BATON ROUGE, Louisiana, October 27 /PRNewswire/ -- Albemarle Corporation, www.albemarle.com, a global leader in the production of innovative specialty catalysts, announced today that it will form a 50/50 joint venture with Ibn Hayyan Plastic Products Company (TAYF), an affiliate of Saudi Basic Industries Corporation (SABIC), called Saudi Organometallic Chemicals Company (SOCC). Under the terms of the joint venture agreement, the two parent companies will build a world-scale organometallics production facility strategically located in the Arabian Gulf Industrial City of Al-Jubail.
SOCC will be the first company of its kind to produce these products in the region. The construction of the plant is expected to begin in the fourth quarter of 2009 with start-up anticipated by early 2012.
The new facility will have the capacity to produce 6,000 metric tons of tri-ethyl aluminum equivalents annually. Tri-ethyl aluminum is used primarily as a co-catalyst in Ziegler-Natta type systems for olefin polymerizations. The manufacturing joint venture will be established and uniquely positioned to ensure the effective delivery of tri-ethyl aluminum to the region's growing customer base.
Mark C. Rohr, chairman and chief executive officer of Albemarle said, We are excited to bring this enabling technology to the Middle East and we are equally pleased to be doing so in partnership with SABIC, one of the world's leading chemical companies. This new world-scale production unit will help us safely and efficiently serve our customers while also providing a foundation for Albemarle to capitalize on other opportunities emerging in the region.
SABIC vice chairman and chief executive officer, Mohamed Al-Mady said, This joint venture represents another step in our vision to become the preferred world leader in chemicals. Moreover, this facility will provide strategically needed security for the supply of tri-ethyl aluminum catalyst, which is critically required for our multi-billion dollar polyolefins industry.
Albemarle is a recognized leader in innovative organometallics technology with a longstanding reputation for superior product quality and reliability. The new SOCC joint venture and organometallics facility will further Albemarle's mission to expand its global footprint and promote the highest standards in health, safety and environmental practices while delivering value to its all of its stakeholders.
The new joint venture facility will feature Albemarle's state-of-the-art technology, proprietary safety expertise and premier logistical stewardship that are trademarks of our reputation as a respected leader in the global organometallics market, said Amy Motto, division vice president of Albemarle's polyolefin catalyst group.
Albemarle is the world's leading producer and marketer of organometallic compounds used in the production of polyethylene and polypropylene, synthetic rubbers and chemical synthesis.
Albemarle Corporation, headquartered in Baton Rouge, Louisiana, is a leading producer of specialty chemicals for consumer electronics; transportation and industrial products; pharmaceuticals; agricultural products; construction and packaging materials. The company's three business segments, Polymer Solutions, Catalysts and Fine Chemicals serve customers in nearly 100 countries, generating annual revenue of approximately US$2.4 billion. Learn more about Albemarle at www.albemarle.com.
About Saudi Basic Industries Corporation (SABIC)
Saudi Basic Industries Corporation (SABIC) ranks among the world's top five petrochemical companies. The company is among the world's market leaders in the production of polyethylene, polypropylene and other advanced thermoplastics, glycols, methanol and fertilizers.
SABIC's businesses are grouped into Chemicals, Polymers, Performance Chemicals, Fertilizers, Metals and Innovative Plastics. SABIC has significant research resources and has 15 dedicated Research and Technology and application centers in the Middle East, the Americas, Europe and Asia-Pacific. The company operates in more than 40 countries across the world with 33,000 employees worldwide. Learn more about SABIC at www.sabic.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding Albemarle Corporation's business which are not historical facts are forward-looking statements that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see Risk Factors in the Company's Annual Report on Form 10-K.
SOURCE: Albemarle Corporation
CONTACT: Media, Stephanie Dixon, +1-225-388-7904,Stephanie_Dixon@albemarle.com, or Investor Relations, Sandra Rodriguez,+1-225-388-7654, Sandra_Rodriguez@albemarle.com, both of Albemarle