ANGUS Chemical Company to Build R&D Plant to Validate Novel Nitroalkane Technologies

ANGUS Chemical Company (“ANGUS”), a wholly-owned subsidiary of The Dow Chemical Company (“Dow”), has announced that it is building a research and development (R&D) manufacturing plant to assist in the scale-up and validation of next-generation nitroalkane-based products. Located on the ANGUS manufacturing campus in Sterlington, La., the new facility will support the development of novel processes and products for more than seven market segments, including latex paints, metalworking fluids, dispersants and rubber shortstops.

The announcement underscores Dow’s strategy to strengthen its performance businesses, by prioritizing technology that supports high-value, end-use applications.

Nitroalkanes are an extremely versatile class of specialty chemicals that provide new, cost-effective synthetic routes to existing compounds, as well as highly efficient pathways to new compounds. According to Mark Henning, president and CEO of ANGUS, the company has plans for several new products in various market applications that it will validate using the new plant.

“Innovation is a key component of our growth strategy and the strengthening of our leadership position in nitroalkane chemistry and its corresponding downstream derivatives,” Henning said. “This plant will allow us to efficiently test the market validity of new technologies so we can continue providing customers with next-generation products to help them differentiate and grow.”

Dow is making a $10-million capital investment for plant construction, which is expected to break ground in 2008 with product validation beginning in 2010.

Sterlington is the flagship manufacturing facility for ANGUS, the world’s only supplier of nitroalkane-based chemistry. The manufacturing plant produces more than 40 specialty products going into a wide variety of industries ranging from metalworking fluids to paints and coatings, pharmaceuticals and personal care products. In 2005, ANGUS completed a multi-million dollar investment project at the Sterlington site. The capacity expansion projects enabled ANGUS to increase volume for several products, including 2-Nitropropane and AMP™ co-dispersant and neutralizing amine.