Contacts have been renewed to set up a factory in Turkey as a joint venture with a local company.
Dead Sea Works management has decided to terminate the investigations and preliminary contacts with the Egyptian government aimed at setting up a sodium sulphate production facility in Egypt, at an investment of $50 million. The Dead Sea Works management expressed the fear that setting up the factory in Egypt, with local investors, carried too high a political risk, and was therefore not economically worth while.
Following this, Dead Sea chairman Uri Ben-Nun agreed to renew contacts with Allchem of Turkey, on the possibility of setting up the factory in Turkey. The management of Allchem suggested the renewal of contacts, after cancelling an agreement in principle with Dead Sea Works to set up a factory in Turkey about a year ago. The Dead Sea Works management have also looked into the possibility of setting up a factory in China, but this proposal was dropped.
Some two and a half years ago, Dead Sea Works and Allchem inaugurated a pilot plant to produce potassium sulphate and sodium sulphate in Western Anatolia, at an initial investment of $5 million.