Emirates Extruded Polystyrene (EEP), a joint venture company of Dubai Investments and Farha Brothers of Cloisall Co. LLC, was inaugurated today (September 12, 2007) by Khalid Kalban, Chairman, EEP Board of Directors, and Managing Director and CEO of Dubai Investments. The operations of EEP would be supervised and monitored by Dubai Investments Industries, which is a wholly owned subsidiary of Dubai Investments.
The new plant commenced commercial production of extruded polystyrene sheets (XPS) in the first week of September 2007 after a successful trial run and commissioning, infusing a fresh annual supply of 2,500 metric tons of XPS to the UAE and GCC markets. EEP's entry is poised to help address the predicted sharp surge in demand for insulation materials within a six-year period ending 2012, spurred by the region's large-scale construction boom.
"Emirates Extruded Polystyrene has been established in support of the UAE and the rest of the region's rapid economic growth. Our extruded polystyrene sheets are produced according to the highest quality standards, ensuring excellent performance in any construction project," said Khalid Kalban.
"Emirates Extruded Polystyrene has invested in top-of-the-line technology and management practices, and boasts a highly qualified staff to maintain the excellent quality of our products and production processes," added Kalban.
EEP manufactures XPS under the brand name E-FOAM, whose main application is for heating insulation, anti-impact material and major construction elements. Other EEP brands are E-Roof, E-Wall and E-Floor.
Demand for insulation material in the GCC during the period 2006-2012 is expected to top 1.075 million cubic meters, or equivalent to 37,627 tons. The strong demand has been boosted by a UAE Federal Law that enforces the use of energy-saving and environment-friendly building materials in the construction industry, which has made XPS mandatory for the insulation of roofs, walls and foundations.
"Emirates Extruded Polystyrene has secured environmental compliance in all stages of production, with all residual matter from the manufacturing process recycled with the original raw materials to achieve zero wastage. It is our pleasure to help the region grow economically, and also promote energy-efficient and sustainable means of development," said Kalban.
EEP is gearing up for a robust market performance after signing an Off-take Agreement with Cloissal Co. for offtake of 50 per cent of the manufactured products. Other reputed local and international dealers have also approached EEP to strike long-term deals.
With strong growth prospects, EEP has prepared an early expansion plan, aiming to add a second production line that will significantly increase total output of the EEP plant, which sits on a 6,235-square metre plot in Dubai Investments Park.
Dubai Investments owns 51 per cent of EEP shares, while Farha Brothers of Cloisall Co. LLC has an equity participation of 49 per cent. EEP's Board of Directors also includes Vice Chairman Ghaleb Farha, and Directors Shukri Muhairi, Majed Farha and Mustafa Kamal Khan.
© 2007 Al Bawaba (www.albawaba.com)
