SNF Flopam Begins Construction of Iberville Parish Facility

August 25, 2010

PLAQUEMINE, La. — SNF Flopam today officially marked the beginning of construction of its new water-soluble polymers manufacturing facility with a groundbreaking event attended by top state and local elected officials, including Louisiana Governor Bobby Jindal and Iberville Parish President J. Mitchell Ourso, Jr.

“This facility is the largest, single greenfield investment in the history of our company,” said SNF Holding Company President Peter W. Nichols. “We’ve reached this significant point in our project with the tremendous support from the State of Louisiana and so many individuals in Iberville Parish. We look forward to executing our construction plans over the next few years and having a lasting impact on the parish and state.”

The new facility, which will operate under the name Flopam Inc., will be built in phases on the nearly 800-acre site over the next five years, with a total capital investment of approximately $350 million. During the construction period, Flopam envisions creating 250 construction-related jobs and making significant expenditures with local and state vendors.

The first unit is expected to begin operating in the third quarter of 2011, with four additional units coming on-line in the subsequent four years. Once the facility is fully operational in 2015, Flopam is expected to have a workforce of around 500 direct employees and 100 permanent contractors.

The facility will produce acrylamide monomer and polyacrylamide powders packaged in bags or supersacks. Polyacrylamide is a water-soluble polymer that is commonly used to assist in removing impurities from water and in wastewater treatment applications. It is also used in oil and natural gas drilling and has achieved success in enhanced oil recovery.

In an effort to serve customers in the oil and gas industry, SNF also has decided to locate an oil and gas engineering group in Plaquemine. The size of the group will initially be around 20 engineers, project managers and support staff, a number that could grow in the future.

Environmental, health, safety and security management systems are an integral part of SNF operations in the U.S. and around the globe. Flopam’s commitment is to operate a safe and environmentally sound facility, and the facility will comply with its regulatory permits.

Flopam also has every intention of being a good neighbor and participating in the community. At other U.S. locations, SNF has an active community involvement program where it supports and participates in local organizations, schools and emergency services. In February 2010, SNF donated $25,000 to the Iberville Foundation for Academic Excellence, a local non-profit education foundation that provides competitive grant funding to Iberville Parish teachers and schools.

Visit Flopam online at snfplaquemine.com.

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