Şişecam has taken another significant step toward global leadership in soda ash industry by acquiring all shares of Ciner Group, in Şişecam Chemicals Resources LLC and Pacific Soda LLC in the US.
With this agreement, Şişecam’s ownership in Pacific Soda LLC has increased to 100 percent. Pacific Soda LLC manages the ongoing natural soda ash investment in the US, which will produce 5 million tonnes of natural soda ash per annum upon completion. Additionally, Şişecam’s stake in the actively operational Şişecam Wyoming LLC has risen to 51 percent, with the remaining 49 percent owned by the US based NRP Trona LLC. This Wyoming facility has an annual natural soda ash production capacity of 2.5 million tonnes.
Şişecam will pay a total of USD 285 million 389 thousand to Ciner Group for its shares. This strategic step brings Şişecam closer to becoming the global leader in soda ash and natural soda ash.
Şişecam CEO Görkem Elverici commented on the investment decision in the US: “In a world filled with uncertainties, companies are navigating a period where success depends on the ability to manage portfolios holistically, closely monitoring market dynamics, anticipating expectations, and swiftly integrating them into plans.
“Within our portfolio, we have decided to increase our investments in natural soda ash production, which stands out with multiple sustainability advantages including lower carbon footprint and reduced water consumption, as well as cost-efficiency. This decision marks significant progress toward our global leadership in both soda ash and natural soda ash production. We see the potential of soda ash not limited to the industries that it currently serves.
“Through our global-scale R&D efforts and collaborative partnerships, we are exploring its applications in rapidly growing sectors, particularly in energy storage, such as batteries. Our successful five-year partnership with Ciner Group continues to create value in the ongoing Stockton Port Management project in the US Şişecam remains committed to addressing today’s agenda and requirements with determined management approach while effectively pursuing strategic and structural steps that anticipate the needs of the future.”
Soda ash, essential for glass production and numerous other industries, continues to grow globally. In 2023, global soda ash demand reached 66 million tonnes and is expected to grow at an average annual rate of 3 percent, reaching 83 million tonnes by 2030. The share of natural soda ash, which is currently 30 percent, is projected to increase to 40 percent over the next decade.