PT Cabot Indonesia, a subsidiary of Cabot Corporation (NYSE: CBT) announced today (1 June) that it will increase the capacity of its Merak carbon black manufacturing operation and has signed an agreement to purchase additional land near its Cilegon facility in anticipation of future capacity expansion at that site.
The expansion, when completed, will increase Cabot's total carbon black manufacturing capacity by 20%. The Company anticipates that the Merak expansion will be commissioned in mid-2011. The state of the art capacity will use Cabot's highly advanced energy recovery and environmental technologies.
Dave Miller, Executive Vice President and General Manager of Cabot's Core Segment said, ''These capacity expansions are a continuation of Cabot's long term commitment to meet our customers' growing demand for high quality carbon black products in Indonesia and throughout Asean. The Asia Pacific region is an important component of our global strategy and the planned expansions will allow us to build upon our already strong position in Indonesia. We appreciate the support of the Indonesian Government and Banten Province administration and its community in developing our carbon black business in Indonesia over the years."
