Gasal, a Qatar Industrial Manufacturing Company (QIMC)-linked establishment, recently marked an important development with the signing of an agreement with Qatargas to supply gaseous nitrogen.

It will supply the nitrogen to Qatargas through Gasal’s pipeline in Ras Laffan Industrial City. The supplies will come from the YangoO2 air separation unit (ASU), which Gasal owns and operates. The new ASU was built in record time of 15 months and commissioned in December 2010 at a cost of $70 million.

Gasal is a joint venture between Air Liquide, Qatar Petroleum and QIMC.

Khalid Bin Khalifa Al Thani, CEO, Qatargas, said: 'We are proud to be associated with one of the important players in the energy sector like Gasal who provide industrial gases to the oil, gas and chemical downstream industries in Qatar. This example of cooperation and the subsequent synergy is one of the reasons behind our success and the success of Qatar’s energy sector.'

The new ASU, which has a daily production capacity of 750 tonnes of oxygen and 900 tonnes of nitrogen, has been supplying oxygen to Oryx GTL. Earlier, Gasal’s daily production capacity was 300 tonnes of oxygen and 405 tonnes of nitrogen.

Meanwhile, Qatar Acids Company, a fully owned subsidiary of QIMC, is increasing its sulphuric acid production capacity from 10,000 to 43,000 tonnes annually while Amiantit Qatar Pipes Company, a QIMC associate firm, increased its fibre glass pipe production capacity from 15,000 to 17,000 tonnes per year. Amiantit Qatar is owned 40 per cent by QIMC, 40 per cent by Anmiantit Saudi Arabia and 20 per cent by Trags.

New projects

An alumunium extrusion project promoted by QIMC is on the verge of commissioning at the New Industrial Area of Doha, according to a project official.

Qatar Aluminium Extrusion Company will have an annual production capacity of 8,000 tonnes. Aluminium logs will be used in the manufacturing process with the product portfolio covering a variety of non-coloured and coloured aluminium profiles.

Actual start of commercial operations will begin in the fourth quarter of the year, according to the official. The plant is being set up with a total investment of QR72 million ($19.77 million).

QIMC is the main shareholder with 40 per cent ownership.

Another QIMC-linked project under implementation is plant being set up by KLJ Organic-Qatar. It will produce high-quality chlorinated paraffin waxes (CPWs) for the export markets. CPWs are used as plasticisers in regional downstream plastic industries or in flame-retardant paints. As well as these waxes, KLJ Organic will produce caustic soda, hydrochloric acid, calcium chloride and sodium hypochlorite. KLJ Organic of India is the technology provider and a partner with 49 per cent equity share. QIMC holds the majority stake with 51 per cent.

The company is expected to start operations in Q1 2013.

A section of the Gasal plant

QIMC, established in 1990, was set up to promote the private sector, particularly small and medium businesses, and has equity of 20 per cent held by the Qatari government with the remaining stake in the possession of private parties. The company has six subsidiaries and eight associates. It fully owns three of the subsidiaries, namely National Paper Industries Company, Qatar Sand Treatment Plant and Qatar Acids Company.

In 2010, QIMC made a net profit of QR 202.5 million against QR144 million in the previous year, an increase of 40.6 per cent. The first quarter fetched a net profit of QR51.3 million against QR46.9 million in the corresponding period of last year.

Projects under study

QIMC has said it is studying several projects to determine whether they will be economically viable for implementation. It is interested in producing autoclaved aerated concrete, speciality PVC resins, ethylene diamines, thermal ceramics, ferro silicon and wood plastics composites and in the recycling and refining of aluminium dross.

With the smelter Qatar Aluminium in operation at Mesaieed Industrial City, the prospect for recycling and refining aluminium dross seems attractive. As QIMC sees it, the project if implemented will produce two marketable products to international specifications, namely aluminium sow ingots and three grades of oxides used in the steel industry. The green project is expected to reduce substantially the disposal rate of such wastes in landfills. QIMC says the project is under assessment with a European technology holder willing to provide the technology for a project it has described as promising.