British Gypsum has invested £120m to build two new plants in Sherburn-in-Elmet, near Leeds and East Leake, in Leicestershire in order to increase capacity.
The company said it built the plants to meet increased demand brought about by changing UK building regulations, which have increased the standard for acoustic performance in new homes. The new sites will increase the capacity for plaster and plasterboard products, ensuring British Gypsum, already the UK’s leading manufacturer of drywall products and systems, will meet the UK construction industry’s increasing demand for these products.
British Gypsum is predicting year-on-year demand growth for its products of around 4.5 per cent throughout 2007 and 2008.
The East Leake plant will manufacture finishing plasters and drywall adhesive’ from the high-grade natural gypsum rock that is extracted and processed at the site’s existing mine, which has undergone a £7m redevelopment as part of this project.
The Sherburn-in-Elmet plant will manufacture a full range of plasterboard products.
British Gypsum chose the sites because of their logistics and proximity to raw material sources, as well as their long-standing links with the local communities and local availability of skilled workers.