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Evonik to build new Biolys plants in Brazil and Russia

18 June 2012

Specialty chemicals company Evonik Industries is planning to build new Biolys feed additive plants in Brazil and Russia.

"Klaus Engel, Evonik Industries chairman, said the construction of the new facilities is part of the company's growth strategy."

The Russian plant will use wheat from the Rostov region as its source material, while the Brazilian plant will use corn.

The Brazilian plant will be based in the state of Parana, at the Castro site owned by US company Cargill.

Both Biolys plants are expected to have the capacity to produce nearly 200,000mtpa in total from 2014.

The total investment cost for the Biolys plants are expected to reach approximately €350m.

Klaus Engel, Evonik Industries chairman, said the construction of the new facilities is part of the company's growth strategy.

"It is intended to significantly expand our market position and competitive standing for the feed amino acid L-lysine," Engel added.

Construction work is also underway to expand Evonik's Biolys plant in Blair, US, with completion expected by the third quarter of 2012.

Evonik also produces essential amino acids for modern animal nutrition including MetAMINO (DL-methionine), ThreAMINO (L-threonine) and TrypAMINO (L-tryptophan).

A new methionine plant is currently under construction in Singapore, while capacity expansions have been implemented for TrypAMINO and ThreAMINO plants.