GlassRock Insulation Co. Launches Energy-Saving Locally Produced Glasswool Bringing Total Production Capacity up to 50,000 Metric Tons

New production line will produce 20,000 metric tons per year of glasswool, bringing the GlassRock plant's total production capacity up to 50,000 metric tons. The company has the potential to become a key Egyptian exporter while playing an important role in introducing energy-efficient, environmentally friendly solutions to the local market.

GlassRock Insulation Co., a portfolio company of Citadel Capital’s regional mining platform ASCOM, has successfully completed the commissioning phase of its new glasswool production line and has now commenced with production, marketing and sales of its energy-efficient insulation material in local, regional and international markets.

GlassRock’s total annual production capacity is 50,000 metric tons split as 30,000 metric tons of stonewool and 20,000 metric tons of glasswool.

The 20,000 metric tons per annum of glasswool insulation that will be produced in GlassRock’s Sadat City Free Zone plant is manufactured with primarily local materials. In September 2012, GlassRock announced the launch of its first stonewool production line, (also known as rockwool), a key component of greener buildings with lower environmental footprints. The company, is now targeting exports to key markets in Europe, North Africa, the Gulf Cooperation Council (GCC) countries and Turkey.

“We are exceptionally proud to be manufacturing these strategic insulation materials, which can be used as both residential thermal insulation and as acoustic insulation,” said GlassRock Insulation Co. Chief Executive Officer Bechir Dardour. “Our products, whether stonewool or glasswool, can help to significantly reduce the impact of the energy crisis that Egypt is currently facing,” he added.

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. According to Dardour, the insulation materials produced by GlassRock are also the best way to reduce the impact of CO2 (carbon dioxide) emissions.

GlassRock insulation products can be used in a wide range of settings that harness their remarkable thermal, acoustic and fire protection properties. Glasswool and stonewool can be used to insulate new and existing buildings of all types — be they residential, commercial or public. Common industrial applications include: large diameter pipe insulation; insulation of tanks and vessels; insulation for boilers and turbines; and critical marine and offshore installations including fire and acoustic insulation in ships and oil rigs.

Glasswool and rockwool products are also used in household appliances, caravans and cold storages, as well as in the agricultural sector, where they are used as substrate slabs and improve the consumption efficiency of fertilizers.

“Equipped with the necessary international quality certifications, we are perfectly positioned to compete on the export market in the GCC, Turkey and Europe,” said Dardour. “Our current production capacity will give us enough volume to become major players in the glasswool and stonewool markets both in Egypt and abroad.”

The company has already successfully participated in various local and regional exhibitions and will continue marketing efforts to promote its energy saving materials in major trade fairs such as Dubai Big5, Saudi Build and Batimat France in the months to come.

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

ASCOM’s effective ownership in GlassRock stands at 93%.

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ASCOM Geology and Mining is a leader in the field of geology and mining in North and East Africa, the Gulf, and the Levant, offering the market a unique interface between science and field applications. In addition to R&D activities related to its mining assets, ASCOM has also moved up the value chain within the industrial minerals sector with the production of calcium carbonate and glasswool.

Citadel Capital (CCAP.CA on the Egyptian Stock Exchange) is the leading private equity firm in the Middle East and Africa. Citadel Capital focuses on building regional platforms in select industries through acquisitions, turnarounds, and greenfields executed via Opportunity-Specific Funds. The firm’s 19 OSFs now control Platform Companies with investments worth more than US$ 9.5 billion in 15 countries spanning 15 industries, including mining, cement, transportation, food and energy. Since 2004, Citadel Capital has generated more than US$ 2.2 billion in cash returns to its co-investors and shareholders (on investments of US$ 650 million), more than any other private equity firm in the region. Citadel Capital is the largest private equity firm in Africa by PE assets under management (2007-2012, as ranked by Private Equity International). For more information, please visit www.citadelcapital.com.

For more information, please contact:

Ms. Ghada Hammouda
Head of Corporate Communications
Citadel Capital (S.A.E.)

g...@qalaaholdings.com (click to reveal this email)

Tel: +20 2 2791-4439 
Fax: +20 22 791-4448
Mobile: +20 106 662-0002