OCI Nitrogen to sell stake in Beaumont ammonia, methanol plant

05 June 2013 12:18  [Source: ICIS news]

LONDON (ICIS)--Leading fertilizer producer OCI Nitrogen intends to sell a minority interest in the group's methanol and ammonia plant in Beaumont, Texas, the company announced on Wednesday.

Funds from the IPO will be used to repay existing debts and finance a major $100m (€76m) debottlenecking project at the plant, that was announced on 30 April.

The debottlenecking will increase the methanol plant's capacity to 875,000 tonnes/year when completed in the second half of 2014 and boost the facility's ammonia capacity by 15% to 292,000 tonnes/year.

In a short statement, the Netherlands-based group said it "expects that the initial filing of the registration statement will occur in June 2013", with the plant controlled by a "newly formed limited partnership (the MLP)".

"Subject to market conditions and final approval by OCI N.V.'s board of directors, OCI N.V. anticipates that a minority interest in the MLP will be offered in the IPO in the second half of 2013," the producer stated.

"The purpose of the IPO is to raise proceeds to repay outstanding indebtedness of the MLP and to fund expenditures relating to the Beaumont facility's planned debottlenecking project. Additional information will be included in the registration statement once publicly filed."

($1 = €0.76)

By: Richard Ewing
+44 208 652 3214

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