Press Release

Calgon Carbon Announces Three Multi-Year Powdered Activated Carbon Supply Agreements for Mercury Removal with New and Existing Customers

PITTSBURGH, PA  –  10/05/2015

• Exclusive, Requirements-Based Agreements Cover 19 Coal-Fired Generating Units at Nine Facilities
• Annualized Revenues under the Agreements Expected to Approximate $20 million
• Includes Supply of Next Generation FLUEPAC® Product Solutions

Calgon Carbon Corporation (NYSE: CCC) (CCC or the Company) today announced the recent finalization of three, multi-year supply agreements with major U.S. power generators whereby Calgon Carbon will supply a combination of standard and advanced powdered activated carbon products to remove mercury from the flue gas of 19 coal-fired power plant generating units, at nine different facilities.

These exclusive, requirements-based supply agreements relate to the supply of eight facilities that are continuing to control mercury emissions as a result of State-level regulations, and one facility that is currently controlling mercury emissions under the Mercury and Air Toxics Standards rule. Annualized revenues under the three agreements are expected to total approximately $20 million.

Two of the agreements, which run through December 2017, represent renewals of previous multi-year customer supply agreements – one of which has been enhanced to include the supply of powdered activated carbon to five additional generating units. The third agreement, which runs through September 2018, is with a new customer and calls for Calgon Carbon to supply six additional generating units. Calgon Carbon began supplying product to a majority of these additional generating units in the spring of this year.

Of particular note, the agreements call for Calgon Carbon to supply FLUEPAC® STF or FLUEPAC® SF3 powdered activated carbon products for mercury removal at 11 generating units. The selection of these third generation mercury removal products was primarily based upon the completion of full-scale product trials.

”I’m extremely pleased to announce the signing of these long-term supply agreements that extend and enhance existing relationships, and forge the beginning of a new one, as we continue to work closely with our customers to meet their ongoing mercury control requirements,” said Bill Zinsser, Vice President of Specialty Products, Calgon Carbon Corporation. “These agreements also serve to validate the significant investments made by Calgon Carbon over the last seven years to develop advanced powdered activated carbon solutions. As a result, our diverse product line enables customers to independently test – and ultimately select – an optimal solution set of Calgon Carbon products to meet the unique mercury control needs of each individual coal-fired generating unit, and achieve the lowest total cost of mercury control.”

Calgon Carbon continues to expect its 2015 full year revenues related to its powdered activated carbon products for mercury control to total $55 million to $60 million.

FLUEPAC® STF is an advanced product that allows for superior mercury removal performance in situations where dry sorbent injection is also being utilized by the power plant for the removal of sulfur dioxide (SO2). FLUEPAC® STF permits the use of up to 90% less activated carbon than first generation product solutions when activated carbon is used in combination with dry sorbent injection.

FLUEPAC® SF3 is an advanced product that allows for superior mercury removal performance in situations where sulfur trioxide (SO3) injection is also being utilized by the power plant for flue gas conditioning to improve particulate capture in the electrostatic precipitator. FLUEPAC® SF3 permits the use of up to 70% less activated carbon than first generation products when SO3 injection is utilized, which contributes to its concrete friendly nature, and provides the customer with the additional benefit of continued fly ash sales.

 

Contact: Dan Crookshank
412.787.6795
dcrookshank@calgoncarbon.com

 

 

Pure Water.  Clean Air.  Better World.

Calgon Carbon Corporation is a global leader in innovative solutions, high quality products and reliable services designed to protect human health and the environment from harmful contaminants in water, and air.  As a leading manufacturer of activated carbon, with broad capabilities in ultraviolet light disinfection, the Company provides purification solutions for drinking water, wastewater, pollution abatement, and a variety of industrial and commercial manufacturing processes.

Calgon Carbon is the world’s largest producer of granular activated carbon and supplies more than 100 types of activated carbon products – in granular, powdered, pelletized and cloth form – for more than 700 distinct applications.  Headquartered in Pittsburgh, Pennsylvania, Calgon Carbon Corporation employs approximately 1,100 people at more than 15 manufacturing, reactivation, and equipment fabrication facilities in the U.S., Asia, and in Europe, where Calgon Carbon is known as Chemviron Carbon.  The company also has more than 27 sales and service centers throughout the world.

For more information about Calgon Carbon’s leading activated carbon and ultraviolet technology solutions for municipalities and industries, visit dev.calgoncarbon.com.

This news release contains historical information and forward-looking statements. Forward-looking statements typically contain words such as “expect,” “believe,” “estimate,” “anticipate,” or similar words indicating that future outcomes are uncertain. Statements looking forward in time, including statements regarding future growth and profitability, price increases, cost savings, broader product lines, enhanced competitive posture and acquisitions, are included in the company’s most recent Annual Report pursuant to the “safe harbor” provision of the Private Securities Litigation Reform Act of 1995. They involve known and unknown risks and uncertainties that may cause the company’s actual results in future periods to be materially different from any future performance suggested herein. Further, the company operates in an industry sector where securities values may be volatile and may be influenced by economic and other factors beyond the company’s control. Some of the factors that could affect future performance of the company are higher energy and raw material costs, costs of imports and related tariffs, labor relations, availability of capital and environmental requirements as they relate both to our operations and to our customers, changes in foreign currency exchange rates, borrowing restrictions, validity of patents and other intellectual property, and pension costs. In the context of the forward-looking information provided in this news release, please refer to the discussions of risk factors and other information detailed in, as well as the other information contained in the company’s most recent Annual Report.