New jobs at Wilton's former Artenius plant
A PUBLIC sector partnership that helped secure the future of a Tees Valley chemical plant today welcomed confirmation of its takeover.
The joint administrators of Artenius UK Limited ("AUK") have announced the sale of assets to Lotte Chemical UK Limited ("LCUK"), a UK-based subsidiary of KP Chemical Corporation, an affiliate of the Lotte Group based in Korea.
The asset sale, which is subject to European Commission competition clearance, will result in the transfer of all the operational assets of AUK, including both the PTA and PET manufacturing facilities at Wilton, Tees Valley. Under the asset transfer agreement the employment of the remaining AUK workforce will transfer to LCUK, safeguarding the jobs of 41 employees.
Regional development agency One North East has approved a Grant for Business Investment (GBI) of £1.8m to help LCUK acquire the AUK assets, which could also create 132 new jobs at the Wilton plant.
Ian Williams, Director of Business and Industry at One North East, said: "This is a significant and very welcome announcement for Tees Valley and the process industry. This is a clear demonstration that the Wilton site remains an attractive world-class environment for business investors and I would like to welcome LCUK to the region and look forward to a long and productive partnership with the company.
"This project has been delivered as a result of close and effective working between a number of public and private partners. Attracting new investment to Tees Valley is a key priority and with the additional £60m from the Tees Valley Investment Programme we anticipate further progress on accelerating new investments."
Neil Kenley, Strategic Investment and Marketing Director at Tees Valley Unlimited, said: "After lengthy discussions between management and public sector partners to save the Artenius plant, I am delighted that a buyer has been found.
"This is great news for staff and a major boost for the Wilton site and the wider Tees Valley and hopefully signals the start of a successful year for the area."
NEPIC (North East Process Industry Cluster) Chief Executive Stan Higgins said: "This is great news for the process industry in North East England and particularly for those based on the Wilton International campus. Those of us responsible for marketing the region's capabilities in the sector have worked hard to find new owners and new opportunities for those facilities that have had problems recently. We will now work closely with partners One North East and Tees Valley Unlimited, as well as the new owners, to ensure a sustainable future for this unit."
The Grant for Business Investment is part of Solutions for Business, the Government's package of publicly funded support products offering help to companies to start, grow and succeed. Solutions for Business makes it easier for companies to get the advice and assistance they need.
The Grant for Business Investment (GBI) initiative delivered by One North East is part funded by the European Regional Development Fund 2007-13.
For more information contact Leanne English, Marketing Manager at Tees Valley Unlimited, on 01642 632013, 07725 602824 or email leanne.english@demo13.geonetsolutions.co.uk; or Bryn Littleton in the One North East press office on 0191 2296713, 07717 468918 or email bryn.littleton@onenortheast.co.uk.