Quick Facts About A.B.B. Lummus Global Inc.
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    Founded:
    1883
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    Years Operated:
    1883 - present
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    Headquarters:
    Houston, Texas
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    Business:
    Designs and constructs industrial buildings
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    Asbestos Trust:
    Yes
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    Bankruptcy Status:
    Filed on April 21, 2006 and reorganized on July 21, 2006

ABB Lummus Global’s History with Asbestos

Woven Asbestos Cable Wrap Insulation
Woven Asbestos Cable Wrap Insulation

ABB Lummus Global was formed in 1995 with the merger of two companies that used industrial and electrical products containing asbestos.

Lummus’ predecessors built refineries, factories, chemical plants, and power plants using electrical systems, steam turbines and feedwater heaters.

Asbestos was used in industrial and electrical products to insulate and provide heat resistance. At the time, asbestos was affordable and considered one of the best insulators for these materials.

ABB Lummus Global, now known as Lummus Technology, offers process technologies, project management, engineering, procurement and construction management to construct industrial buildings.

They helped build hydroprocessing plants for the oil, gas and petrochemical industries, in addition to other industrial plants such as power plants, chemical plants and any factory or plant that needed a feedwater heater.

Rather than directly manufacturing asbestos products, ABB Lummus Global used asbestos products to design and construct industrial plants. Many of the lawsuits involving ABB Lummus Global were filed by workers who were exposed to asbestos during the construction of these refineries, factories and plants.

As a result, ABB Lummus Global faced asbestos claims that eventually forced it into bankruptcy.

Development of the ABB Lummus Global Inc. Asbestos PI Trust

On April 21, 2006, ABB Lummus Global filed for Chapter 11 bankruptcy to pay out asbestos-related liability claims filed against the company. It was the second of two ABB subsidiaries to file an asbestos-related bankruptcy. The first, Combustion Engineering, filed for Chapter 11 the previous year.

The ABB Lummus Global Inc. Asbestos Personal Injury Trust was created as part of the Chapter 11 reorganization plan. ABB allocated $33 million to the trust to pay future asbestos claims.

According to an annual financial report filed in April 2018, the trust liquidated and paid 2,515 claims in 2017, totaling nearly $2 million.

At the end of 2020, the trust contained more than $18 million. The payment percentage is currently set at 11.7% of the claim value.

Asbestos Litigation Involving ABB Lummus Global

In 2005, ABB’s U.S. entities, including Combustion Engineering and Lummus Global, faced more than 135,000 lawsuits.

More than 11,000 of these lawsuits were filed against Lummus Global.

Plaintiffs in the lawsuits alleged their asbestos-related diseases, including mesothelioma, were caused by exposure to asbestos products used in the construction of industrial buildings.

ABB Lummus Global’s Asbestos Products

Lummus Global used several asbestos-containing products to construct industrial buildings, including:

  • AC cables
  • Electrical systems
  • Feedwater heaters
  • Gas-insulated switchgears
  • Gaskets
  • Generators
  • High-capacity transformers
  • Steam turbines
  • Valves
  • Wiring insulation

ABB Lummus Global Occupations at Risk

Multiple high-voltage electrical cables in utility area with high-percentage asbestos-containing textile-wrap insulation.
Electrical Cable Asbestos Wrap Insulation

Workers employed in occupations that used asbestos products during the construction of refineries, chemical plants and other industrial facilities faced a significant risk of asbestos exposure. Employees at these sites, including those performing renovations or repairs after initial construction, were also at risk from asbestos exposure, especially when asbestos-containing products such as insulation or electrical cable wraps were disturbed.

Some of the occupations at risk for asbestos-related diseases due to Lummus Global’s products include:

  • Automotive plant workers
  • Chemical plant workers
  • Construction workers
  • Engineers
  • Factory workers
  • Industrial workers
  • Machinists
  • Metal workers
  • Paper mill operators
  • Power plant workers
  • Printing workers
  • Public utility workers
  • Railway workers
  • Refinery workers
  • Shipyard workers
  • Steam plant workers
  • U.S. Navy veterans
  • Water plant operators

Workers who may have been exposed should receive regular medical screenings. They should also promptly report any symptoms to their health care provider.

Lummus Global’s History

ABB Lummus Global Inc. was part of ABB Ltd., headquartered in Switzerland, until its sale in 2007. The company went through several mergers and is currently owned by McDermott International, although there have been offers for further acquisition as recently as 2020.

ABB Ltd. was formed in the late 1980s through the merger of the Swedish company ASEA and the Swiss company Brown, Boveri & Cie (BBC). ASEA developed key electrical innovations, including the first 120 MVA, 220 kV transformer and 400 kV AC cable. BBC pioneered advances such as Europe’s first steam turbine and gas-insulated switchgear, improving circuit breaker safety.

The companies combined in 1988 to create ABB, headquartered in Zurich, focusing on manufacturing and process automation. In 1995, ABB merged its engineering divisions to form Lummus Global, which became a major provider of process technologies for oil, gas, petrochemical and refining industries.

ABB sold Lummus Global to Chicago Bridge & Iron Company in 2007 for $950 million. CB&I later joined with Chevron to form Chevron Lummus Global, a major licensor of hydroprocessing technologies. McDermott International acquired CB&I in 2018, integrating the business as Lummus Technology.

By 2019, McDermott had received offers to sell Lummus Technologies, but no sale had been finalized. Today, all products manufactured and licensed by Lummus are asbestos-free.

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