Birla Carbon supports sustainability initiatives with financing methods

MUMBAI, India—Birla Carbon, a manufacturer and supplier of carbon black additives, has firmed up its financing methods for sustainability initiatives—which include a goal of net zero emissions by 2050—with its Green Finance Framework.

The GFF describes criteria for financing projects through green loans and bonds.

Birla has finalized an initial green transaction with a green loan of $50 million. This is for "absorber" technology to remove various compounds from air emissions at a plant in North Bend, La.

"As a global leader in the carbon black industry, we have constantly been exploring opportunities to discover new paths and drive new solutions in the effort of achieving our milestone of net zero carbon emissions by 2050," said Santrupt B. Misra, group director and director, chemicals, for Birla Carbon. "The Green Finance Framework is an organic step in that direction. It challenges us to deliver on our commitments and our vision."

The framework publication comes on the heels of Birla's release of its ContinuaTM range of sustainable carbonaceous materials.

"With the launch of ContinuaTM SCM, we have carved a strong position for ourselves in the sustainability and circularity domain within the carbon black industry," Misra said. "We now look forward to exploring innovative solutions that support our goals and that of our customers in the times to come."

John Loudermilk, chief executive officer at Birla Carbon, said the success of the Louisiana plant loan and project demonstrates the company's commitment to net zero emissions.

"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," Loudermilk said. "Keeping this in mind, such a framework will greatly help finance such projects."

The recent $50 million loan was led by ANZ as lead green coordinator; and DBS and HSBC as joint green coordinators.

Birla Carbon, one of the flagship subsidiaries of Aditya Birla Group, maintains its U.S. headquarters in Marietta, Ga.

The company produces carbon blacks for paints and coatings, inks and toners, plastics, adhesives, sealants, textile fibers, mechanical rubber goods, and tires, energy systems and sustainable carbonaceous materials.