Birla Carbon raises $50m loan under ‘green financing’ plan

Birla Carbon raises $50m loan under ‘green financing’ plan

Birla Carbon raises $50m loan under ‘green financing’ plan 404 385 Batteries International

July 22, 2022: Birla Carbon said on July 14 it had raised $50 million in the form of a ‘green loan’ to refinance a part of the capital expenditure incurred for tackling emissions at its North Bend plant in the US.

The carbon additives firm said the technology removes various compounds from air emission levels at the facility in Louisiana.

The loan follows the company’s formal adoption of a green finance framework, which outlines the criteria and provides guidelines for Birla to finance eligible green projects through green loans or bonds.

Birla’s green finance transaction was led by merchant banks ANZ and supported by DBS and HSBC.

Birla says the framework underpins its drive to achieve net zero carbon emissions by 2050.

CEO John Loudermilk said: “The state-of-the-art absorber technology initiative demonstrates our commitment towards using the best available technologies for sustainable manufacturing of carbon black products.

“In the years ahead, a significant commitment will be required for decarbonization efforts of our process and the introduction of more sustainable carbonaceous materials in the market.”

Birla said on May 31 it was investing in a combined production capacity expansion of 200 kilotonnes across key markets including Europe, India, and China in support of rubber and speciality applications. These should be finished by 2024.