Lanxess is investing some €60 million in expanding custom synthesis facilities at multi-purpose production facilities in the Central Organics Pilot Plant (ZeTO) of fine chemicals subsidiary Saltigo in Leverkusen, Germany.

The biggest single investment since Saltigo’s founding in 2006 is in reaction to strong demand and should “sustainably strengthen” the subsidiary’s market position, Lanxess said. Plans call for construction of two multi-purpose production lines and a new container warehouse to begin in mid-2016, with production due to start up in 2017.

A large share of the investment will go toward adding more reactors to the existing multi-purpose facilities as well as building two new solids isolation and drying lines. The complete facility will be equipped with a modern new process control system to combine the highest possible qualitative requirements with maximum productivity.

At present, a combination of 70 flexibly connectible reactor modules and 10 solids isolation lines at the site manufactures a wide variety of products on a scale ranging from below 100 kg to several thousand tonnes.

Saltigo managing director, Wolfgang Schmitz, said the expansion will further increase the company’s flexibility and also “ensure in that it remains optimally positioned in the dynamic custom manufacturing market.”

“In the crop protection segment alone, Schmitz said, the Lanxess subsidiary anticipates annual market growth of 3% on average through 2025, despite currently weaker demand.

To grow with its customers in crop protection, Schmitz said Saltigo is widening synthesis capacities for custom manufacturing in the ZeTO by around a third. Part of the future capacity is already contractually secured.

Lanxess said the upgrade also “will ensure an even more efficient raw material and solvent supply of the production facilities through the installation of a new container warehouse next to the plant.” The plans allow scope for the addition of further storage capacity.