Cabot to build carbon black plant in Dubai

28 May 2008 23:00  [Source: ICIS news]

HOUSTON (ICIS news)--Cabot plans to build a carbon black masterbatch plant in the Jebel Ali Free Zone of Dubai, the US company said on Wednesday.

The plant will have an initial production capacity of 25,000 tons/year with a provision to expand to 75,000 tons.

Production will begin in the third quarter of 2009, Cabot said.

Cabot said it has secured land for the project and construction will begin later this year. The company did not release the cost of the project.

Laboratories, administration offices, production and packaging will be located at the plant site, Cabot said.

The plant will allow Cabot to better meet the increasing demand of its customers in the Middle East, Europe and Asia Pacific regions, the company said.

In recent years, the Middle East has become a major producer of polyolefins and downstream compounds and by 2010 is expected to produce one-fifth of the world's polyethylene (PE) and polypropylene (PP), Cabot said.  That expanded polymers capacity signals a corresponding increase in demand for carbon black as a pigment and reinforcing element in plastics.

“Within the Middle East there is already strong demand for PE and PP compounds for use in building infrastructure for water supply, electricity and telecommunications projects,” said Sean Keohane, vice president and general manager for the company’s performance segment.

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By: Brian Ford
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