30 September 2013 17:19 [Source: ICIS news]
LONDON (ICIS)--Arkema and Saudi investment company Watan Industrial Investment have signed an agreement to construct an organic peroxides production site at Al Jubail in Saudi Arabia, the France-based specialty chemicals producer said on Monday.
The facility, which requires investment of about $30m (€41m), will be the first organic peroxide plants to be built in the Middle East.
Organic peroxides are widely used as polymerisation initiators in the thermoplastics industry, Arkema said.
The joint venture will be majority held by Arkema, with Watan overseeing the operational management and sales from the site. The plant’s startup is scheduled in the first months of 2015.
Capacity details were not disclosed.
Arkema said the investment will help improve its foothold in the organic peroxides market, “and illustrates its strategy to expand its High Performance Materials segment and strengthen its presence in fast-growing countries, where the group aims to achieve 30% of its sales by 2016”.
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