GIC takes stake In Oman company
Gulf Investment Corp (GIC) has bought a 20 per cent stake in the $313 million Oman Polypropylene project.
State-run Oman Oil Company has a 60 per cent stake in the venture and South Korea’s LG 20 per cent. Last April ABB Lummus Global pulled out of the venture in which it had held a 20 per cent stake. Kuwait-based GIC is equally owned by the six GCC states. The 340,000 tonnes per year polypropylene plant is coming up in Sohar, Northern Oman.
Veco wins EPC contract
Abu Dhabi-based Veco Engineering has won a Dh146.8 million ($40 million) engineering, procurement and construction (EPC) contract from the Abu Dhabi Co for Onshore Oil Operations (Adco) for the Asab water injection project. The aim of the project is to upgrade the water injection system at Adco’s Asab field, leading to enhanced oil recovery. The duration of the contract is 29 months. Other bidders were France’s Technip, India’s Larsen & Toubro, Pakistan’s Descon, India’s Dodsal and Greece’s Consolidated Contractors.
AK Gulf formed
Aker Kvaerner has consolidated the activities of its two Saudi-based organisations, John Brown SA Ltd and Saudi Davy Company Ltd, into a new business, AK Gulf. AK Gulf is a subsidiary of AK Process, one of Aker Kvaerner’s core businesses serving the refining, chemicals and onshore oil and gas industries. Aker Kvaerner has been active for several decades in Saudi Arabia. AK Process, together with its new joint venture partner, Saudi Pan Gulf, will intensify its business development effort and further increase its presence in the region.
Boat factory planned
Emirates Craft has set up a 3,000-sq ft boat factory in Ajman with a production capacity of 300 vessels per year.
“The initial production plan involves producing 200 boats for the first year, increasing to 300 after getting the feedback on the locally designed crafts,” said Sultan A Al Shaali, Emirates Craft’s owner and CEO.
Emirates Glass wins big Dubai order
Emirates Glass has won a contract to supply more than 100,000 sq m of its EmiCool products to Jumeirah Beach Residence development, which is building 40 towers. Supply began in mid-December, and full delivery will be completed within nine months.
“This is indeed a very significant milestone that we have reached. The new supply contract has ensured that Emirates Glass has grown substantially over the years,” said Ziad Yazbeck, sales and marketing director. Emirates Glass recently invested around Dh16 million ($4.35 million) to acquire the world’s largest glass tempering furnace.
Industrial law approved
Industrial growth has been given a new push by GCC leaders at the Zayed Summit in Bahrain. They approved a Unified Industrial Law designed to increase co-operation, joint ventures and productivity. The law is aimed at promoting industrialisation in the GCC countries, said GCC Secretary General Abdulrahman Attiyah.
“It will help enhance the contribution of industries to the total gross domestic product (GDP) of the Gulf region,” he said.
Casco reducing surcharge
Cargo Airlines Sub-committee (Casco) members, numbering about 55 airlines, are set to reduce their fuel surcharge by 15 per cent with effect from January 3, 2005. This decision is due to the drop in oil prices on global markets. This drop will be the first in the upcoming year after the fuel surcharge was increased five times this year.
EIIC setting up plants
Emirates International Investment Company (EIIC) is investing Dh283 million ($77 million) for the construction of two factories in Abu Dhabi, one of which will manufacture polyester fibre while the other will make copper rods. The polyester factory will specialise in coloured fibre threads used in carpets. The production capacity of the Dh100-million plant will be 50 tonnes daily. Capacity at the copper rods factory will be 100,000 tonnes annually.
New steel plants to come up
BlueScope Steel, Australia’s largest steelmaker, is to build three new manufacturing plants in India at a cost of $77 million.
The company is also studying a possible joint venture with India’s Tata Steel on a metal coating and paint facility, a report said.
The new plants — at Pune, Chennai and New Delhi — will supply the growing Indian building and construction market. The first of the planned factories is expected to be completed in 2006.
Inventors win awards
Siemens has awarded its Inventor Prize to 13 outstanding researchers in the company. The electrical firm invested 5.1 billion euros in research and development in the last financial year.
Over 45,000 employees work in the research and development area worldwide.
The award-winning inventions include intelligent traffic systems, user-friendly hearing aids and video systems that react to the contents of images.
Worldwide, the company currently has over 48,000 registered patents.
Engine plant coming up
Japan’s Nissan and a local partner will set up a $362 million engine plant in southern China to help it sidestep hefty import tariffs on auto parts.
The plant, to be built in Guangzhou by Nissan Motor and China’s Dongfeng Automotive Investment, will start up in early 2006 and be run by their joint venture, Dongfeng Motor, both companies said.
China growth to hit 8pc
China’s economic growth could exceed nine per cent this year, said President Hu Jintao. China has set an 8 per cent growth target for 2005 and aims to peg inflation at around 4 per cent, illustrating its eagerness to steer the economy to a soft landing, government sources and analysts said.
Indian firm buys German unit
Bharat Forge Limited (BFL), the flagship company of India’s $1 billion Kalyani Group has acquired CDP Aluminiumtechnik of Germany.
The transaction has been concluded at the enterprise value of Ä6.30 million.
The CDP AT acquisition marks the entry of the company into the aluminium auto-component business, said B N Kalyani, chairman and managing director, Bharat Forge.
Honeywell to buy Novar
Diversified US manufacturer Honeywell has agreed to buy industrial holding company Novar, for £798 million.
Honeywell will offer 185 pence for each Novar share. Novar, which makes aluminium parts and bank cheques for the US market and electrical control devices for homes, offices and factories, has suffered from falling profits.
Doubts over Iran’s stake
The future of Iran’s 4.5 per cent stake in Germany’s ThyssenKrupp AG is uncertain after the group decided to end Iranian representation on its supervisory board, an Iranian official said.
Iran has been a major investor in the steel and engineering group for 30 years and is still its third-largest shareholder, with a stake worth about 360 million euros ($479.6 million). But ThyssenKrupp has been under pressure from the US to cut its ties with Iran.
VW plans new name
Europe’s biggest carmaker Volkswagen is considering changing its name to avoid confusion between the group — a holding company owning several carmakers — and its best-known brand, a report said.
Volkswagen — which apart from its namesake brand also owns Audi, Czech carmaker Skoda, Spain’s Seat, British luxury brand Bentley and others — has among other names considered renaming itself Auto Union, Germany’s Bild newspaper said.
