SLVYY Solvay SA (PK)

   By Giulia Petroni 
 

Solvay's U.S. specialty polymers subsidiary has reached a settlement with the New Jersey Department of Environmental Protection, resolving claims related to toxic chemicals.

The Belgian chemicals company said Wednesday that Solvay Specialty Polymers USA will pay $75 million for natural resource damages and $100 million to fund remediation projects in areas near its West Deptford site. The claims involve perfluoroalkyl and polyfluoroalkyl substances, known as PFAS.

As a results of the settlement, Solvay will increase its current provision by around $250 million at the end of the second quarter, with $175 million cash out in 2024 and the balance over a 30-year period.

In the third quarter of last year, the company recorded 93 million euros ($101.9 million) of environmental provisions that reflected the estimated cost of remediation activities in New Jersey over the next 20 years.

The agreement, which is not an admission of liability, will be presented to the U.S. Court for review and approval later this year, according to the company.

Write to Giulia Petroni at giulia.petroni@wsj.com

(END) Dow Jones Newswires

June 28, 2023 12:18 ET (16:18 GMT)

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