Egyptian greenfield plant begins export of eco-friendly building materials

GlassRock Insulation Co., a portfolio company of Citadel Capital's regional mining platform ASCOM, is now targeting exports of stonewool to key markets in Europe, North Africa, the Gulf Cooperation Council countries and Turkey following the start of production at its greenfield facility in May 2012.

The company is also selling stonewool, a key component of greener buildings with lower environmental footprints, on the Egyptian market. GlassRock will additionally begin production of glasswool insulation in September.

Glasswool and stonewool are insulation materials that play an important role in the conservation of energy in a wide range of industries. By helping reduce waste energy, they curb the use of fuels that contribute to climate change through the emission of greenhouse gasses. The products are broadly used in the construction, HVAC, industrial, marine and automotive sectors as well as the agricultural sector.

"Our goal is to become a world-class provider of heat and noise insulation solutions," said GlassRock Insulation Co. Chief Executive Officer Bechir Dardour. "Energy-efficient building materials are the only option going forward in Egypt and around the world, and we are delighted to be part of the solution to the creation of a greener, more environmentally friendly future."

Buildings account for some 40% of the world's greenhouse gas emissions due to the energy they consume, according to estimates by the United Nations' Intergovernmental Panel on Climate Change.

Construction of the $70m greenfield GlassRock plant, located equidistant to Cairo and Alexandria in the Sadat City Free Zone, began in 2010. The facility has created 260 direct jobs and operates with world-class technology licensed from Italy's Tenova.

GlasRock's total annual production capacity will split as 30,000 metric tons of stonewool and 20,000 metric tons of glasswool.

Citadel Capital's effective ownership in GlassRock stands at 36.28%.