ERCO Worldwide Announces Permanent Closure of Chlorate Operations at Hargrave,

Manitoba

December 16, 2025

ERCO Worldwide LP is announcing that it will be permanently shutting down sodium chlorate operations at its site in Hargrave, Manitoba, Canada following a catastrophic failure of the rectifier transformer on September 21, 2025. Sodium chlorate is primarily used as a bleaching agent in the production of pulp products.

The decision to permanently close the Hargrave sodium chlorate operations was difficult, yet necessary under the circumstances. It was driven by the significant reinvestment costs, and further supported by current market conditions, which have made continued operations unsustainable.

While the North American sodium chlorate market will continue to face challenges regarding capacity and supply, ERCO has a comprehensive strategy to address these significant challenges, ensuring the company is well positioned for the future. ERCO’s three remaining sodium chlorate manufacturing sites in North America are well positioned to deliver exceptional service and support to our customers.

We sincerely thank the Hargrave team for their professionalism and dedication to safety excellence throughout the plant's operation. The decision to permanently close the site only comes after extensive, careful consideration. ERCO’s corporate team is working closely with the site leadership team to support employees and ensure the shutdown and decommissioning phase is conducted in a safe and environmentally sound manner.