US cement maker Sublime Systems pauses Holyoke plant after losing federal grant

Sublime Systems has announced a 10% reduction in its workforce and a pause on its planned low-carbon cement demonstration project in Holyoke, Massachusetts, following the cancellation of a key federal award.

In a statement sent to Platts on Dec. 11, Sublime said the loss of the US Department of Energy's OCED grant, which was expected to fund 50% of the Holyoke plant, has created significant challenges in assembling the necessary capital for the project.

The plant was initially announced with a capacity of 30,000 mt per year.

The company said it remains in talks with the DOE and is working through a set of "alternative scale-up plans" and other options to bring its first commercial plant online.

Microsoft signed a binding agreement May 22 to purchase up to 622,500 mt of low-carbon cement from Sublime over six to nine years. The deal, tied to Sublime's first commercial factory in Holyoke, is part of Microsoft's strategy to reduce construction emissions and access clean cement technology.

Platts, part of S&P Global Energy, last assessed Cement CIF Houston at $86/mt on Dec. 4.