Accsys Technologies PLC
19 December 2005
19 December 2005 AIM: AXS
Accsys to expand into the Middle East
following agreement with Skanfore LLC
Accsys Technologies PLC ('Accsys' or 'the Company') announces that its 100%
owned subsidiary, Titan Wood Ltd., has entered into an option agreement with
Skanfore LLC, of Abu Dhabi, to buy a wood acetylation licence for the United
Arab Emirates (UAE). The agreement puts Accsys well ahead of schedule for its
regional licensing expansion programme.
Terms of the agreement include up front payments as well as exclusivity to
produce Accoya(TM) acetylated wood in the UAE, based on volume commitments, with
an initial capacity of 50,000 cubic metres.
'We are delighted to enter into this agreement at a relatively early stage of
our development. There is no question that the UAE is a tremendous potential
market for Accoya and we are pleased to have an influential local partner who
shares the same vision for our environmentally friendly wood modification
business', said Willy Paterson-Brown, Executive Chairman of Accsys
(www.accsysplc.com).
Howard Moss, General Manager of Skanfore said, 'We are very happy to be
associated with Accsys. Having followed its development for some time, we
believe there is an exciting future for Accoya(TM) wood in the Emirates. We will
be presenting Accoya(TM) at the Dubai International Wood Trade Show next April'.
The agreement between Titan Wood (www.titanwood.com) and Skanfore
(www.skanfore.com) is the first of what the Company anticipates will be a series
of agreements leading to licences to produce Accoya(TM) during 2006, although the
announcement of this agreement is ahead of the Company's expectations.
Accoya(TM) offers key performance attributes that are equivalent to or better
than the best tropical hardwoods and superior to many artificial material
alternatives. It is produced using a patented process that effectively converts
sustainably grown softwoods and non-durable hardwoods into what is best
described as a 'new wood species' by increasing the amount of acetyl molecules
present in the wood. Since acetyl molecules are already present in all wood
species, the process does not introduce anything that does not occur naturally
in wood and Accoya(TM) is therefore completely non-toxic.
Distinguished by its durability, dimensional stability and, perhaps most
importantly of all, its reliability in terms of consistency of supply and
quality, Accoya(TM) is particularly suited to exterior applications where
performance and appearance are valued. Unlike most tropical and European
hardwoods, its colour does not degrade when exposed to ultraviolet light.
Moreover, because the production process does not compromise the wood's strength
and Accoya(TM) has superior UV resistance to unmodified woods, Accoya(TM) offers
a wealth of new opportunities to architects, designers and specifiers.
Wood acetylation will form the Company's focus in the short to medium term with
the business plan forecasting strong growth in the next few years. Accsys
operates a large-scale pilot plant in Arnhem, the Netherlands. This plant is
presently being used to supply test material to customers and potential
licensees across the world. A full scale plant is currently under construction
and is scheduled to go into production in summer 2006.
ENDS
For further information, please contact:
Accsys Technologies PLC William Paterson-Brown, +44 (0) 20 7598 4040
Executive Chairman
www.accsysplc.com
Collins Stewart Limited Andrew Smith / Martin Eales +44 (0) 20 7523 8000
Parkgreen Communications Justine Howarth / Ana Ribeiro +44 (0) 20 7493 3713
Notes to Editors
Accsys Technologies - owns the rights to a number of processes, including high
temperature cracking and cellulose modification. Accsys' core technologies have
either existing patent protection or pending patent applications. Accsys is
focusing its energies on the launch of its Titan Wood business: once this
business has been established, the Directors intend to pursue other technologies
within its portfolio.
Skanfore LLC - Skanfore is a diversified trading company, based in Abu Dhabi,
UAE, with interests in mining, engineering, construction, finance and
environmental projects.
The introduction to Skanfore was made by the former Chairman of Accsys
Chemicals.
Wood Acetylation - Wood acetylation is a process which increases the amount of '
acetyl' molecules in wood, thereby changing its physical properties. The
process protects wood from rot by making it 'inedible' to most micro-organisms
and insects, without - unlike conventional treatments - making it toxic. It
also greatly reduces the wood's tendency to swell and shrink, making it less
prone to cracking and ensuring that when painted it requires dramatically
reduced maintenance.
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