Finnish firm Outotec wins Cristal deal worth US$27 million

Ilmenit outotecThe contract complements an existing deal to provide operation and maintenance services to Cristal's ilmenite smelter. (Image source: Wikimedia Commons)Finnish engineering company Outotec has won a four-year service contract worth US$27mn from Saudi Arabia's National Titanium Dioxide Company, Cristal

The contract complements the operation and maintenance services agreed in connection with the existing ilmenite smelter delivery contract announced in May 2012. The company said that around half of the revenues would be booked against its Q4 2013 revenues.

The new service contract covers the supply chain management activities and supply of spare and wear parts for Cristal's ilmenite smelter designed by Outotec and currently under construction in Jazan Economic City, Saudi Arabia.

Outotec will optimise the spare and wear parts stock levels at the site and decrease logistics costs for Cristal through demand planning, logistics, and maintenance planning as part of Outotec's operation and maintenance services.

Outotec will establish a new distribution centre for spare and wear parts in the United Arab Emirates during 2014 to serve Cristal's ilmenite smelter and other customers in the Middle East.

Cristal is the second-biggest titanium dioxide pigment producer in the world and the service deal covers supply chain management and the supply of spare parts for the smelter.

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