Pioneer Announces That Its Louisiana Chlor-Alkali Plant Will Resume Production

HOUSTON, Aug. 31  /PRNewswire-FirstCall/ -- Pioneer Companies, Inc. (NASDAQ:PONR) today reported that the chlor-alkali plant at St. Gabriel, Louisiana that is owned and operated by its subsidiary, Pioneer Americas LLC, was spared any significant damage from the effects of Hurricane Katrina.  The plant, which is on the Mississippi River a few miles south of Baton Rouge, was shut down on August 28 in anticipation of the storm.

Initial indications are that barge traffic on the river has resumed, and some of the rail transportation necessary for the movement of product remains uncertain.  The St. Gabriel plant will be restarted as soon as Pioneer's customers are ready to resume their operations and transportation means are available.  At this time, we anticipate that it will occur on or about September 4.

Michael Y. McGovern, Pioneer's President and Chief Executive Officer, stated, "The dedication and efforts of our St. Gabriel team will enable us to move quickly to restore the production of chlorine and caustic soda at the plant.  Those products will be essential in helping to rebuild the Gulf Coast area."

Pioneer, based in Houston, manufactures chlorine, caustic soda, bleach, hydrochloric acid and related products used in a variety of applications, including water treatment, plastics, pulp and paper, detergents, agricultural chemicals, pharmaceuticals and medical disinfectants.  Pioneer owns and operates four chlor-alkali plants as well as other downstream manufacturing facilities in North America.

Certain statements in this news release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act.  Forward- looking statements relate to matters that are not historical facts.  Such statements involve risks and uncertainties.  Actual outcomes may vary materially from those indicated by the forward-looking statements. 

DATASOURCE: Pioneer Companies, Inc.



CONTACT:  Gary Pittman of Pioneer Companies, Inc., [phone]



Web site:  http://www.piona.com/ 

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