The Lubrizol Corporation, a wholly-owned subsidiary of Berkshire Hathaway, will rebuild a $10 million warehouse that was destroyed in a fire on Tuesday, Nov. 17, 2015.
The warehouse was acquired by Lubrizol in early 2015 when the specialty chemicals-manufacturer purchased the oilfield chemicals business from Weatherford International PLC.
At the time, the deal was the biggest “bolt-on” acquisition Lubrizol had made since it was acquired by Berkshire Hathaway in 2011.
The landlord, Chapman Properties, owners of the Leetsdale Industrial Park, has presented plans to the Leetsdale Planning Commission to rebuild the Lubrizol Corp. Oilfield Chemistry site.
The Leetsdale Industrial Park is a two million square foot mixed-use facility located on the Ohio River and Route 65 outside of Pittsburgh, Pennsylvania.
Under the terms of Lubrizol’s lease with Chapman Properties, Chapman has 180 days to rebuild the warehouse from the date of the fire, which began when workers were pouring hydraulic fracturing chemicals into a production tank and quickly grew to a five-alarm fire.
Based in Wickliffe, Ohio, Lubrizol owns and operates manufacturing facilities in 17 countries, as well as sales and technical offices around the world. Founded in 1928, Lubrizol has approximately 9,000 employees worldwide. It sells its specialty chemical products in over 100 countries.
© 2016 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.