Huntsman expands MDI capacity
Huntsman has announced that it will significantly increase its MDI capacity. The initiative involves expansions at the facilities located in Geismar, Louisiana and Rozenburg, Netherlands. The capacity of the Geismar plant will be expanded by ca 58,967 t (130 million pounds) per year to 449,056 t (990 million pounds) per year, while the capacity of the Rozenburg plant will be expanded by 99,790 t (220 million pounds) per year to 399,161 t (880 million pounds) per year. The capacity expansions will be completed in increments beginning in the first quarter of 2005, with final completion expected by late 2006. Total capital spending in 2005 for these projects is included in Huntsman’s previously disclosed USD 400 million total capital budget for 2005. These expansions are in addition to Huntsman‘s previously announced investment in an MDI joint venture project in Caojing, Shanghai, China, which is due to come on stream in mid-2006 and will provide an additional 265 million pounds per year of MDI. Following the completion of the Geismar and Rozenburg expansions and the Caojing joint venture project, Huntsman’s total MDI manufacturing capacity is expected to exceed 952,543 t (2.1 billion pounds) per year.