Document 3JGgZVzYjm6gvrj48m68a0k4y

APR 21 1977 (5 Qs ' ^ * LG1 CARBIDE AUSTRALIA LIMITED ^ UNION CARBIDE BUILDINQ. 157-167 LIVERPOOL STREET. SYDNEY. N.S.W. 2000. fftl STR ALIA Q.P.Q. QDX 5322, SYDNEY, N.S.W. 2001 TELEGRAMS: "UN1CAR61DE," SYDNEY TELEPHONE: 2-06%4f; 23566 31st Mar UNION CARBIDE COUP., Mining & Metals Division, P.O. Box 579, NIAGARA FALLS. N.Y. U.S.A. 14302 Attention: Mr. John L. Myers tiCiiViD APR a >977 UCC-CA'_ID~!-\ CALIDRIA ASBESTOS - VISIT TO AUSTRALIA Dear John, UC-2861 We have made significant progress in expanding our sales in Australia and our success with C.S.R. over the last twelve months has been most satisfying. However, to continue the impetus we believe a visit by yourself or Robert Byrne would be most beneficial and almost essential if we are to break down resistance by certain customers to the use of asbestos on toxilogical grounds. Our sales target for 1977 is SG 102 RG 144 RG 244 400 tonnes 15 tonnes 30 tonnes / / j5V~/ ? ^ & While the total quantity is a large increase over 1976 the majority of our sales will go to two major customers. These are C.S.R, Building Materials Division, 400 tonnes of SG-102 and Escon Chemicals, 25 tonnes of RG-244* The balance of RG-244 and all of the RG-144 are sold to a large number of small users. We have been successful in identifying part of the potential Australian market for Calidria Asbestos. The details are as follows: - {1) Vinyl Asbestos Floor Tile3 (SG-102) There are only two producers in Australia, C.S.R. Building Materials Division uses between 1500 and 2000 tonnes per annum of Asbestos and we confidently expect our sales of SG-102 to increase to 900-1000 tonnes per annum. The other producer is Arrastrong-Nylex who are using Carey material at the rate of 700 tonnes per annum. Currently they are evaluating the local product available from Woodsreef. They have received the letter sent to them by Neil Jones regarding SG-100. According to C.S.R. the Woodsreef product is not up to their standards for production of vinyl asbestos tiles so there is an opportunity for sales of SG-100 to Armstrong/Nylex. (2) Polyester Resin Manufacture (RG-244) There are ten manufacturers in Australia of which five are cont... UCC 025438 J UNION CARBIDE AUSTRALIA LIMITED 2 significant we sire only selling to Escon Chemicals at the rate of 25 tonnes per annum. The following is the situation v/ith the other major producers. Monsanto Chemicals manufacture under licence to Scott-Bader they use approximately 30 tonnes per annum of Aerosil. Four years ago RG-244 was rejected on toxicity grounds however personnel have now changed and we have recommenced sales promotion. A.C. Hatriclc Chemicals manufacture under licence to Reichold they use in excess of 35 tonnes per annum of Aerosil. Toxicology is also a problem with this company but we believe it can be overcome on economic grounds. British Paints are a subsiduary of Hoechst and manufacture under licence to Cook Paint & Varnish. Their usage of Aerosil is about 10 tonnes per annum and again toxicity of Asbestos is a problem. Kemrez Chemicals are a new producer manufacturing under licence to B.P. Chemicals. Although they do not have a significant share of the polyester market at the moment we expect them to grow rapidly. The formulations from B.P. Chemicals use Aerosil. (3) Epoxy Besins (HG-144) The only significant customer is Ciba-Geigy. The majority of our sales are to small users in the field of epoxy/pebble flooring. (4) Automotive Sealants, bodyfilling compounds, undersealers etc. We have identified some consumers in this area but believe there is a large market yet to be located. (5) Thermoplastic Reinforcing Compounds We do not propose to persue the market for HG-600 until you achieve some successes in the U.S.A. which could be used to support a sales effort in Australia. As you can see from the above there is a considerable potential market in Australia for Calidria Asbestos. We would appreciate your serious consideration of visiting Australia to assist our sales efforts. We suggest a visit of one week would be adequate; this would enable one day to be spent with our sales people and four days to visit the major customers. We look forward tc#our reply. Best regards, cc: L. Notley - Marketing Kngr. uca: UCC 02543___ anager /