Oct. 16, 2013
Carpenter Constructing Superalloy Powder Facility
Carpenter Technology Corp., Wyomissing, Pa., has reached a multi-level agreement with United Technologies Corp. for the supply of superalloy powders. In conjunction with the agreement, Carpenter plans to build a $20 million superalloy powder facility.
Once the facility is qualified by Pratt & Whitney, a division of UTC, Carpenter will supply the company with superalloy powder for up to 20 years. Additionally, UTC’s aerospace businesses have agreed to purchase alloy steel bar/billet, nickel superalloy billet, stainless bar/billet, and strip laminate products from Carpenter for a period of 10 years. Carpenter currently supplies UTC’s aerospace businesses with a portion of their overall demand for nickel, stainless and strip laminate products.
“We are pleased with UTC’s agreement that will expand our supply position,” says William A. Wulfsohn, Carpenter’s president and CEO. “This agreement, which could potentially yield in excess of $600 million over the term, reinforces our belief that the investment we are making to expand capacity at our Athens operations in Alabama is needed and will lead to increased sales.”
Global demand for superalloy powder is expected to grow substantially as aircraft engine temperatures increase. Carpenter’s entrance into this market segment reflects its confidence in superalloy powder demand for additional applications, such as those used in energy and additive manufacturing.