New city plant to tackle green mask task

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This article was published 13/08/2021 (1684 days ago), so information in it may no longer be current.

After acquiring a Calgary-based tech firm, a leading Winnipeg manufacturer will soon see 100 per cent compostable masks — the first of their kind — distributed across Canada.

In a deal announced Thursday which allows them to use sustainably sourced biopolymers for personal protective equipment, Precision Advanced Digital Manufacturing Inc. has bought out assets from Roswell Downhole Technologies Inc.

The PPE will be produced domestically for domestic and global customers.

At least 350 “highly paid net direct jobs” will be created in the Prairies as a result of the acquisition, with an economic export impact of roughly US$2 billion.

A new manufacturing plant will soon be opening up in Winnipeg, with another already operating in Calgary. These high-volume plants will produce a complete suite of compostable surgical masks, gowns, personal hygiene items, air or water filtration products, and other necessary medical PPE.

“It’s the kind of thing both our companies had been looking for,” Martin Petrak, president and chief executive officer of Precision ADM, told the Free Press.

“We each had something the other needed,” Petrak said Thursday. “For us, we needed the raw materials and here was another firm that not only had that, but has also been one of our longtime vendors.”

Kyle Fiolka, president of Roswell DHT, agreed. “This synergy will further strengthen and support our shared vision for innovation and pave the way in building a fully integrated, secure, domestic, and — most importantly — green supply chain for PPE,” Fiolka said.

Citing the UN’s landmark report on climate change this week, Petrak said the most important part of this acquisition is what it will do to help Canada meet its sustainability goals.

He said medical equipment, even irrespective of the amount of it needed amid COVID-19, produces tons of waste every year because of its inherently disposable nature.

That’s why the “completely nonwoven, melt-blown fabrics” used to make Precision and Roswell’s new masks or respirators, he added, will significantly reduce carbon output and greenhouse gas emissions throughout the product’s life cycle.

“We have no idea when this pandemic will go away altogether. And the fact is, there’s still many questions about what comes next,” Petrak said.

“If that means we’re all still going to be wearing masks and need other PPE, we want Canadians to think of a way in which that doesn’t harm our planet.”

Following Thursday’s deal, Roswell DHT has now become a wholly-owned subsidiary. That means its stock is entirely owned by the parent company, Precision ADM, but it remains a fully functioning stand-alone operation.

“It’s incredibly exciting that we can now compete as a vertically integrated manufacturer and leverage our IP exponentially,” Fiolka said.

In Canada, there is a dire dearth of such arrangements, whereby the supply chain of a company is integrated and owned by that company — so it can control its suppliers, distributors, or retail locations to reduce cost and improve efficiency.

As a global manufacturing business, Petrak remembers when Canada faced insurmountable problems with the supply for PPE, because of issues related from all sides of the chain. “Let’s just say, we never want to be put in that position ever again,” he said.

“At the end of the day, this is thrilling news for everyday Canadians and especially those working in hospitals. It’s a win-win that’s sustainable, how great is that?”

temur.durrani@freepress.mb.ca

Twitter: @temurdur