BUTLER COUNTY, Pa. — A Butler County chemical plant that employs 220 is set to close in July.
Indspec Chemical Corp. in Petrolia will be shutting down permanently due to ceased production of resorcinol and related products, according to the Pittsburgh Business Times.
Indspec sold its Penacolite resins last year, but agreed to continue making the substance used in tires and other rubber products during the transition period, the Pittsburgh Business Times reports.
The company will enter bargaining with the employees’ union and offer severance, outplacement and counseling to all the employees. Employment opportunities at other locations within the parent company may be available to some.
"Our workers have made a significant effort over the last several years to improve the viability of the plant," Andre Salameh, plant manager, said in a news release sent to the Pittsburgh Business Times. "Nevertheless, the outlook for the business continues to be unfavorable due to a number of factors including a global oversupply of our main product, resorcinol, and because Indspec's manufacturing process is not as efficient as that of global competitors."
The plant has been in operation since the 1920s.
The plant officially closes July 31.
Cox Media Group
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