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Investments

From 2002 up to 2007, we have carried out substantial investments at our sites. To date, we have a combined production capacity of approx 27.000 mt/year (incl. Christol) and we plan for a future capacity of approx 32.000 mt (2009).

We started our investment programme in the Netherlands in 2002/2003 to increase the capacity. The installation included Stratco Contactor and more finishing and filling equipment. Two separate manufacturing lines for bentonite products have also been brought into operation. In connection with the investments in new capacity, we have implemented an upgrade of related equipment, i.e. reinforcement of the power supply with a new transformer and the exchange of electrical cabinets, a new larger thermal oil heater, increased storage capacity for base oils and new storage tanks for finished greases etc.

Construction work in order to achieve additional capacity started at our Dutch plant in 2005. A new production hall was built as an extension of the existing plant. This production hall includes the modular grease plant acquired by AXEL in 2004 with a second Stratco Contactor, which gives us an additional capacity of up to 4.000 mt annually. In connection with the new production hall, we have also built a warehouse of 1.500 m², including special storage area for hazardous materials. This was all commissioned in early 2006.

In Sweden the investments have mainly focused on increasing finishing capacity in order to improve flexibility and to make it possible to have an efficient production of a wider range of products. This involved internal logistics as well as material flow. New pump systems for base oils and additives have been installed and a new 700 m² warehouse was built. We have also made comprehensive investments within the environmental area such as a new embankment for our base oil tank yard and a new area for unloading base oils and other bulk raw materials.

We have also invested in a new production facility of 500 m² for new technology polymer greases. This is accommodated in a renovated old part of the factory building. Besides this, we continue with optimization and automation in the production.

In 2007, Christol Grease has enlarged its production site of greases for food processing industries by setting up a new production line dedicated to aluminium soap, in addition to the existing specific production unit for calcium soap.