The town of Spruce Pine, North Carolina, has faced significant challenges following the shutdown of two facilities that produce high-purity quartz essential for manufacturing semiconductors, solar panels, and fiber-optic cables due to Hurricane Helene.
Both Sibelco and The Quartz Corp. halted operations on September 26, ahead of the storm, and there is currently no timeline for reopening.
The high-quality quartz produced in Spruce Pine is unique, with the town being one of the few locations globally capable of supplying such high purity at a low cost. Sibelco had announced plans last year to invest $200 million to double its capacity in Spruce Pine, indicating the increasing global demand for this crucial material.
Since the hurricane, the primary focus for both companies has been ensuring the safety of their employees, as many remain unreachable due to widespread power outages and communication difficulties in the area.
“We are actively collaborating with government agencies and rescue operations to mitigate the impact of this event and to resume operations as soon as possible,” Sibelco stated.
The Quartz Corp. echoed similar sentiments, prioritizing employee health and safety while facing challenges related to flooding and power outages. They mentioned that resuming operations is a secondary concern at this time.
Hurricane Helene has had a profound impact on the local community, leading to extensive flooding and damage to infrastructure. Spruce Pine, with a population of approximately 2,200, is already economically vulnerable, with a poverty rate nearly double the national average. The quartz mines are among the largest employers in the area, providing hundreds of jobs.
Experts warn that the closure of these facilities could lead to supply chain disruptions for the tech industry, particularly since Spruce Pine provides 80-90% of the global supply of high-purity quartz. This unique mineral plays a vital role in semiconductor manufacturing, impacting a wide range of electronic devices, from smartphones to medical equipment.
Geologist Yinan Wang noted the geological significance of the quartz deposits in Spruce Pine.
“Economically, this deposit is one of the most important on Earth,” Wang stated.
The potential for supply shortages may lead to higher prices for chips and electronics in the coming months, as manufacturers may need to find alternative sources.
Local officials are still assessing the damage to the mines, and the North Carolina Department of Environmental Quality has not yet been able to determine the extent of the destruction. Reports indicate that the area received over 24 inches of rain within three days, exacerbating the flooding situation.
As recovery efforts continue, local residents are struggling with essential needs, including food, water, and communication. Relief efforts are underway, with community members stepping in to assist those affected. However, restoring basic services may take weeks or even months.
The Associated Press, Market Watch, Bloomberg, the Washington Post contributed to this report.
