Growing demand for hydrogen peroxide has prompted Solvay to announce a capacity expansion at its facility in Longview, Washington, US. Production is expected to rise by about 20% following a "multi-million" dollar investment.

The project will be carried out in two stages. Construction of phase one is scheduled to start later this year with completion due in late 2016. A firm timescale was not divulged for phase two, however Solvay said a second-stage expansion will take place in the near future as market conditions require.

Solvay, the world's largest producer of hydrogen peroxide, said the additional capacity will meet rising demand from pulp and paper producers in the Pacific Northwest and other industrial markets around the US. The expansion will also support internal demand growth for electronic grade peroxide.

Paul Hogan, Solvay's North American senior vice president for peroxides, said: "We have seen tightening market conditions in recent years, conditions that should continue for the near future, and this investment is needed to support our customers' significant growth."