Dioxide Titanium Ltd., signs a cooperation agreement with India: Chances of development from titanium processing sector

(Vietnam Logistics Review) An investment cooperation agreement between Dioxide Titan Ltd., Co., and Sunflower Overseas Pvt., Ltd., (India) was signed at Tan Phuoc industrial group, Lagi, Binh Thuan on october 8th, 2016. The potential investment cooperation promises to bring mutual benefits to the two. This is also a chance to bring the Titanium processing sector in Binh Thuan and in Vietnam, in general, to a new stature.

Dioxide Titan Ltd., Co., (coming into operation since May, 2016) is the first plant with Titanium downstream processing line in Binh Thuan with the initial investment capital of over USD 15m. The company has achieved national standards for their treatment systems of water, smoke and dirt. As planned, in the first phase, it will import super refined zirconia milling machine that can turn raw Titanium ore in to super refined dry zirconia, ilmenite (50-53%), rutil (82-93%), monazite (56-65%); in the second phase, it will import super refined wet zirconia milling machine, Titanium furnacing machine, Titanium regeneration machine, and Titanium welding sticks will be produced in the phase; in the third phase- the complete phase, it can produce color Titanium powder.

Potential of Titanium processing in Binh Thuan and Vietnam

Vietnam is one of countries that has rich Titanium reserves and Titanium reserves are widely distributed in many areas. The reserves are estimatedly around 34.5m tons mostly in the coastal areas of Ninh Thuan, Binh Thuan. Over 10 mines of Titanium ore are located in the coastal area of Ninh Thuan, and 3 of them - Chum Gang, Bau Doi, Go Dinh- have been researched and estimated: their reserves is around 284.53 thousand tons of ilmenite, 60 thousand tons of zirconia. It is estimated there is 4.3m tons of ilmenite and 900,000 tons of zirconia as reserves in the whole area.

Signing the investment cooperation agreement

Titanium is used in important sectors as aviation, space, submarine, chemicals, paper manufacturing, paint, plastic, rubber, pottery, textile and cosmetics… Titanium ore mining has had remarkable contribution to the country’s economy.

Statistics show we have to import around 10,000 tons of TiO2 powder at the price of USD 3,000 tons annually from Japan, Australia, China… with total value of USD 25m. Worldwide demand of TiO2 currently is 4m tons pa, and will increase to 5m tons pa in coming years, as estimated. Vietnam’s demand of Tio2 is around 20,000 tons pa.

Chances of investment and development from Titanium processing sector

With downstream processing, as calculated, Titanium will bring huge economic benefits. For instance, production of super refined zirconia (from zirconia 65%) makes production value increase 1.6 times; production of pigment, increase 10 times, production of TiO2, dozen times.

Mr. Bui Van Tuyen, CEO of Dioxide Titan Ltd., Co., said the investment agreement with Sunflower Oversea Pvt., Ltd., would increase finance abilities, improve technology of downstream Titanium processing. It will not benefit the company solely but help to exploit rich Titanium reserve of Binh Thuan, bring jobs, and contribute to the local budget. The agreement will help the JV to improve its production abilities with 3 phases: producing super refined zirconia (wet or dry), Titanium furnacing, producing regenerated Titanium, Titanium welding sticks… for export via Indian partners...

Sunflower Overseas Private Ltd.’s Representative: We are specialized in textile& garment, agricultural import- export, and education in India. Vietnam has lately been one of Asian fast-developing countries, which can be seen by its annual GDP and FDI increase. Research showed Titanium reserves in Ninh Thuan- Binh Thuan can reach hundreds of millions tons and it has mining and producing potentials. Titanium is a strategic metal and its needs are increasing. So we decided to invest in it. It is a chance for us to extend our business and it is a long win- win cooperation.

Ms. Nguyen Hoang Thien Nga - President of administration board/Deputy General Director of Dioxide Titan Ltd., Co., According to Resolution no. 104/2007/ QĐ-TTg dated July 13th, 2007 on researching, exploiting, producing and using Titanium ore in the period of 2007- 2015, orientation to 2025 with the purpose of building and developing Titanium exploitation and production in modern technology, combining local forces and cooperation investment in training and technology transfer, Dioxide Titan has called for investments in accordance to the plans of developing Vietnam industry, developing local social-economy. And we have chosen Sunflower Overseas Pte., Ltd., (India)- a company with financial abilities, good technology staff and appropriate development policies. We hope the cooperation will put the company to a new stature, improving production abilities of Dioxide Titan.