Huntsman and Zamil Group Proceed to Next Phase of New Morpholine and Diglycolamine® Agent Joint Venture in Saudi Arabia
EVERBERG, BELGIUM – Huntsman Corporation (NYSE:HUN) and Zamil Group Holding Company today announced they are proceeding to the next stage of their previously-announced feasibility study for a new morpholine and Diglycolamine® Agent (DGA) amines joint venture facility in Jubail, Saudi Arabia.
The planned joint venture, first announced 12 months ago, would operate the proposed plant on a 50:50 basis and would use technology licensed from Huntsman, with Huntsman also having the rights to global sales and marketing of products produced at the plant.
This final stage of the feasibility study includes detailed, front-end engineering plans and financial estimates and should be ready by mid-2011. Plant start-up is currently slated for the second quarter of 2014, subject to plan agreement by both parties.
Peter Huntsman, President and CEO of Huntsman Corporation said: “This significant planned investment would not only make Huntsman the most global supplier of DGA and morpholine but would also complement and extend our developing business footprint in the Middle East.” He added: “The Zamil Group Holding Company is a major petrochemicals and chemicals player in the region and we are absolutely delighted to be working with them again.”
Mr. Fahad Al-Zamil, President of Zamil Group Holding Company/Jubail Operations, said: “Our company manages a very wide range of innovative and high quality products and this joint venture testifies to the importance we give to high value-added chemicals in our portfolio.” He added: “We have many partnerships with Huntsman Corporation and we look forward to continuing to build on the successes of the past.”
About Morpholine and Diglycolamine® Agent:
Morpholine is a neutralizing amine used for preventing carbonic acid corrosion in plant or refinery steam condensate systems. Diglycolamine® Agent amine is used for removing carbon dioxide and hydrogen sulphide from refinery and production gas streams. Huntsman currently makes morpholine and Diglycolamine® Agent amines at its plants in Port Neches, Texas and Llanelli, Wales.
About Huntsman:|
Huntsman is a global manufacturer and marketer of differentiated chemicals. Its operating companies manufacture products for a variety of global industries, including chemicals, plastics, automotive, aviation, textiles, footwear, paints and coatings, construction, technology, agriculture, health care, detergent, personal care, furniture, appliances and packaging. Originally known for pioneering innovations in packaging and, later, for rapid and integrated growth in petrochemicals, Huntsman today has 11,000 employees and operates from multiple locations worldwide. The Company had 2009 revenues of approximately $8 billion. For more information about Huntsman, please visit the company’s website at www.huntsman.com.
About Zamil Group Holding Company:
Zamil Group Holding Company is a global investment company with diverse interests and capabilities. Across the continents it provides innovative, high quality and price competitive products and services as well as investment opportunities for investors, partners and stakeholders in the industrial, petrochemicals and services sectors. The wide range of products and services spans air-conditioning manufacturing to architectural glass processing, plastics to steel fabrication and paints and cranes to heavy process equipment. The company is also engaged in shipbuilding and repair, port operations and maintenance, petrochemicals and chemicals, industrial investment and general construction. The energy driving the company’s more than 60 sector businesses is the 12,000-strong workforce in more than 60 countries, vast manufacturing facilities and strong affiliations with numerous international partners. For more information about Zamil Group Holding Company, please visit the company’s website at www.zamil.com.
Forward Looking Statements:
Statements in this release that are not historical are forward-looking statements. These statements are based on management’s current beliefs and expectations. The forward-looking statements in this release are subject to uncertainty and changes in circumstances and involve risks and uncertainties that may affect the company’s operations, markets, products, services, prices and other factors as discussed in the Huntsman companies’ filings with the U.S. Securities and Exchange Commission. Significant risks and uncertainties may relate to, but are not limited to, financial, economic, competitive, environmental, political, legal, regulatory and technological factors. In addition, the completion of any transactions described in this release is subject to a number of uncertainties and closing will be subject to approvals and other customary conditions. Accordingly, there can be no assurance that such transactions will be completed or that the company’s expectations will be realized. The company assumes no obligation to provide revisions to any forward-looking statements should circumstances change, except as otherwise required by applicable laws.
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Note: Diglycolamine® is a registered trademark of Huntsman Corporation or an affiliate thereof in one or more, but not all, countries.
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