Akzo Nobel's Specialty Chemicals business is studying plans to build a world-class plant for its Bermocoll business, which supplies essential ingredients for the paint and buildings and construction industries. This comes after an announcement from AkzoNobel in March 2017 stating there will be a review of strategic options for the separation of its Specialty Chemicals business.

The study for the plant - expected to be completed by the end of 2017 - is focused on creating a new facility to increase production capacity for EHEC cellulosic ethers to help meet growing global demand.

A number of locations are being considered for the new EHEC plant, including options to expand operations at the company's existing production sites.

"Demand for Bermocoll is growing strongly due to the rising consumption of water-based paint and continued growth in the building and construction industry," explained Geert Hofman, General Manager at AkzoNobel's Bermocoll business. "Building a new facility will enable us to support that market growth, giving our customers improved long-term supply security."

Commenting on the plans, Werner Fuhrmann, member of Akzo Nobel's Executive Committee responsible for Specialty Chemicals, said: "Bermocoll delivers excellent performance and provides important sustainability benefits for our customers as they are based on renewable raw materials." He also added that the expansion plans highlight the company's strategy of growing with its customers.