Business World Online

Posted on 11:11 PM, June 21, 2010

 

LISTED CHEMREZ Technologies, Inc. expects biofuels to continue as its largest operating business in 2010.

In a statement, Chemrez Technologies pointed to the government’s plan to increase the blend of coco-biodiesel in all diesel sold in the pumps to 5% from 2%.

“Coco-biodiesel and other oleochemical specialties will continue to be the largest operating business of the Chemrez in 2010, [accounting for] the majority of the company’s revenues. However, it is expected that the biofuel business will experience tough competition,” it said.

“To lessen the impact of aggressive pricing Chemrez continues to reduce production costs while increasing efficiency,” it added.

The 2% blend of coco-biodiesel was implemented in February 2009, resulting in a 22% growth for Chemrez Technologies. The 5% blend is expected to be implemented before the end of the year.

Chemrez Technologies is also in the process of developing and marketing more value-added refined oil products with its coco-menthyl ester.

The company said it “hopes to continue its dominant position in the supply of resins for coatings, plastics and construction while [the] powder coating business is looking to increase further its market share by introducing new products.”

Chemrez Technologies said it will also give shareholders a total of P158.6 million in dividends.

“It is the policy of Chemrez to share the fruits of its operations with its shareholders. In line with this policy, Chemrez has consistently been paying dividends since 2001,” the company said in its statement. -- E. N. J. David