Nuqul Group to relocate Jordan tissue mill to new facility in UAE in $90m Greenfield project
(News from RISI) FINE Hygienic Holding (FHH), a subsidiary of Jordan’s Nuqul Group, plans to relocate its 54,000tpy Al Snobar mill to a new facility in the Industrial City Abu Dhabi (ICAD) in the United Arab Emirates (UAE) due to high energy costs in Jordan.
The cost of the project amounts to approximately $90m.
The firm’s management told RISI: “In the absence of Jordan availing a reasonable source of energy for its industry, and in view of the energy subsidies enjoyed by competing regional players, we will be unable to sustain our operations as they are in Jordan.”
The project will consist of building a new facility in Abu Dhabi in order to relocate the Al Snobar mill, the management said, adding that the plan is still in a study phase as the contract for the land has not been finalised yet.
Most of the workers from the Al Snobar mill should be relocated to the new site, while some others will be transferred to other FHH plants in Jordan.
The group’s second tissue mill in Jordan, the 30,000tpy Al Keena mill, will continue its operations in the country.
In addition to its Jordan mills, the Nuqul Group manufactures 20,000tpy and 54,000tpy of tissue paper at its Al Sindian mills in Egypt.
In addition, Nuqul Group has converting sites in Jordan, Saudi, UAE, Egypt and Morocco, with a total capacity of approximately 150,000tpy of tissue products.
