Business

New JV formed to serve GCC region

30 Sep 2020

Top officials during the signing of the joint venture agreement in Dubai on Wednesday.

Sajjad Ahmad, Gulf Today

Dubai: Japanese multinational, Kurita Water Industries, through its subsidiary Kurita Europe GmbH, an international leader in water and process specialty chemicals, and UAE-based AquaChemie DMCC, a leading regional process industry player, have signed a strategic agreement to set up a joint venture company, under the name of Kurita AquaChemie. The JV will leverage both companies’ complementary strengths for water and process treatment chemicals solutions for the refinery, petrochemicals, fertilizer, power and desalination, paper, and metal industries in the GCC region.

Kurita AquaChemie will be the single face for customers in the wider GCC region and is all set to offer solutions to customers, who will now benefit from technologically innovative Japanese programmes fully backed by local production, resources, and prompt customer service.

Kurita AquaChemie will operate two new production plants in Dammam, Saudi Arabia, and in Jebel Ali, Dubai, UAE. These two production sites were commissioned in H1 2020 and are expected to have a production capacity of about 230,000 metric tons per annum in the initial phase. Kurita will be the major shareholder in the new entity.

An agreement to officially form the new joint venture was physically signed in Dubai on Wednesday, by Lorenzo Carollo, CEO of Kurita Middle East, and SubratoSaha and V Anandkumar, Directors of AquaChemie DMCC, in the presence of top JAFZA officials.

MichiyaKadota, President of Kurita Group, Shingo Yamaga, Senior General Manager EMEA and Americas Operation of Kurita Group and Jordi Verdés, CEO of Kurita EMEA, other senior members from Kurita and AquaChemie and media representatives were present virtually, to commemorate the JV agreement ceremony.

The regional hydrocarbon industry has witnessed steady growth in the past decade, with new industrial process units being added. Water and process treatment specialty chemicals are essential additives for such units. The overall specialty chemicals market in the GCC region is currently pegged at more than $350 million.