Further to a previous announcement published on 26 April 2015 on Tadawul website regarding the joint venture agreement between the Advanced Metal Industries Co. AMIC and TOHO Titanium Company the National Industrialization Company Tasnee announces that AMIC which is owned equally by Tasnee and Cristal have completed on 02 March 2016 (22 Jumada Al Awwal 1437) all required procedures to establish the Advanced Metal Industries and Toho titanium Co., Ltd.
The new company will own and implement the titanium sponge production project with a capital of SR412.5 million where AMIC owns 65% of it and 35% owned by Toho Titanium noting that Tasnee's share in the new capital of the company is self funded.
The initial titanium sponge project capacity is 15,600 tons/year with estimated cost of $440 million. It is expected that the trial and commercial startup will commence during the second half of 2017. The titanium sponge project and the ilmenite smelter are major downstream projects in Tasnee titanium value chain.
The financial impact of this project is cannot be determined at this stage any major developments in the project will be announced in later dates.
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