ZRX Zirax

RNS Number:6261H
Zirax PLC
14 November 2007




                  Zirax plc announces Opening of Rosignano plant


Zirax plc ("Zirax" or the "Company"), the AIM quoted speciality chemical company
focused on the development, production and sale of oilfield process chemicals
and de-icing solutions is pleased to announce the opening of the Rosignano plant
in Italy, which will significantly increase the Company's total capacity of
calcium chloride ("CaCl2") by 55,000 Metric Tonnes (MT) per annum. In total, the
Company has increased capacity by over 100% since 1 January 2006 and become the
second largest global supplier of CaCl2 pellets.


At our existing Volgograd facility, Zirax's expansion programme has already
increased total capacity by 35,000 MT per annum to 115,000 MT per annum,
following a $5m upgrade. Together with today's announcement the Company now has
a total capacity of 170,000 MT per annum. Zirax's CaCl2 pellets are specifically
manufactured from synthetic hydrochloric acid, generating ultra low contaminant
levels with 94-98% purity.


The opening of the Rosignano facility follows an agreement which Zirax signed
with Solvay SA ('Solvay'), the international chemical and pharmaceutical group,
in June 2006. Under the agreement, Solvay has built the new plant to produce
80,000 MT per annum of CaCl2 pellets, of which Zirax will acquire two-thirds of
all production, enabling the Company to meet the growing demand from the
oilfield process chemicals markets in nearby Africa and the Middle East, plus
target potential de-icing and industrial markets in Europe. The Company has
already begun marketing Zirax's products in these new markets by establishing
new relationships and developing existing ones, and is confident of the outlook
for the future.

The Rosignano production process is based on technology owned by Zirax and used 
at the existing Zirax plant in Volgograd, Russia, for which a technology license 
agreement was signed with Solvay.  The new production line will allow Solvay to 
broaden its present CaCl2 product portfolio and to consolidate its production 
capacity in Rosignano.


Commenting on this announcement, Valery Andosov, Chief Executive of Zirax said:

"We are delighted to be working with Solvay and are pleased that Zirax can
announce such a significant increase in capacity. Our calcium chloride pellets
are of the highest quality at 94-98% purity, with ultra low contaminant levels,
as a result of being manufactured utilising synthetic hydrochloric acid. The
opening of Rosignano has lifted us to being the second largest global supplier
of calcium chloride pellets and along with Volgograd has provided us with the
ability to cost effectively service the global market".


Commenting on this announcement, Giordano Zappelli, Business Manager Calcium
Chloride for Solvay said:

"With this new unit, Solvay Rosignano is becoming one of the world's largest
solid CaCl2 production sites, which further enhances its competitiveness. CaCl2
in pellets are a useful addition to Solvay's product range and will help to
better meet the needs of its customers. The timeliness of the launch of this new
production unit is yet another token of the seriousness and efficiency of our
long term co-operation with Zirax, who have proven to be a professional company,
strongly dedicated to the CaCl2 business."



About Zirax

Zirax is a speciality chemical company manufacturing and supplying oilfield
process chemicals and de-icing solutions to a global customer base. Zirax is the
second largest supplier of calcium chloride pellets globally and the leading
supplier in the Eastern Hemisphere. Zirax is quoted on AIM section of the London
Stock Exchange (ticker: ZRX), is headquartered in London and has supply sources
based in Western Europe and Russia. More information is available at http://
www.zirax.com



About Solvay

Solvay is an international chemical and pharmaceutical Group with headquarters
in Brussels. It employs some 29,000 people in 50 countries. In 2006 its
consolidated sales amounted to EUR 9.4 billion generated by its three activity
sectors: Chemicals, Plastics and Pharmaceuticals. Solvay is listed on the
Euronext 100 index of top European companies. Details are available at http://
www.solvay.com.


                                      Ends

Enquiries:


Zirax                           Valery Andosov, CEO         T: +7 (495) 730 9559
                                Fenlon Dunphy, CFO        T: +44 (0)20 7868 1694

Hanson Westhouse Limited        Tim Metcalfe              T: +44 (0)20 7601 6100
                                Richard Baty

Metropol (UK) Limited           Alexander Selegenev       T: +44 (0)20 7439 6880

Cardew Group                    Tim Robertson             T: +44 (0)20 7930 0777
                                David Roach

Solvay                          Fabio Novelli              T: +39 (0)229 092 211
                                Damiano Gornatti           T: +39 (0)586 721 191




                      This information is provided by RNS
            The company news service from the London Stock Exchange

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