On October 6th 2012, in the presence of the Prime Minister of Malaysia, CJ and Arkema invited 500 guests for the Ground Breaking Ceremony of their project in Kerteh, in the State of Terengganu in Malaysia.
After several years of studies, the construction of the first Bio-Methionine plant in the world and Thiochemicals Platform in Asia officially started, right on schedule.
Arkema owns an in-house production process of Methyl Mercaptan, a sulfur-based intermediate that is used in the production of Methionine. CJ owns a new innovative and highly competitive industrial bio-fermentation process to produce L-Methionine, a bio-amino acid for animal feed, from renewable raw materials. The combination of CJ & Arkema’s expertise will bring both innovation and a state-of-the-art manufacturing plant offering superior service and performance to the customers. The plant is scheduled to come on stream by end 2013.
Total investment amount for the joint project is about $450 million, where CJ will build and operate Bio-Methionine plant and Arkema will build and operate Thiochemical plant. Upon completion, Arkema will supply a key raw ingredient to CJ for the production of Bio-Methionine. When completed, the facility will be able to produce 80,000 metric tons of Bio-Methionine additives for poultry and 50,000 metric tons of sulphur derivatives for the petrochemical markets.
This project reaffirms the strategy and commitment of both companies to be a worldwide leader in their fields of expertise, namely animal feed for CJ and specialty chemicals for Arkema.
“This significant project will strengthen and consolidate our position as the world leader in sulphur chemicals and allow our company to meet the growing needs of our customers & partners from petrochemicals, animal nutrition and oil & gas markets in Asia,” declared Marc Schuller, Executive Vice President of Arkema.
“This project will put CJ as the global leader in feed amino acid industry as it will be the only company in the world to produce four major feed amino acid products in their natural form. This is only the beginning as CJ leads the way with further innovation to renew our earth by developing environmentally beneficial products.,” commented by Chul-Ha Kim, CEO of CJ CheilJedang.
The choice of the site went to Kerteh because of its excellent logistical infrastructures and the availability of utilities and raw materials at competitive prices. During this ceremony, CJ and Arkema representatives officially expressed their gratitude to the Malaysian Administration for their support in this project.
A global chemical company and France’s leading chemicals producer, Arkema is building the future of the chemical industry every day. Deploying a responsible, innovation-based approach, we produce state-of-the-art specialty chemicals that provide customers with practical solutions to such challenges as climate change, access to drinking water, the future of energy, fossil fuel preservation and the need for lighter materials. With operations in more than 40 countries, some 14,000 employees and 10 research centers, Arkema should generate annual revenue of approximately €6.5 billion, and holds leadership positions in all its markets with a portfolio of internationally recognized brands.
A global food, feed, and bioscience company, CJ CheilJedang is the leading global industrial biotech company that makes products that enhance health and lifestyle of people’s daily life. CJ is world’s leading producer in major feed amino acids, such as Lysine, Threonine, Tryptophan to help improve animal nutritional diet. Also, CJ is the global No.1 producer of nucleic acids used as flavour enhancers. By year 2014, CJ will have manufacturing platforms in four global geographical regions and will operate in 6 continents around the world. As a socially responsible company, CJ strives toward practicing reducing carbon footprint by utilizing renewable raw materials, by developing energy efficient processes, and by minimizing waste into the environment.