UK Johnson Matthey Signs Lease Agreement for 50 Mln Euro Catalyst Plant in Macedonia

The lease agreement was signed by Macedonian Deputy prime minister for economic affairs Zoran Stavreski and Johnson Matthey’s executive director Larry Pentz, the government said in a statement posted on its web site.

Johnson Matthey has leased the state plot in the free economic zone, near the capital of Skopje, for a period of 50 years, with an option to extend the agreement for another 20 years, the statement said.

The factory is to be built on an area of 13 hectares and the construction works will be performed by a Turkish company, whose name was not disclosed.

“The construction works should end in March 2009, while the production is expected to start next July”, the statement added.

Johnson Matthey focuses on catalysts, precious metals, fine chemicals and process technology, with operations in over 30 countries worldwide.

The UK company had taken a decision to invest in Macedonia last year. It has been choosing among ten European countries like Croatia, Poland and Hungary but Macedonia was chosen due to its advantages of high-quality and cheap labour force and an investment-oriented government policy.

U.S. Johnson Controls was the first company that opened an electronic car parts factory in the Bunardzik free industrial zone.

Several other companies have signed memoranda of cooperation with the Macedonian government to build factories in Bunardzik. Among them are the French designer and producer of aluminum components Montupet, Italian industrial manufacturer Orlandi, Turkish aluminum giant Borteknik Otomotiv and Korea-registered TriView Co.

($=0.7827 euro)