Kemira to Build Coagulant Plants in Germany and Spain

11 February 2011

Key highlights

Investment is EUR 40 million.
Plants expected to be operational in 2012.
Kemira will use HCl from Bayer's polyurethane production.
Existing plants in the Netherlands and Spain will be restructured.

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Investment and Timeline

Kemira is investing EUR 40 million to build two new coagulant plants in Germany and Spain. These plants are expected to be operational by 2012.

Strategic Partnership

Kemira has formed a strategic partnership with Bayer MaterialScience to purchase hydrochloric acid (HCl), a by-product of Bayer's polyurethane production. This HCl will be used to produce coagulants for water treatment applications, including drinking water and wastewater treatment.

Plant Locations and Restructuring

The new coagulant plants will be located next to Bayer MaterialScience's isocyanate production plants in Dormagen, Germany, and Tarragona, Spain. Concurrently, Kemira will close its existing coagulant plant in Europoort, the Netherlands. In Spain, the coagulant manufacturing in Tarragona will be moved to the new plant in the Bayer Industrial Park.

Personnel Impact

Kemira has informed the Works Councils about the restructuring plan and started co-determination negotiations in Spain and the Netherlands. The impact on personnel is minor, as most employees will be able to transfer to other positions within Kemira.