Engelhard Acquires China-Based Syngas Catalyst Business
Tuesday May 31, 11:57 am ET
ISELIN, N.J.--(BUSINESS WIRE)--May 31, 2005--Engelhard Corporation announced today that it has acquired the syngas catalyst business of Nanjing Chemical Industry Corporation (NCIC), a wholly owned subsidiary of SINOPEC, one of China's largest integrated energy and chemical companies.
Engelhard acquired NCIC's syngas business operations, catalyst technology and Nanjing-based manufacturing assets. The purchase price was not disclosed.
Syngas, or synthesis gas, is typically produced from natural gas or coal and is becoming a crucial intermediate in the emerging gas economy. Syngas is used as a feedstock for high-value, chemical processes such as ammonia, hydrogen and methanol. It also can be combined with emerging downstream technologies for gas-to-liquids (GTL) processes, methanol-to-olefins (MTO) conversion, coal-to-liquids conversion and fuel cells.
"This acquisition will be modestly accretive to earnings and provide positive cash flow from operations in the first full year," said Barry W. Perry, Engelhard's chairman and chief executive officer. "It supports our growth strategy to broaden our competencies in surface and materials science and expand our portfolio of served markets and applications."
NCIC, China's leading syngas catalyst producer, has been a pioneer in the research and development of syngas catalyst technologies for China and world markets.
"With increased global demand for cleaner fuels, Engelhard recognizes the growing need to provide reliable technology solutions based on abundant natural gas," said Victor Sprenger, group vice president and general manager of Engelhard's process technologies. "Coupling NCIC's world-class syngas technology with Engelhard's global reach creates a powerful combination and expands our technology offerings to the world energy markets."
NCIC was founded in 1934 as one of China's earliest chemical-production facilities. NCIC specializes in the development and manufacture of chemical fertilizers, organic and inorganic chemical raw materials, catalysts and chemical fibers. NCIC is also engaged in scientific research, design, construction and installation of advanced chemical engineering projects throughout China.
Engelhard Corporation is a surface and materials science company that develops technologies to help customers improve their products and processes. A Fortune 500 company, Engelhard is a world-leading provider of technologies for environmental, process, appearance and performance applications. For more information, visit Engelhard in the Internet at www.engelhard.com
Source: Engelhard Corporation
Engineering News Archive