Following the news that industrial gas manufacturer National Oxygen (NOX) has completed the construction of its third air separation at its Jurong facility, it has been revealed that the company expects to invest at least S$40 million to expand in Singapore and the wider South Pacific region.
The company is one of the leading industrial gas manufacturers in the region, specialising in production of oxygen, nitrogen and argon and has been operating there for the past 25 years. Successfully seeing steady growth, NOX is keen to capitalise on this and expand, with plans to plough more capital into investments and operations.
Shigeto Umatani, managing director of National Oxygen, told Channel NewsAsia, “We are planning to invest not only in Singapore, but in Malaysia Indonesia and Batam. We are going to start with a new refilling station for downstream business in Batam, Indonesia, and we are planning to set up a new on-site gas plant in Malaysia. We are also going to set up a new carbon dioxide plant in Malaysia. These projects will be completed by the end of next year.”
NOX expects to spend a total of S$40 million on these projects and in Singapore alone, has so far invested a total of S$175 million.
It posted revenues of S$87 million last year, with this expected to grow as the third plant in Jurong swings into full production, the economy grows and according to NOX, gas manufacturing stays on an upwards trend.
Umatani said, “I think for the past 3 or 4 years, Singapore's economy has been expanding very rapidly - between, I guess, 6-8% per year. This year's economic growth is over 8% and I think, I'm sure, this growth will stay for the next couple of years, and in that sense, we believe that there is strong growth in this business (gas manufacturing) for the next few years at least.”