New plastics plant opens in Belle
Daily Mail 9/27/11
by George Hohmann
Daily Mail Business Editor
CHARLESTON, W.Va.-- Kureha Corp. marked the opening of its $150 million specialty plastics plant at Belle with talk of teamwork, new opportunities and hints of possible future expansion.
The shiny new plant combines glycolic acid, made by DuPont at Belle, with a secret ingredient from Japan (playfully described by a Kureha employee during a tour on Monday as "pixie dust.")
With the aid of high temperatures and high pressures, a high-performance polymer, polyglycolic acid, or PGA, is produced.
It is the first commercial-scale PGA plant in the world.
Kureha President and Chief Executive Officer Takao Iwasaki made it clear that the company has high hopes for the product, which is being marketed under the trade name Kuredux PGA.
Multi-layered beverage bottles made with a middle layer of PGA can give carbonated beverages a longer shelf life. Because PGA is biodegradable, bottles made with it can be recycled.
Other markets also seem promising. Iwasaki said oil and natural gas drillers may use PGA as one of the ingredients in the material they pump underground to fracture natural-gas-rich shale. PGA can create a pathway for the natural gas to escape. Because it is biodegradable, PGA won't harm the environment.
In addition to working together as a team at the Belle plant site, DuPont is helping Kureha find new markets for its PGA, Iwasaki said.
"Today is a day we at Kureha have looked forward to for many years," Iwasaki said. "It is the culmination of a long, hard road. "It was a big challenge requiring great innovation, hard work and patience."
The March earthquake in Japan damaged the company's home plant. A subsequent after-shock occurred directly under that plant. Iwasaki said that despite the troubles, employees pulled together. He said that when the company and its employees were struggling, an employee who gave him courage said, "The best way to avoid failure is to continue until you succeed."
He thanked DuPont and state officials for all of their assistance.
Ichiro Fujisaki, the Japanese ambassador to the United States, said Japan has 15 consulates here. He said plant openings are such happy occasions the staffs of the consulates want to cover such events. Consequently "I am not usually invited," he said. "This is the first time in three years I am attending an opening ceremony."
Fujisaki noted that Japan was devastated by the March earthquake and tsunami.
"We were so much helped by you," he said. "Without your assistance we could not have come through. Thank you." He then closed his eyes and bowed to the audience.
After the silence, Fujisaki said, "Who doesn't want to come to..." and then he sang, "Almost Heaven."
Applause erupted.
Plant Manager Tom Provost said 50 people currently work at the Bell plant: 25 are Americans who are employees of the company, 10 are contractors and 15 are Japanese who are still involved with the startup.
Although he couldn't be present for Monday's ceremonies, Sen. Jay Rockefeller, D-W.Va., recalled in a video message that Kureha executives first visited West Virginia eight years ago. Rockefeller said he and then-Gov. Joe Manchin visited Kureha executives during a trade mission to Japan in 2005, urging Iwasaki to visit West Virginia again — which Iwasaki did later that year.
"I can only hope they will continue to invest in West Virginia," Rockefeller said, noting that Kureha has a reputation for being a supporter of the communities where it operates. The Belle plant provides 50 well-paying jobs and the company has ambitions to expand worldwide, he said.
Manchin, now a U.S. senator, said Monday, "Everybody should take credit for this because we all worked together as a team. When they (the Japanese) see us working as a team, it gives them comfort."
Manchin praised Kureha and DuPont for turning "what could have been a ghost land into a vibrant tech park. When you form partnerships, good things happen," he said.
"They are even now looking to expand," Manchin said. "And it's going to happen right here in West Virginia."
Kureha's Belle plant is capable of producing 4,000 metric tons of PGA a year. Iwasaki wrote in the company's annual report, "Current production capacity is only at most 4,000 tons, but we plan to secure capacity for 40,000 tons at some stage and hope to eventually make it into a product of up to 400,000 tons capacity."
Asked about this, Iwasaki said, "This is our dream. Four thousand tons is just a start."
Acting Gov. Earl Ray Tomblin, D-W.Va., said, "I like the way Dr. Iwasaki thinks!"
Tomblin, who received a standing ovation when he was introduced, thanked Rockefeller for initially reaching out to Kureha. He told Ambassador Fujisaki he is always welcome. Tomblin also thanked Steve Spence, director of the state Development Office's International Division, and Hollie Hubbert, the division's Asia Pacific project manager.
Tomblin said West Virginians were deeply concerned about the March tragedies in Japan and "we were touched by the honor and dignity of the Japanese people."
He said West Virginians would be honored to assist the Japanese people, who showed "an incredible resilience," anytime it is needed.
"This is an exciting time as we stand at an open door of opportunity today," he said.
U.S. Rep. Shelley Moore Capito, R-W.Va., said, "What we see today is an investment in our future."
Manchin welcomed Yoshiki Shigaki, the new president of Kureha PGA, "as our newest citizen."
In an interview, Iwasaki said Shigaki has been developing the PGA manufacturing process since the 1980s.
"He is 'Mr. PGA,'" Iwasaki said.
It was the job of former Kureha PGA President Mark Suzuki to build the plant, Iwasaki said. The plant was finished in June. Suzuki, who retired in July, also was at Monday's ceremony.
