Toronto-Marsulex Inc. said Jan. 12 that it has reached a settlement with U.S. federal regulators concerning alleged violations of the Clean Air Act with respect to its Toledo facility in Oregon, Ohio, and a facility in Cairo, Ohio, which was originally owned by Marsulex and sold to Chemtrade Logistics Income Fund in 2001. As part of the sale, Marsulex indemnified Chemtrade against liabilities relating to these alleged violations. Under the settlement, Marsulex has agreed to install additional emission control equipment to reduce sulfur dioxide emissions at the Toledo facility, and at the Cairo facility now owned and operated by Chemtrade, to below currently permitted levels. The capital cost for implementation at the Toledo facility, based on conceptual design, is currently US $3-6 million. Detailed design and cost estimation has begun at Toledo as well as the Cairo facility. Marsulex says it has made adequate provision for these costs.
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