CB Minerals has been a closely held family business for over 100 years. CB Minerals (CBM) is an importer, exporter, broker and distributor of non-metallic minerals. CBM represents many mining and mineral producers both in the United States and throughout the world offering over 40 different industrial minerals of many different grades. The Company’s activities include warehousing and distribution of minerals in major cities, importing, exporting, locating sources for special situations, and acting as a marketing agent for mineral companies. CBM was formed in 2017 in order to acquire the mineral business of Charles B. Chrystal Co., Inc. which was founded in New York in 1897.
CBM sells to a wide variety of industries. These include cosmetic, pharmaceutical, food, abrasives, paint, ceramics, flooring and dentistry. There is no customer concentration with the largest customer concentration consisting of less than 10% of annual sales. In addition to its sales office, the company leases its primary warehouse space in New Jersey. It also maintains stock in the Chicago and Los Angeles areas.
Most of the minerals the Company offers are available in multiple grades, qualities, quantities, and sources. Customers are typically manufacturers who rely on the Company’s ability to source and service their industrial mineral requirements. Grades vary from high purity fit for human consumption to industrial. Packaging varies based on material and grade and include plastic pails, paper bags, fiber drums, super sacks, and bulk. Grades can be lump, granular, powder, slurry, or micron sized. Many goods are sold with lot numbers traceable to the original production, meet ISO 9000 standards and come with Certificates of Analysis conforming to USP.
Industrial minerals are used in their natural state or after beneficiation either as raw materials or as additives in a wide range of applications. CB Minerals sells its products to various manufacturers of other products. Applications of industrial minerals include construction, dentistry, ceramics, paints, electronics, filtration, plastics, glass, detergents, abrasives, paper and cosmetics.
CBM, and its predecessor, has sold to hundreds of customers over the past 120+ years. The Company has served over 50 customers who have purchased products in each of the last three years.
CBM relies on its strong brand that dates back over 100 years. In order to maintain customers CBM has relied on its excellent customer service. Customers know that they will receive first-class treatment no matter how large their order. The Company does compete for business based on price but once a customer has placed an order they will very rarely leave because of price.
CBM has relationships with almost 150 vendors. This allows it to provide a full product range and single source for most industrial minerals. Very few, distributors can match CBM’s extensive offering and customer service.
Pricing is driven by commodity prices for the individual minerals, as well the cost of storage and transportation. Each mineral and its specific grade is priced based on the volume sold, with discounts offered for larger orders. Price increases from the manufacturers, which are typically on an annual cycle, are passed through to CBM’s customers.
All material is stored in various secured third-party warehouses. Most distribution is from these warehouses, but there some orders are shipped directly from the mines. The primary warehouse is in Northern New Jersey. There is significant infrastructure in the area that is conducive for distribution operations as it is near the port and major interstates. Being located west of the Hudson River saves on tolls / transportation costs as most customers are in that general direction.
Product/Service Life Cycle
CBC does not manufacture any products and as such all minerals offered are available for sale. There are some products which are sold as "value-added". These products include colored clays, granulated terra alba and minerals which have been gamma irradiated to remove bacteria. These items are processed by third parties and then returned to CBM for sale. The products are sold for higher prices than strict commodities and provide significantly higher margins.