Making plaster and wallboard isn't the only use for Sevier County's gypsum deposits. Plans have been announced to build a facility that will refine the product for pharmaceutical, cosmetic and food preparation purposes.
Diamond K. Gypsum Inc., founded by Phil and Karen Palmer, will manufacture solution-grade gypsum at a new plant in Richfield. The firm currently produces about 30,000 tons per year through the Western Clay Co. in Aurora, sold to product markets in other states and other countries."We're the leader in solution-grade gypsum," Phil Palmer said. Karen Palmer added, "About 25 percent of our current business is with international customers." The Palmers ventured into the gypsum industry in 1990 after many years of success with a trucking operation.
The new plant, to be built on 15 acres west of I-70 and the Cove View Municipal Golf Course southwest of Richfield, is projected to employ upwards of 20 employees within a year as markets for the products are expanded.
Financing for the $2.3 million project is being obtained through loans from banks and federal sources.
The Six County Association of Governments, through its industrial development program, is requesting release of federal funds authorized under the Housing and Community Development Act. These are parlayed by the Utah Division of Community Development to businesses and industry to finance economic development projects.
Richard Leyba, director of Sevier County's economic development program, noted that the gypsum project involves revolving loan financing for equipment and the five buildings that will be included in the complex. He said an environmental review by the Six County Association of Governments shows no significant impact because of the project.
Public comment on those findings and objections to the release of the funds through the state will be accepted, however. Leyba may be contacted for more information at the Sevier County Economic Development office in Richfield.
"We want to enhance the appearance of the area and be environmentally responsible," Phil Palmer said. "To the best of our knowledge, this facility is the only mill using all high-grade stainless steel components to produce food- and pharmaceutical-grade gypsum."
Gypsum will be trucked for processing from area deposits. Two gypsum plants near Sigurd have been important to the economy in Sevier County for many years, producing wallboard, plaster and other gypsum building products.
About 1,000 truckloads of solution-grade gypsum leave Sevier County each year. Solution-grade gypsum is a soil amendment that increases water and nutrient retention while pharmaceutical-grade gypsum is used for medicines, cosmetics and food processing.
Western Clay will continue to be involved in grinding the gypsum for Diamond K.