Afton Chemical Announces Phase 3 Investment in the Singapore Chemical Additive Manufacturing Facility to Add GPA Blending Cap...
August 25 2020 - 10:15PM
Business Wire
Afton Chemical Corporation, a global leader in the lubricant and
fuel additive market, has received approval from the Afton Chemical
board to invest in Gasoline Performance Additives (GPA) blending
capabilities at its Singapore Chemical Additive Manufacturing
Facility.
The investment is part of Afton’s “Made In” strategy that
focuses on globally lean supply chain solutions that enable quicker
support and more effective supply to its customers in Asia. It will
also provide the additional infrastructure required to support the
company’s long-term global growth plans.
The demand for GPA in Asia Pacific is expected to grow at a
compound annual growth rate of 4% through 2024. “The additional GPA
blending capacity in Singapore will help satisfy the increase in
demand driven by the expected growth in China and other parts of
Asia,” said Mr. Sean Spencer, Vice President and Managing Director
of Afton Chemical Asia.
Afton has invested approximately S$400 million in the Singapore
Chemical Additive Manufacturing Facility. The decision to continue
Phase 3 investment is due to the integrated petrochemical hub in
Singapore and trade connectivity to all parts of Asia and the
Middle East. The Singapore government and Economic Development
Board has been providing strong support to Afton from the start of
its “Made In” investment in the region.
The new unit will help Afton and, in turn, our customers,
by:
- Developing cost-effective and customized solutions for the
region that will allow our customers a competitive edge in their
markets
- Strengthening our ability to serve our customers worldwide and
support their future growth
- Connecting our capacities globally to support regional and
global business continuity, providing security of supply and
shorter lead-times
The new blending unit will be operational by the fourth quarter
of 2021 and designed to comply with Quality, Environmental and
Occupational Health and Safety Assessment and all applicable
regulations. This investment complements the blending and terminal
operations in the Americas and Europe.
Afton is a global market leader in performance additive
technology for fuels. Afton’s GPA solutions help fuels burn cleaner
and more efficiently, enabling engines to perform as designed
during their equipment lifetime on fuel economy, power and
acceleration.
In Asia Pacific, Afton has established two fuel and lubricant
additive Technology Centers in Suzhou, China and Tsukuba, Japan
that provide Afton’s customers with enhanced technical services,
including sample blending, physical and chemical analysis, and
performance testing.
The continued investment in the manufacturing facilities and
technology centers in the region underscores Afton’s commitment to
providing increased customer support to the fast-growing GPA
business in Asia Pacific.
About Afton Chemical Corporation:
Afton Chemical Corporation is part of the NewMarket Corporation
(NYSE: NEU) family of companies. Afton Chemical Corporation uses
its formulation, engineering and marketing expertise to help their
customers develop and market fuels and lubricants that reduce
emissions, improve fuel economy, extend equipment life, improve
operator satisfaction and lower the total cost of vehicle and
equipment operation. Afton Chemical Corporation develops and sells
an extensive line of unique additives for gasoline and distillate
fuels, driveline fluids, engine oils and industrial lubricants.
Afton Chemical Corporation 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
www.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
NewMarket’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, the availability
of raw materials and distribution systems; disruptions at
production facilities, including single-sourced facilities; hazards
common to chemical businesses; the ability to respond effectively
to technological changes in our industry; failure to protect our
intellectual property rights; sudden or sharp raw material price
increases; competition from other manufacturers; current and future
governmental regulations; the gain or loss of significant
customers; failure to attract and retain a highly-qualified
workforce; an information technology system failure or security
breach; the occurrence or threat of extraordinary events, including
natural disasters, terrorist attacks, and health-related epidemics
such as the COVID-19 pandemic; risks related to operating outside
of the United States; political, economic, and regulatory factors
concerning our products; the impact of substantial indebtedness on
our operational and financial flexibility; the impact of
fluctuations in foreign exchange rates; resolution of environmental
liabilities or legal proceedings; limitation of our insurance
coverage; our inability to realize expected benefits from
investment in our infrastructure or from recent or future
acquisitions, or our inability to successfully integrate recent or
future acquisitions into our business; and the underperformance of
our pension assets resulting in additional cash contributions to
our pension plans; 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 2019 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 NewMarket in the foregoing discussion speaks only as of the date
on which such forward-looking statement is made. New risks and
uncertainties arise 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.
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version on businesswire.com: https://www.businesswire.com/news/home/20200825005959/en/
AP: Chong Kit Lee on +65 6739 6330 or
KitLee.Chong@AftonChemical.com EMEAI: Kate Edrupt on +44 1344
356823 or Kate.Edrupt@AftonChemical.com NA: Lauren Packard on +1
804 788 6081 or Lauren.Packard@AftonChemical.com
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