Turkish glass companies Şişecam and Ciner Group, plan to invest $4 billion in the US soda ash industry.
The investment will mean Sisecam will become one of the world’s largest soda ash producers in the world in terms of capacity.
For Şişecam and Ciner Group, this is a leap forward from the strategic step they took in 2019 in the field of natural soda ash, to a new phase.
The companies, who became development JV partners in the natural soda ash project based in the US two years ago, are expanding the scope of their cooperation and changing the structure of their partnership.
Şişecam will become a 60% shareholder by acquiring an additional share in the Pacific Project.
In addition, Şişecam will also purchase a 60% share in the Atlantic Project and Ciner Resources, the existing natural soda ash production facility of Ciner Group in Wyoming. Ciner Resources Wyoming Plant, built in 1962, has been in production ever since with current production capacity of 2.5 Million metric tonnes/year.
The Pacific and Atlantic development projects with a targeted combined production capacity of 5 million metric tonnes/year is expected to start production during 2025 and is planned to gradually reach full capacity by 2027.
The investment is the largest investment made in the US by Turkish companies, is also one of the largest investments made abroad from Turkey.
Şişecam's controlled soda ash production capacity will exceed 10 Million metric tonnes, comparing to the existing capacity of 2.5 Million metric tonnes today.
The plan also includes the establishment of the largest soda ash production facility globally in a single location.
Soda ash demand is expected to grow to reach 60 million metric tonnes globally by the end of 2021.
When compared to synthetic soda ash production, producing natural soda ash provides a decrease of approximately 50% both in carbon intensity and water consumption.