José de Mello Group’s industrial chemicals area is investing €55 million to strengthen its position in the Iberian market.
CUF has concluded an investment agreement with Solvay for the construction of a production plant of chlorine, caustic soda, sodium hypochlorite and hydrochloric acid in the industrial site which this multinational chemical company has in Torrelavega, in the Spanish region of Cantabria.
CUF will invest €55 million in the acquisition of some of Solvay’s production units and in the construction of a new chlorine production plant using membrane technology, which is most modern and environmentally friendly technology, and which CUF already uses in its Estarreja plant for several years.
The plant, which will have a production capacity of 68,000 tons of chlorine, will allow CUF to pursue its strategic goal of becoming one of the leading Iberian producers in the chlor alkali value chain.
According to João de Mello, Chairman of the Board of CUF «With this strong investment in Spain, CUF strengthens its leading position in the Iberian market of chlorine and chlorine products, in line with its strategic goal.»
In addition to the purchase-sale of assets and other agreements, the companies entered a lease for industrial soil and a services agreement, whereby Solvay will ensure industrial maintenance and lab support, amongst other services, as soon as CUF will start up its new membrane technology chlorine plant, which is expected to occur within 24 months.