| Element List | Explanation |
|---|---|
| Introduction | With reference to the announcement published on Tadawul on October 30th, 2018 relating to the Ilmenite Smelter Project for the production of high-grade titanium feedstock (the ‘Plant’), The National Industrialization Company (TASNEE) announces that after turning off the furnace and the end of the cooling period that lasted for nearly a month, a root cause analysis carried out together with global experts resulted in identifying the causes of shutting-off the Furnace. Accordingly, a repair plan was devised and steps are underway to implement it with Outotec, the EPC Contractor with the support of Tronox under the Technical Services Agreement. Outotec will bear the costs of the design modifications. Accordingly, the plant is expected to restart during the second half of 2020. After the completion of the repair of Furnace 1, Advanced Metal Industries Cluster Company Ltd. (TASNEE subsidiary) intends that Furnace 2 will be commissioned (after completion of the commercial production of Furnace 1). |
| Previous Announcement | Delay of operation for Ilmenite Smelter Project for the production of high-grade titanium feedstock |
| Date of Previous Announcement on Tadawul's Website | 2018-10-30 Corresponding to 1440-02-21 |
| Progress | 20% |
| Event's Expected Completion Date | During the second half of 2020. |
| Reasons for Exceeding the Announced End Date | Assess the technical issue cuased the shut-down of the plant |
| Expenses Related to the Event, Whether They Changed or Not and Justification | Outotec will bear the costs of the design modifications. |
| Impact of the Delay on the Company's Financial Results | The financial impact of this project on TASNEE's consolidated results cannot be determined at this stage. Any further developments will be announced in due course. |
| Additional Information | Please note that TASNEE owns 50% of this Project and the rest is owned by Cristal (which is 79% owned by TASNEE). |
The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.