News

Polyester supplier Octal Holdings is targeting soft drinks and bottled water markets in Europe, the US and the Middle East with a 500,000 tonne increase in annual PET production within the next two years.

Oman-based Octal said the second phase of development at its PET resin and Apet sheet facility would more than double its annual capacity to 800,000 tonnes by May 2010, making it the largest polyester manufacturer in the region.

Octal entered the PET market in late 2006 with an initial investment of $300m (£150m). Initial capacity was 20,000 tonnes, with a further 10,000 coming online last September.

It expects to have 330,000 tonnes per annum capacity up and running by the end of 2008.

The increase in capacity will happen in two stages – 250,000 tonnes by March 2010, and the remaining 250,000 by the following May.

Octal said total investment in the site would rise to $1bn by the time the project was completed.

Chairman Saad Suhail Bahwan said: "Phase one saw our entry into Apet sheet. Phase two will be a major step forward in PET production, and phase three will complete the integration of the facility."

Octal Holdings will be demonstrating its sheets and resins at Interpack 2008, which starts next week at the Messe Düsseldorf. Octal will be on stand B19 in Hall 9. Interpack runs from 24 to 30 April.