Cabot Extends Dow Corning Relationship with Capacity Expansion in Europe

  Cabot Extends Dow Corning Relationship with Capacity Expansion in Europe

 Completed Expansion Increases Fumed Silica Production Capacity by 25 Percent
                               in Barry, Wales

Business Wire

BOSTON -- March 25, 2013

Cabot Corporation (NYSE: CBT) completed an expansion project at its fumed
silica facility in Barry, Wales. Production capacity at the site has been
increased by 25 percent. The expansion is part of a three-year plan started in
2011 to increase Cabot's global fumed metal oxide capacity by 35 to 40
percent.

This expansion project is an extension of Cabot's long-term relationship with
Dow Corning. Furthermore, the increased production capacity supports Cabot’s
growth in the rising global silicones market. This market is poised to grow at
6 to 9 percent per year over the coming decade. Through the expansion project,
Cabot can now use a wider range of silane raw materials to make a broader
portfolio of products to meet silicones and other market needs.

Cabot and Dow Corning have worked closely together in Barry since 1991, when
Cabot built its fumed silica facility adjacent to Dow Corning's silicone
monomer plant. During this time, Cabot and Dow Corning have forged a strong
relationship in Barry. As part of a highly interdependent and collaborative
"fence-line" relationship, Dow Corning provides Cabot with silanes that are
converted to fumed silica for Dow Corning's compounded silicones applications,
as well as for other customers and applications including electronics,
adhesives and composites.

“The expansion of Barry marks another milestone in our long-term relationship
with Dow Corning and demonstrates our commitment to support their growth,”
said Sean Keohane, Cabot senior vice president, Performance Materials. “This
project will deliver strategic value for Cabot and Dow Corning and represents
a natural extension of our long and successful relationship.”

“After building a strong relationship together for over 30 years, this
expansion will open up a broader scope of opportunities for us,” said James
Whitlock, Dow Corning senior vice president and general manager, Core
Business. “Our shared experience to date makes this capacity expansion a
valuable project for us both and we look forward to working together to meet
the needs of the market.”

Fumed silica is an ultra-fine, high-purity particle used as a reinforcing,
thickening, abrasive, thixotropic, suspending, or anti-caking agent. The
material is highly versatile and used in a wide-range of end-market
applications for the automotive, construction, microelectronics and consumer
products industries. Fumed silica helps improve the performance of adhesives,
sealants, cosmetics, inks, toners, silicone rubber, coatings, polishing
slurries, and pharmaceuticals.

Cabot currently has six fumed silica manufacturing facilities globally,
including two in the United States (Tuscola, Ill., and Midland, Mich.), two in
Europe (Barry, Wales and Rheinfelden, Germany), and two in Asia (Jiangxi
Province, China and Mettur, India).

ABOUT CABOT CORPORATION

Cabot Corporation (NYSE: CBT) is a global specialty chemicals and performance
materials company, headquartered in Boston, Massachusetts. The company is a
leading provider of rubber and specialty carbons, activated carbon, inkjet
colorants, cesium formate drilling fluids, fumed silica, aerogel, and
elastomer composites. For more information on Cabot, please visit the
company’s website at: http://www.cabotcorp.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of
1995: Statements in the press release regarding Cabot’s business that are not
historical facts are forward looking statements that involve risks and
uncertainties. For a discussion of such risks and uncertainties, which could
cause actual results to differ from those contained in the forward looking
statements, see “Risk Factors” in the Company’s Annual Report on Form 10-K.

Contact:

Cabot Corporation
Vanessa Craigie, 617-342-6015
Corporate Communications
or
Erica McLaughlin, 617-342-6090
Investor Relations
 
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