29th Nov 2007 15:00
Johnson Matthey PLC29 November 2007 For release at 3.00 pm Thursday 29th November 2007 Johnson Matthey to build new Emission Control Catalyst Plants in Macedonia and the USA Johnson Matthey today announced that it is to build two new emission controlcatalyst plants to serve rapidly growing demand for its products in Europe andNorth America. The first of these major projects is a state of the art manufacturing facilitythat is to be constructed in the Bunardjick Technological and IndustrialDevelopment Zone, 15 kilometres from the Macedonian capital, Skopje. The newplant will be built to a modular design and the initial phase will incorporatehighly automated production lines for both light duty diesel autocatalysts andselective catalytic reduction (SCR) catalysts for heavy duty diesel vehicles. SCR utilises catalysts to reduce emissions of oxides of nitrogen, commonlyreferred to as NOx, from diesel vehicle exhaust. These systems also require aurea additive that is injected into the exhaust stream ahead of the SCRcatalysts. SCR systems are extensively used on heavy duty diesel vehicles inEurope to meet the current Euro IV heavy duty diesel emissions standards thatcame into force in the European Union in October 2006 and demand is forecast togrow strongly over the next few years. The initial investment in the Macedonian plant will be approximately £34 million(€48 million) and it will have capacity to produce 4 million catalysts per year. The second new plant will be constructed on a site near the town of Smithfieldin south west Pennsylvania and will be a dedicated facility to produce SCRcatalysts for the North American market. Stricter US 2010 Heavy Duty Dieselemission standards come into force on 1st January 2010 and most manufacturerswill use a combination of SCR, particulate filters and diesel oxidationcatalysts to meet them. Johnson Matthey will have a leading share of thisbusiness. In addition, emission standards for light duty diesel vehicles in theUS and legislation requiring catalysts on diesel non road mobile equipment suchas construction and agricultural machinery that will be phased in between 2011and 2014, will drive North American demand for SCR catalysts over the comingyears. Initial investment in the Smithfield facility will be £21 million (US$43million). The plant, which will have capacity to produce over one million ofthese large, complex heavy duty diesel catalysts per year, will be highlyautomated and use Johnson Matthey's latest production technology from around theworld. Both the Macedonia and USA facilities are expected to commence operation by theend of 2009. Commenting on these two major investments Neil Carson, Chief Executive ofJohnson Matthey, said: "I am delighted to announce these important additions toour global manufacturing infrastructure. Our long term commitment to R&D and todeveloping a full range of products for both heavy and light duty dieselemission control has placed us in a strong position in this rapidly growingmarket. Our new plants in Macedonia and in the USA will provide additional,state of the art manufacturing capacity to serve our customers in Europe andNorth America." Enquiries: Ian Godwin Director, IR and Corporate Communications 020 7269 8410 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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