Specialty chemical firm Chemtura to establish bromine JV with India’s Archean Group
US specialty chemical firm Chemtura signed a deal to establish a strategic alliance, including a joint venture, in bromine and brominated derivatives with India-based Archean Group.
This alliance will build upon Archean’s marine chemical facility, located in the state of Gujarat in the Rann of Kutch, which produces sulphate of potash.
The alliance will develop in two phases, beginning with an initial long-term bromine sourcing alliance between the two companies that will provide Chemtura’s Great Lakes solutions business in the US with a strong position to respond to global customer demand from a cost-competitive, robust and consistent Indian supply position, it said.
In the second phase, the alliance will extend to a joint venture leveraging Chemtura’s technology strength in bromine and brominated derivatives and Archean’s reputation for maximizing the use of available resources while ensuring human and societal benefits, company officials said.
In addition, Archean has an excellent manufacturing management capability and an established position in sulphate of potash, which is supported by the state and central governments.
This alliance further strengthens the position of the Great Lakes solutions unit as the most versatile bromine and brominated derivatives supplier in the world, Chemtura said.
With its US operations capable of producing 100,000 tonnes/year of bromine annually, and with long-term access via strategic sourcing agreements for US brominated derivatives and to the Dead Sea’s bromine, the business will now add to its portfolio the ability to offer bromine from the Indian subcontinent, officials said.
“We have made significant investments in our US facilities in the form of brine infrastructure upgrades and retrofit of existing assets to produce innovative and sustainable flame retardants. This, coupled with expansion of our specialized container fleet, the strength of our existing brine field rights, the acquisition of certain brine leases in 2009, and the long-term viability of our existing brine wells, enhances our already solid position to sustainably deliver bromine and brominated derivatives from South Arkansas for decades to come,” said Anne Noonan, president of the Great Lakes business.
“The addition of a strategic supply position in India, coupled with our current long-term supply strengths in the US and from the Dead Sea, provides us with a unique supply footprint to market globally,” said Craig Rogerson, CEO of Chemtura.
“We remain committed to a sustainable position, leveraging our strength in innovation, manufacturing and customer focus to expand our global position," he added. "The recent launch of our new Emerald series of innovative and sustainable flame retardants, coupled with this strategic Asian footprint alliance, improves our ability to serve growing demand in our current industries and emerging high demand segments, such as mercury removal from coal-fired power station emissions."
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