Akzo to further expand Stenungsund ethylene amines output

01 December 2004 11:34  [Source: ICIS news]

LONDON (CNI)--Akzo Nobel is to further increase capacity at its Stenungsund, Sweden ethylene amines plant, the Dutch chemicals, coatings and healthcare group said Wednesday.

The increase, to be carried out during the second quarter of next year, will transform the site into one of the world's largest ethylene amines facilities.

Capital cost of the expansion was not revealed, although CNI understands it is likely to be in single digit millions of euros.

Akzo Nobel would not disclose the plant's existing or planned capacity but CNI believes the spring debottlenecking will raise capacity to about 88 000 tonne/year. Together with a debottlenecking project carried out in 2003, it will have boosted the plant's capacity by 25%.

When combined with current production in Germany, the Stenungsund increase will consolidate Akzo Nobel’s position as one of the largest producers of the full range of ethylene amines in Europe, and one of the leading suppliers for the global market.

"We have gradually increased our production capacity over the years and, with this latest development, we will continue to expand and build for the future, ensuring product availability in line with our customers’ needs around the world," said ethylene amines general manager Christina Tenfält.

Akzo said the global market for ethylene amines is estimated at about Euro600m ($800m) a year and is growing at an annual rate of around 3-5%, depending on the region.

Ethylene amines are key ingredient in the manufacture of detergents, paints, adhesives, pharmaceuticals, cosmetics, concrete and pulp and paper.

By: Neil Sinclair
+44 20 8652 3214

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