Bahrain:$40m copper manufacturing facility plannedby Ashleigh McGinley on Jan 13, 2016
Bahrain Mumtalakat Holding Company has signed an agreement with Mueller Industries and Cayan Ventures to build the first copper tube manufacturing facility in the Kingdom.
All three parties will invest around $40m in the facility, which will address the increasing demand for quality copper tubes in the MENA region.
Located at Bahrain International Investment Park (BIIP), the facility will produce commercial copper tubes to serve regional air conditioning and refrigeration and original equipment manufacturers.
Under the agreement, Mueller will be the technical and marketing lead in the venture with 40% ownership of the joint venture.
Mumtalakat, which will hold a 30% stake in the joint venture, will be responsible for providing on the ground support, including procuring regulatory approvals for establishing the business.
While, Cayan - which will also hold a 30% stake - will invest, structure and mobilise the project.
Commenting on the signing of the agreement, Mahmood Hashim Al Kooheji, CEO, Mumtalakat, said: "Significant demand for high quality copper tubes in the region, almost entirely supplied by East Asia, made a compelling case for establishing this facility, which will supply an ever-growing OEM production capacity and the fastest growing ACR market globally."
The new copper tube manufacturing facility will create over 200 jobs in Bahrain.
Mueller Industries CEO, Greg Christopher, said: "This mill will produce copper tube for the air conditioning and refrigeration markets and will have the capability to support the surrounding MENA region."
Cayan's managing partner, Thomas F. Stein, added: "Cayan Ventures is please to see this project move toward becoming a reality.
"This is the first copper tubing facility in the region and we expect to capitalise on the strength of the shareholders and the project's geographic positioning to ensure success."
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