Symphony Environmental Tech. PLC
29 April 2008
SYMPHONY ENVIRONMENTAL TECHNOLOGIES PLC
Distribution and Manufacturing Agreement for the Middle East -
Largest d2w(R) Volume Agreement to date
Symphony Environmental Technologies Plc ('Symphony' or 'the Group'), the
degradable plastics and waste-to-energy Group, is pleased to announce the
completion of a Distribution and Manufacturing Agreement ('the Agreement') with
the Fujairah Plastics Group ('Fujairah') of Sharjah, United Arab Emirates
('U.A.E.'), through its wholly-owned subsidiary, Symphony Environmental Limited.
The term of the Agreement is 15 years and is exclusive for specific grades of
newly developed d2w(R) degradable polymers to be distributed by Fujairah in the
territories of the U.A.E., Bahrain, Kuwait, Oman, Egypt, Libya, Syria and
Jordan.
The Agreement is in two phases. The first, the supply phase, is expected to be
for a period of up to 9 months, followed by the second phase, whereby Fujairah
will commence its own production under licence.
In the supply phase, Symphony will deliver d2w(R) polymers directly to
Fujairah's newly established operating company in the U.A.E., Ecopolymers
Company. A minimum commitment has been received from Fujairah for 500 tons of d2
w(R) polymer for delivery between 30th May and 20th August 2008. Once the
production phase is established, Fujairah is expected to produce volumes of more
that 500 tons of d2w(R) polymer monthly.
The Agreement is the largest for the distribution of d2w(R) polymer to date.
Khalid Al Kaabi, Managing Director - Fujairah Plastic Group (Sharjah) (U.A.E),
said:
'We are very pleased to announce the completion of this milestone Agreement with
Symphony for its environmentally responsible d2w(R) oxo-biodegradable plastic
technology. Fujairah is one of the largest and fastest growing carrier bag
producers in the U.A.E. and is concerned with the environmental effects of
plastic pollution caused by littering. The demand for a competitive eco-friendly
product is expected to be substantial and in the past week our volumes have
nearly doubled with the award of a new contract by the Sharjah Co-operative for
d2w(R) carrier bags. Our group is committed towards the protection of the
environment and we will therefore be encouraging our customers to change to d2w
(R) products. Fujairah has recently completed the construction of a new 100,000
sq. ft factory which will be the main operating base for the phase 2 production
unit and are committed to invest heavily into equipment, marketing and
distribution in the coming months. Fujairah will be taking a lead position in
the supply of eco-friendly oxo-biodegradable plastic products and polymers'
Michael Laurier, Chief Executive of Symphony Environmental Technologies plc,
said:
'This Agreement formalises a business relationship that has existed for more
than 4 years and sets the foundations for major expansion for both groups in the
region. We are delighted to have completed this Agreement with Fujairah Plastics
as it consolidates a major part of our Middle East marketing and distribution
strategy. With the second production phase, product cost will reduce as volumes
rise and stock turnaround times become more efficient.
We are looking forward to working closely with Fujairah and to rapidly complete
all phases of the project. We are honoured and delighted that Fujairah has
chosen Symphony as its project partner. This ambitious new project will make a
positive difference in helping to solve the problems associated with plastic
litter that is so often written about but misunderstood. d2w(R) is designed to
bring a low cost solution and without interrupting the long established supply
chains.'
For further information, please contact:
Symphony
Michael Laurier, CEO Tel: 020 8207 5900
Ian Bristow, FD
HB Corporate
Rod Venables Tel: 020 7510 8600
Further information on the Symphony Environmental Technologies Group of
companies:
SYMPHONY ENVIRONMENTAL TECHNOLOGIES PLC is a world leader in oxo-biodegradable
plastic technology. The technology is recognised by the d2w(R) droplet logo on
thousands of tonnes of oxo-biodegradable plastic products. In the last 12 months
it is estimated that more than 5 billion plastic products have been made with
Symphony's d2w(R) pro-degradant additives.
Symphony has a diverse and growing customer base and has successfully
established itself as an international business. Its d2w(R) products can already
be found in more than 60 countries. Symphony is proud to be a member of the
Oxo-biodegradable Plastics Association (www.biodeg.org).
Symphony is also developing innovative waste-to-energy technology and is
developing cost-effective processes to convert plastics, tyres and other waste
streams into valuable products.
Further information on the Symphony Group can be found at www.degradable.net
This information is provided by RNS
The company news service from the London Stock Exchange
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