Huntsman Selects Geismar as Site for Maleic Anhydride Expansion
February 28 , 2006
THE WOODLANDS, TX -- Peter R. Huntsman, President and CEO of Huntsman Corporation (NYSE: HUN), announced the selection of Huntsman's Geismar, Louisiana site as the location for the Company's previously announced new 100 million pound world scale maleic anhydride facility. The Company will commence detailed engineering and reactor procurement immediately. Huntsman has chosen a fast track implementation model that will enable the plant to startup in the 3rd quarter of 2008.
Huntsman Vice President, Tom Fisher, commented, "We want to move as quickly as possible to respond to our customer's growing requirements and to help ensure the long term supply of maleic anhydride in North America. The Geismar site was chosen after evaluating six possible locations. Huntsman has a world scale MDI manufacturing complex at the site. We are confident that the Geismar site will provide the most attractive economics for the plant due to the feedstock availability and the ability to leverage off existing Huntsman infrastructure currently located at the Geismar site."
Maleic anhydride is the building block for unsaturated polyester resins used mainly in the production of fiberglass reinforced resins for construction, automotive and marine products. It is also used in formulations for oil additives, food additives, paper chemicals, epoxies, as well as other applications. Huntsman is a leading global producer of maleic anhydride and currently has the annual capacity to produce 240 million pounds at its Pensacola, Florida facility. Huntsman also owns a 50% interest in a joint venture in Moers, Germany that currently has an annual capacity of 125 million pounds.
Huntsman is a global manufacturer and marketer of differentiated and commodity chemicals. Its operating companies manufacture basic products for a variety of global industries including chemicals, plastics, automotive, aviation, footwear, paints and coatings, construction, technology, agriculture, health care, textiles, detergent, personal care, furniture, appliances and packaging. Originally known for pioneering innovations in packaging, and later, rapid and integrated growth in petrochemicals, Huntsman today has 11,300 employees, 57 operations in 22 countries and had 2005 revenues of $13 billion.
Statements in this release that are not historical are forward-looking statements. These statements are based on management's current beliefs and expectations. The forward-looking statements in this release are subject to uncertainty and changes in circumstances and involve risks and uncertainties that may affect the company's operations, markets, products, services, prices and other factors as discussed in the Huntsman companies' filings with the Securities and Exchange Commission. Significant risks and uncertainties may relate to, but are not limited to, financial, economic, competitive, environmental, political, legal, regulatory and technological factors. Accordingly, there can be no assurance that the company's expectations will be realized. The company assumes no obligation to provide revisions to any forward-looking statements should circumstances change, except as otherwise required by securities and other applicable laws.
