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Ube Ammonia Industry to Entrust Plant Operations to Ube Industries


TOKYO - Ube Industries, Ltd. and Ube Ammonia Industry, Ltd. today announced that they have decided for the latter to entrust its plant operations to Ube Industries effective October 1, 2013. The service agreement includes Ube Industries overseeing all plant operations including the manufacturing of ammonia and other raw materials and ensuring the safety of manufacturing facilities.

Ube Ammonia Industry manufactures ammonia and other raw materials including carbon dioxide, oxygen, and nitrogen, for sale to its investor companies.

Ube Industries externally markets products it procures from Ube Ammonia Industry, and uses ammonia as the main raw material for manufacturing caprolactam used to produce nylon. Additionally, Ube Industries uses carbon dioxide, oxygen, and nitrogen as chemical raw materials and for utility use.

Under the agreement, Ube Industries will establish the Ube-Fujimagari Factory within the grounds of Ube Ammonia Industry to take over plant operations. The Ube-Fujimagari Factory will lease facilities from Ube Ammonia Industry to engage in manufacturing and conduct all plant operations including facilities maintenance and safety administration.

Ube Ammonia Industry will take possession of ammonia and other products and utilities manufactured by the Ube-Fujimagari Factory, continuing to selling them to its investor companies.

Ube Industries will position the new Ube-Fujimagari Factory alongside its three existing chemical factories, the Ube Chemical Factory, Chiba Petrochemical Factory, and Sakai Factory. The company will aim to develop and secure human resources for the ammonia business and engage in skills transfer, and through stable operation reduce manufacturing costs and take steps to further enhance revenues for ammonia, which is a critical raw material for the caprolactam and nylon chains.

Data for Ube Ammonia Industry, Ltd.

Location 2575, Fujimagari, Ube, Yamaguchi 755-0057
Capital Stock 4 billion yen
Shareholders Ube Industries, Ltd.(50.6%), Central Glass Co., Ltd.(22.5%), KYOWA HAKKO BIO CO., LTD.(16.9%),
Seibu Oil Company Limited(10.0%)
Representative Junichi Misumi
(Managing Executive Officer and General Manager of Production & Technology Division, Ube Industries, Ltd.)
Established June 1969
No. of Employees 98 (As of April 1, 2013)
Production facilities Manufacturing facilities for ammonia, carbon dioxide, liquid oxygen, liquid nitrogen, and liquid argon.


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