Chemical Engineering
AccountGuest Edition My Account My Log In
Email Email Print Print
Clip Clip & File

Only on :: Latest News

January 22, 2014

Cristal & Tasnee announce JV with Toho

Gerald Ondrey

The National Industrialization Co. (Tasnee; Riyadh, Saudi Arabia; and The National Titanium Dioxide Company Ltd. (Cristal; Kuwait; have signed an agreement to establish a joint venture (JV) company with Toho Titanium Company Ltd. (Toho). Through SIDF/local funding the new company will invest a total of $420 million, including startup expenses, to construct a 15,600 metric ton per year titanium-sponge-production facility in Yanbu Industrial City, KSA.

The new facility will be built adjacent to Cristal’s existing titanium dioxide plant in Yanbu Industrial City. Cristal’s titanium dioxide plant will supply the new production plant with titanium tetrachloride. The strategic objective of the new JV company is to produce high quality titanium sponge at a competitive cost by benefiting from the economies of scale and integrated synergies resulting from Cristal’s existing Yanbu operations and Toho’s advanced production technology.

Talal Al-Shair, vice chairman of Tasnee and the chairman and CEO of Cristal, says: “This joint venture marks an important step in progressing our strategic vision for an integrated titanium value chain. By partnering with Toho and building on their outstanding advanced production technology we are together going to build a facility that will produce high quality titanium sponge at a very competitive cost. This is truly a breakthrough opportunity and will allow us, together with our partners, to produce top quality titanium products.”

The new company, which will consist of an equity shareholding of 32.5% for Cristal, 32.5% for Tasnee and 35% for Toho, is also expected to create more than 160 highly skilled direct jobs in Yanbu. This builds on the over 300 new skilled direct jobs that Cristal has recently created in the Kingdom as part of its slagger project in Jazan Economic City. It is expected that the new facility will start to ramp up commercial production in Q2 2017 with completion in Q1 2018.

Add a Comment


Please enter the letters or numbers you see in the image. (refresh)

Related Stories

LinkedIn Groups

Our LinkedIn group is now over 28,000 members strong!

  1. Join other CPI professionals from all over the globe and share best practices, expertise, concerns and more.
  2. Provide feedback to Chemical Engineering Editors

Current members represent Worley Parsons, DuPont, SABIC, Fluor, Air Products, LyondellBasell, Nalco, Dow Chemical, Dow Corning, BASF, Jacobs Engineering, ExxonMobil, Shell, Chevron and more.

Join Now

We also offer the following subgroup for more targeted discussions:

Search the Buyers' Guide

Plant Cost Index

Facts at Your Fingertips (archive)

Ask the Experts

Back Issues
To access this area, please log in or create an account.
Forgot your password?
Request it now.
Live chat by BoldChat