wilcox segment revenues increased 18.5 percent to $188.6 million in the 1^st quarter of 2019 compared to $159.1 million in the prior-year period, mainly driven by large construction new build and industrial projects, partially offset by a decrease in parts sales. Gross profit in the Babcock & Wilcox segment in 1^st quarter 2019 was $31.1 million, compared to $30.9 million in the prior-year period, reflecting the increase in lower-margin construction revenue as a percentage of total revenue including construction services at no margin for the SPIG segment on its single loss project in the U.S. Gross profit margin was 16.5 percent, compared to 19.4 percent in the same period last year. Adjusted EBITDA in 1^st quarter 2019 increased 115 percent to $9.0 million, compared to $4.2 million in last year's quarter; this increase is mainly attributable to the impact of cost-savings initiatives partially offset by an approximately $2.3 million increase in the level of corporate overhead being absorbed by the segment compared to the prior-year quarter. Adjusted EBITDA margin was 4.8 percent compared to 2.6 percent in the same period last year.

SPIG segment revenues decreased 21.3 percent to $28.9 million in 1^st quarter 2019 compared to $36.7 million in 1^st quarter 2018, mainly due to lower volume of new build cooling system projects as expected following the change in strategy to improve profitability by more selectively bidding and focusing on core geographies and products, and a lower volume of aftermarket services. Gross profit improved to a positive $3.7 million in 1^st quarter 2019, compared to a gross profit of negative $2.8 million in the prior-year period. This improvement was primarily due to the effects of the new strategy and to continued progress made on the small number of remaining legacy new build cooling systems contracts in the quarter without significant increases in estimated costs, compared to the 1^st quarter of 2018 when higher estimated costs to complete were incurred. Adjusted EBITDA improved by $8.0 million to positive $0.7 million compared to negative $7.3 million in the same period last year, driven by the improvement in gross profit and the benefits of cost-savings initiatives.

CECO Has Twenty-Seven Percent Growth Year-Over-Year

CECO Environmental Corp. reported its financial results for the 1^st quarter 2019.

Revenue in the 1^st quarter of 2019 was $86.0 million, up 16.0 percent from $74. Million in the prior-year period. Excluding revenue of $6.5 million attributable to the businesses divested in 2018, organic revenues increased 27.2 percent.

Operating Income was $4.9 million for the 1^st quarter of 2019, compared with $12.2 million in the prior-year period. Non-GAAP operating income was $7.2 million for the first quarter of 2019 (8.4 percent margin), compared with $4.0 million in the prior-year period (5.4 percent margin).

Net income was $1.9 million for the 1^st quarter of 2019, compared with $5.8 million in the prior-year period. Net income on a non-GAAP basis was $4.1 million for the 1^st quarter of 2019, compared with $1.7 million in the prior-year period.

Net income per diluted share was $0.05 for the 1^st quarter of 2019, compared with $0.17 in the prior-year period. Non-GAAP net income per diluted share was $0.12 for the 1^st quarter of 2019, compared with $0.05 for the prior-year period.

Cash and cash equivalents were $28.2 million and bank debt was $76.1 million as of March 31, 2019, compared with $43.7 million and $76.1 million, respectively, as of December 31, 2018.

Total backlog at March 31, 2019 was $193.8 million as compared with $182.1 million as of both December 31, 2018 and March 31, 2018, respectively. In the first quarter of 2018, $8.8 million of backlog was attributable to the divested businesses. Adjusted for divestitures, backlog increased $20.5 million from 1^st quarter 2018 to first quarter 2019.

Bookings were $97.3 million for the 1^st quarter of 2019, compared with $95.0 million in the prior-year period and $74.5 million in the 4^th quarter of 2018. Excluding bookings of $4.7 million attributable to the businesses divested in 2018, 2019 organic bookings increased $7.0 million, or 7.7 percent.

CECO's Chief Executive Officer Dennis Sadlowski commented, "I am very pleased that the significant momentum we built throughout 2018 has carried over to the 1^st quarter of this year. We generated revenue of $86 million which was an impressive 27 percent growth year-over-year on the strength of our increasing backlog and the continued focus on new orders. We also saw gross margins improve sequentially as the markets increasingly recognize the value that CECO offers."

Mr. Sadlowski added, "Driven by the need for clean air and carbon reduction, the long-term prospects for CECO Environmental continue to improve.  Our fast start out of the gate in 2019 is another step towards meeting our aggressive three-year financial targets.  Strong orders of $97 million, up 30 percent sequentially and 8 percent year-over-year, along with an improving sales pipeline, gives us strong optimism for sustained growth in 2019 as we continue to capitalize on our significant competitive position and win market share."

Parker’s EPS Reached an All Time Quarterly Record

Parker Hannifin Corp. a global leader in motion and control technologies, reported results for the fiscal 2019 3^rd quarter ended March 31, 2019. Fiscal 2019 3^rd quarter sales were $3.69 billion compared with $3.75 billion in the prior year quarter. Organic growth of 2 percent was more than offset by currency translation and a divestiture in fiscal year 2018. Net income increased 12 percent to an all-time quarterly record of $411.2 million compared with $366.0 million in the third quarter of fiscal 2018. Fiscal 2019 3^rd quarter earnings per share increased 16 percent to $3.14, compared with $2.70 in the prior year quarter. Adjusted earnings per share were $3.17, compared with adjusted earnings per share of $2.80 in the prior year quarter. Cash flow from operations for the first nine months of fiscal 2019 was $1,092.6 million or 10.3 percent of sales, compared with $901.2 million or 8.6 percent of sales in the prior year period. Excluding a discretionary pension contribution in fiscal 2019, cash flow from operations for the first nine months of fiscal 2019 was 12.1 percent of sales. A reconciliation of non-GAAP measures is included in the financial tables of this press release.

“We delivered strong operational performance in the 3^rd quarter, achieving all-time quarterly records for total segment operating margin and earnings, and strong year-to-date cash flow from operations,” said Chairman and Chief Executive Officer, Tom Williams. “We eclipsed total segment operating margin of 17 percent for the first time in a quarter. I am especially pleased that our Aerospace business achieved an all-time record for segment operating margin of 20.7 percent. While order entry has moderated for the Diversified Industrial Segment against strong comparisons in the prior year quarter, we are confident in our ability to continue executing well and reaching another record year in fiscal 2019.”

Diversified Industrial Segment: North American third quarter sales decreased 1 percent to $1.8 billion, and operating income increased 2 percent to $287.5 million compared with $280.7 million in the same period a year ago. International 3^rd quarter sales decreased 8 percent to $1.3 billion, impacted primarily by unfavorable currency translation, while operating income increased 2 percent to $208.7 million compared with $205.3 million in the same period a year ago.

For the fiscal year ending June 30, 2019, the company has maintained guidance for earnings from continuing operations in the range of $11.17 to $11.47 per share, or $11.45 to $11.75 per share on an adjusted basis. Fiscal year 2019 guidance is adjusted on a pre-tax basis for expected business realignment expenses of approximately $16 million and CLARCOR costs to achieve of approximately $14 million and an income tax expense adjustment of $14 million related to U.S. Tax Reform. Guidance assumes organic sales growth in the range of 2.0% to 3.0 percent. A reconciliation of forecasted earnings per share to adjusted forecasted earnings per share is included in the financial tables of this press release.

Nordic Air Filtration is Expanding Business in China

Nordic Air Filtration’s sales in China have tripled in recent years, driven by the innovative products that help their customers to comply with strict emission standards within automotive and industrial markets.

The good results in China give them the strength to continue growing their site in Kunshan by approximately 15,000 m² of production and storage space.

Nordic Air Filtration is proud to be one of the contributors for improving the air quality and reduce the environmental pollution in one of the world’s largest countries.

Colfax Selling Howden Through an Auction Process

Colfax Corp is pressing ahead with plans to sell its air and gas handling unit Howden as part of a shift to focus on the medical devices industry and has hired Goldman Sachs to handle the process.

An auction process for the 165-year old Scottish company, which makes heat exchangers and gas compressors largely for oil and gas companies, is expected to kick off shortly. 

Colfax is hoping to receive about 1.5 billion pounds ($1.9 billion) from the sale of the business, which employs more than 5,000 people globally and has operations in 16 countries including Mexico and Canada. It employs 350 people at its main UK site in Renfrew, near Glasgow.

Howden, founded in 1854 and bought by Colfax in 2012, makes core earnings of more than 150 million pounds, two of the sources said, adding the business would mainly appeal to private equity funds due to lackluster interest amid industry buyers.

Goldman, was expected to send confidential information to potential bidders in February 2019.

PRODUCT NEWS

New Gold Series X-Flo System Protects Operators from Toxic Plasma Cutting Fumes and Smoke

Camfil APC has introduced the Gold Series X-Flo (GSX), a powerful and cost-efficient system for collecting and containing the fumes generated by plasma cutting tables. The system is used in conjunction with a downdraft table to capture fumes at their source, reducing operator exposure to  toxic fumes and helping shops meet OSHA permissible exposure limits (PELs).

GSX systems effectively process fumes while maintaining a low pressure drop. They are designed to pulse-clean more effectively to extend filter life, while minimizing compressed air usage and energy costs. The units are built modularly, providing maximum airflow and processing power for any given footprint. GSX systems can achieve efficiencies as high as MERV 15 using filter cartridges with HemiPleat^® eXtreme nanofiber media.

The GSX exceeds OSHA mandates for indoor air quality and is tested to meet NFPA and ATEX standards.

Parker Hannifin Announces a New Website for the DustHog, SmogHog, and Kleentek Products

The Industrial Gas Filtration and Generation Division of Parker Hannifin Corp. announced the launch of a new, mobile-friendly website featuring the DustHog^®, SmogHog^®, Kleentek^®, and other industrial filtration clean air solutions and equipment. 

This microsite offers many customer resources: an interactive equipment map, resource library with the latest product information, product registration, an area sales representative locator, and more. Customers can expect more content to be added, including videos and training information. As with all Parker websites, the content is available through any screen the customer chooses to use.

Donaldson Introduces Cloud-based Dust, Fume and Mist Collection Monitoring

Donaldson has unveiled a Web-connected solution that monitors industrial dust, fume and mist collectors and alerts users about needed maintenance. The solution uses sensors and a controller to gather data from a collector, run analytics in the cloud, and push results to the user via dashboard, email or text. It can be installed on existing or new industrial dust and fume equipment. Pilot tests demonstrated significant savings in time and costs, the company reported. The solution was launched with an early-adopter program announced in November.

Sternvent Vibraclean Collectors Chosen for Their Quietnes 

The quietness of the Sternvent Vibraclean series filter shaker dust collectors have made them a choice of HVAC specifying engineers for soil testing labs for road construction, dental and prosthetic labs, fire extinguishing filling, and silo venting for water treatment plant pneumatic conveying systems. The Vibraclean design, which includes multi-pocket filter modules, maintained filter spacing, an effective automatic motorized shaker for filter cleaning, and an energy-efficient backward inclined fan, have made it an attractive alternative to jet pulse cartridge-style dust collectors, for non-production processes, when compressed air is not available or practical in cold climates.

Automation Products Provides Level Detection for Baghouses

Epcon provided the comprehensive air pollution control system for a large-scale hazardous waste disposal facility  for the petrochemical industry. The system was designed to handle various aspects of dust, particulate matter and volatile organic compounds (VOCs) from the entire facility. Extensive ductwork and piping network bring the polluted air to the dust collector, the first piece of equipment to remove the particulate matter from the dust collector, the exhaust gases pass through the thermal oxidizer to remove the VOC emissions. As the emissions contain chlorinated or fluorinated hydrocarbons, the exhaust is then further processed through a quench and scrubber to ensure the air is 99.99 percent clean and particulate free before it goes into the atmosphere. A combination of dust collector and oxidizers are used in industrial applications such as coffee roasting, grain storage systems, steel and aluminum reclamation, rendering plants and various chemical manufacturing application.

Automation Products Inc, offers a Dynatrol DJ level switch designed for application to either high or low point level detection of bulk solids. It operates successfully on applications such as baghouses, cyclone separators, and above airlocks. It maintains consistent results on chemical powders, minerals, and many other granulated materials. Constructed for a long operating life the DJ level detector requires no adjustments and has no moving parts. There are no gaskets or seals to deteriorate. It withstands dusty environments and works well in vessels equipped with vibrators. It is virtually wear-free. Many Dynatrol level switches have been in service for over 25 years. Installation is simple. The level switch mounts through a ¾-in. half-coupling at the point of desired level detection. 

ENFORCEMENT ACTIONS

Consent Decree Requires United Taconite to Replace Scrubber with Baghouse

On April 18, 2019, the Dept. of Justice lodged a proposed Consent Decree with the United States District Court for the District of Minnesota in the lawsuit entitled United States v. United Taconite LLC.

The United States filed a Complaint in this lawsuit under the Clean Air Act (CAA), naming United Taconite LLC as the defendant. The Complaint seeks injunctive relief and civil penalties for violations of the environmental regulations that govern taconite mines and processing plants and the emission of particulate matter from certain sources at defendant’s taconite processing plant in Forbes, St. Louis County, MN. Under the proposed Consent Decree, United Taconite agrees to implement procedures to improve future compliance with the CAA and State regulations, and pay $50,000 in civil penalties. Under the proposed Consent Decree, United Taconite also agrees to replace an existing wet scrubber at its processing plant with a more efficient dry fabric filter particulate matter control system at an estimated cost of over $480,000. In return, the United States agrees not to sue the defendant under Section 113 of the CAA for additional relief related to its past violations.

Back to Fabric Filter Newsletter No. 523 Table of Contents