RICHMOND, Va. - Thursday, June 26th 2014 [ME NewsWire]
(BUSINESS WIRE)-- Afton Chemical Corporation will expand its global supply network with the addition of a new chemical additive manufacturing facility on Jurong Island, Singapore. Designed and located to support the growth of the Asia-Pacific and Middle East markets, the plant will start to produce components in January 2016 to support the next generation of additive solutions.
Construction will begin after a June 25th groundbreaking ceremony on Jurong Island. The site was selected after an extensive analysis focused on local infrastructure, market access, economics, safety, and logistics.
“Afton Chemical has been a key player in the lubricant and fuel additive industry for more than 90 years,” said Rob Shama, Afton President. “We have a strong commitment to Asia’s fast-growing economy, and this plant means we can improve service levels to all of our customers in the region and security of supply to all customers worldwide.” Shama added that existing plant operations in other regions will remain fully operational to supply the growing demand for Afton’s unique solutions.
“In recent years, we’ve intensified our focus on this important region, and our strategy to meet its needs,” said Damian Barnes, Vice President Supply. “Since 2008, we’ve opened two new sales offices, four local warehouses, and expanded our R&D facilities. And we’ll continue to explore opportunities to better serve the region,” he said.
Foster Wheeler Singapore will manage the engineering and construction. To support Afton’s Engine Oil business, the first operational unit will produce detergents for commercial use in 2016. Construction and startup of additional units to produce dispersants and anti-wear components will follow with full operation expected within the next five years. When completed, the plant will operate around the clock. There is also the opportunity to expand the plant further based on future market conditions.
“In addition to improved supply flexibility, this plant provides opportunities for ‘first intent products’ – products made in Asia-Pacific for Asia-Pacific,” Shama said. “That’s a positive investment for Afton and shows our intention to expand our ‘Passion for Solutions’ in this important region.”
Afton Chemical Corporation - part of the NewMarket Corp. (NYSE: NEU) family of companies, develops and manufactures petroleum additives that help fuels burn cleaner and more efficiently, engines run smoother, and machines last longer. We offer performance fuels and refinery chemicals, such as gasoline performance additives, diesel fuel additives, lubricity improvers, and cold flow improvers; driveline products, such as automotive gear oil and automatic transmission fluid; engine oil additives, such as passenger car engine, heavy duty diesel engine, and railroad and marine diesel engine oils; industrial products, such as antiwear and R&O hydraulic oils, industrial specialty chemicals, industrial gear oils, and grease. The company supports global operations through regional headquarters located in Asia Pacific, EMEAI, Latin America and North America. Afton Chemical Corporation is headquartered in Richmond, Virginia. For more information, visit AftonChemical.com.
Cautionary Note Regarding Forward-Looking Statements:
Some of the information contained in this press release constitutes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although Afton Chemical’s management believes its expectations are based on reasonable assumptions within the bounds of its knowledge of its business and operations, there can be no assurance that actual results will not differ materially from expectations.
Factors that could cause actual results to differ materially from expectations include, but are not limited to: availability of raw materials and transportation systems; supply disruptions at single sourced facilities; ability to respond effectively to technological changes in our industry; failure to protect our intellectual property rights; hazards common to chemical businesses; occurrence or threat of extraordinary events, including natural disasters and terrorist attacks; competition from other manufacturers; sudden or sharp raw materials price increases; gain or loss of significant customers; risks related to operating outside of the United States; the impact of fluctuations in foreign exchange rates; political, economic, and regulatory factors concerning our products; future governmental regulation; resolution of environmental liabilities or legal proceedings; inability to complete future acquisitions or successfully integrate recent or future acquisitions into our business and other factors detailed from time to time in the reports that NewMarket files with the Securities and Exchange Commission, including the risk factors in Item 1A, “Risk Factors” of our 2011 Annual Report on Form 10-K, which is available to shareholders upon request.
You should keep in mind that any forward-looking statement made by Afton Chemical in the foregoing discussion speaks only as of the date on which such forward-looking statement is made. New risks and uncertainties come up from time to time, and it is impossible for us to predict these events or how they may affect the company. We have no duty to, and do not intend to, update or revise the forward-looking statements in this discussion after the date hereof, except as may be required by law. In light of these risks and uncertainties, you should keep in mind that the events described in any forward-looking statement made in this discussion, or elsewhere, might not occur.
Afton Chemical Corporation
Lauren Ereio, Marketing Communications Manager