Borealis and Borouge are leading providers of innovative, value-creating plastics solutions and the new venture reflects the parties' aim to intensify cooperation in order to meet the growing demand for polyolefins and better serve customers in the promising North African market, in particular in the area of Energy & Infrastructure.
Capitalising on attractive growth opportunities
The new legal entity established for this dual-branded venture is owned by Borealis and registered in Morocco. The sales office's initial focus will lie primarily on the Energy & Infrastructure segment, where Borealis and Borouge have well-established track records in the region as preferred suppliers. The Morocco sales office will boost ongoing development of the existing Borealis specialty business and drive strategic expansion of Infrastructure business.
Another important area of focus is steering selective growth in consumer goods-related applications in Advanced Packaging & Fibre. The new on-site presence in Morocco also enables the provision of better service to customers in the region and the close monitoring of trends and developments in other segments of the North African market such as engineering and automotive applications.
"To achieve our strategic objectives in this promising market, it is essential to leverage growth by way of our successful Borealis-Borouge partnership," says Alfred Stern, Borealis Executive Vice President Polyolefins. "We can achieve greater economies of scale more quickly in selected segments and in key countries, and develop the supply chain in accordance with market requirements. Ultimately, we will be able to create value for our customers and better support their growth in this market by applying a joint Borealis-Borouge approach."
"There are many significant benefits to changing over to a direct sales channel system," explains Hazeem Sultan Al Suwaidi, Senior Vice President Middle East Africa, Borouge. "Establishing this dual-branded sales office in Morocco brings many important advantages to both Borouge and Borealis as it enables us to cultivate even better customer relationships and ensure a deeper understanding of the North African market potential."
Visit Borealis and Borouge at plast expo, the 6th International Plastics, Rubber and Composites Trade Fair, from 3 - 6 June 2015 at Plastexpo Fairground, Stand M4.1, sector B. 11. Rue Boukrâa, 20000 Casablanca, Morocco.
About Borealis and Borouge
Borealis is a leading provider of innovative solutions in the fields of polyolefins, base chemicals and fertilizers. With headquarters in Vienna, Austria, Borealis currently employs around 6,500 and operates in over 120 countries. It generated EUR 8.3 billion in sales revenue in 2014. The International Petroleum Investment Company (IPIC) of Abu Dhabi owns 64% of the company, with the remaining 36% owned by OMV, the leading energy group in the European growth belt. Borealis provides services and products to customers around the world in collaboration with Borouge, a joint venture with the Abu Dhabi National Oil Company (ADNOC).
Building on its proprietary Borstar® and Borlink™ technologies and 50 years of experience in polyolefins, Borealis and Borouge support key industries including infrastructure, automotive and advanced packaging.
The Borouge 3 plant expansion in Abu Dhabi will be fully operational in 2015. Borouge 3 will deliver an additional 2.5 million tonnes of capacity when fully ramped up, bringing the total Borouge capacity to 4.5 million tonnes. Borealis and Borouge will then have approximately 8 million tonnes of polyolefin capacity.
Borealis offers a wide range of base chemicals, including melamine, phenol, acetone, ethylene, propylene, butadiene and pygas, servicing a wide range of industries. Together with Borouge the two companies will produce approximately 6 million tonnes of Base Chemicals in 2015.
Borealis also creates real value for the agricultural industry with a large portfolio of fertilizers and technical nitrogen products. The company distributes approximately 5 million tonnes per year.
Borealis and Borouge aim to proactively benefit society by taking on real societal challenges and offering real solutions. Both companies are committed to the principles of Responsible Care®, an initiative to improve safety performance within the chemical industry, and contribute to solve the world's water and sanitation challenges through product innovation and their Water for the World™ programme.
For more information visit borealisgroup.com | borouge.com | waterfortheworld.net/.
Water for the World is a trademark of the Borealis group.
Borstar is a registered trademark of the Borealis group.