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[News] Quartz Mines Hit by Hurricane Helene Could Disrupt the Semiconductor Supply Chain


2024-10-02 Semiconductors editor

The U.S. was recently hit by Hurricane Helen, causing severe damage in the Southeast. In North Carolina, roads to two critical quartz mines are currently inaccessible, raising concerns about the global semiconductor supply chain. National Public Radio (NPR) reports that if these mines are compromised, it could disrupt chip supply chain worldwide.

Hurricane Helen, which made landfall last week, has claimed over 100 lives across the U.S. Spruce Pine, North Carolina—a key source of high-purity quartz essential for semiconductor manufacturing—suffered heavy damage. The town hosts two vital quartz mines operated by Sibelco and Quartz Corp, which are considered critical to the global supply chain.

It is reported that local officials described the flooding as catastrophic, with much of the area’s infrastructure destroyed or severely damaged. Though the mines themselves are intact, the heavily damaged CSX rail line, the main transportation route for quartz out of the region, has further complicated logistics, according to NPR.

The ultra-pure quartz from these mines is irreplaceable, as it’s a critical material for producing silicon wafers used in semiconductors. This type of quartz is used to make crucibles, where nearly pure silicon is melted. Experts highlight that North Carolina’s quartz mines are the primary large-scale source of this high-purity material.

While Russia and Brazil also supply quartz, Spruce Pine produces the highest quality and quantity globally, according to Ed Conway, author of Material World: The Six Raw Materials That Shape Modern Civilization, as cited by NPR. Without this pure quartz, most semiconductor production would be impossible, as crucibles often cannot be reused.

Though chipmakers likely have stockpiles of quartz to mitigate short-term supply disruptions, restoring infrastructure in the area could take weeks, even though the mines are located on higher ground.

Quartz Corp is currently assessing the situation but said it’s too early to gauge the full impact of the hurricane on production according to the report.

Sibelco noted in its latest statement, “We have confirmed the safety of most employees and are working diligently to contact those still unreachable due to ongoing power outages and communication challenges. As of September 26th, we have temporarily halted operations at the Spruce Pine facilities in response to these challenges.”

Experts warn that while companies have been exploring artificial substitutes for ultra-pure quartz, none have yet met global demand. The consequences of this disaster could ripple across industries, highlighting the broader economic risks posed by climate-related events.

(Photo credit: Sibelco)

Please note that this article cites information from National Public Radio and Sibelco.

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