15 Jun, 2017

Evonik and DSM select Blair, Nebraska, as manufacturing site for innovative, new omega-3 fatty acids production

Evonik and Royal DSM will locate the commercial-scale production facility for their omega-3 fatty acids from natural marine algae for animal nutrition in Blair, Nebraska. DSM Nutritional Products and Evonik Nutrition & Care plan to invest around US$ 200 million in the facility (US$ 100 million by each party over circa 2 years). The initial annual production capacity will meet roughly 15% of the current total annual demand for EPA and DHA by the salmon aquaculture industry. The facility is expected to come on stream in 2019. Both companies announced in March 2017 the start of a joint venture for this purpose. The establishment of the joint venture, to be named Veramaris® and headquartered in The Netherlands, will be finalized subject to regulatory approvals.

Blair, Nebraska, was chosen as it takes advantage of Evonik’s decades of operational experience for large-scale biotechnology operations. The company has been operating a facility there for the fermentative production of Biolys® - the amino acid L-lysine - for almost 20 years. As an investor and employer Evonik has built a consistent reputation in the local community. The new plant will be located adjacent to Evonik’s current facility on Cargill’s site, with established access to the raw materials needed to produce the high value and pure EPA+DHA omega-3 fatty acid oil.

It will, for the first time, allow for the production of omega-3 fatty acids for animal nutrition without using any fish oil from wild caught fish, a finite resource. Initial applications will be in salmon aquaculture and pet food.

Evonik’s and DSM’s highly concentrated algal oil will enable the animal nutrition industry to keep up with the increasing demand for these two essential omega-3 fatty acids without endangering fish stocks, helping to contribute to healthy animal nutrition as well as to the ecological balance and biodiversity of the oceans. 

Until the facility in Blair opens, DSM and Evonik will produce pilot-scale quantities of the algal oil at DSM’s production facility in Kingstree, South Carolina (United States). Customers will be able to receive sizeable quantities of the product for market development while the construction of the new manufacturing plant gets underway.

Press Contact

press@veramaris.com

About Evonik

Evonik, the creative industrial group from Germany, is one of the world leaders in specialty chemicals, operating in the Nutrition & Care, Resource Efficiency and Performance Materials segments. The company benefits from its innovative prowess and integrated technology platforms. In 2014 more than 33,000 employees generated sales of around €12.9 billion and an operating profit (adjusted EBITDA) of about €1.9 billion.

About Nutrition & Care

The Nutrition & Care segment is led by Evonik Nutrition & Care GmbH and contributes to fulfilling basic human needs. That includes applications for everyday consumer goods as well as animal nutrition and health care. This segment employed about 7,000 employees, and generated sales of around €4.2 billion in 2014.

DSM – Bright Science. Brighter Living.™

Royal DSM is a global science-based company active in health, nutrition and materials. By connecting its unique competences in Life Sciences and Materials Sciences DSM is driving economic prosperity, environmental progress and social advances to create sustainable value for all stakeholders simultaneously. DSM delivers innovative solutions that nourish, protect and improve performance in global markets such as food and dietary supplements, personal care, feed, medical devices, automotive, paints, electrical and electronics, life protection, alternative energy and bio-based materials. DSM and its associated companies deliver annual net sales of about €10 billion with approximately 25,000 employees. The company is listed on Euronext Amsterdam. More information can be found at www.dsm.com.

Evonik Disclaimer

In so far as forecasts or expectations are expressed in this press release or where our statements concern the future, these forecasts, expectations or statements may involve known or unknown risks and uncertainties. Actual results or developments may vary, depending on changes in the operating environment. Neither Evonik Industries AG nor its group companies assume an obligation to update the forecasts, expectations or statements contained in this release.

Forward-looking statements DSM

This press release may contain forward-looking statements with respect to DSM’s future (financial) performance and position. Such statements are based on current expectations, estimates and projections of DSM and information currently available to the company. DSM cautions readers that such statements involve certain risks and uncertainties that are difficult to predict and therefore it should be understood that many factors can cause actual performance and position to differ materially from these statements. DSM has no obligation to update the statements contained in this press release, unless required by law. The English language version of the press release is leading.

Press Contact

press@veramaris.com

About Veramaris

Veramaris is a 50:50 joint venture of DSM and Evonik for the production of the omega-3 fatty acids EPA and DHA from natural marine algae. Located in Delft, the Netherlands, Veramaris was launched in 2018, because its parent companies shared a vision: to conserve marine life by using a resource the ocean provides – natural marine microalgae. Producing an algal oil rich in the two essential omega-3 fatty acids EPA and DHA through large-scale fermentation at its facility in Blair, Nebraska, USA, Veramaris enables partners along the value chain to become independent from wild-caught fish and meet the growing demand for animal protein responsibly.

Legal Disclaimer

In so far as forecasts or expectations are expressed in this press release or where our statements concern the future or the use of products, these forecasts, expectations or statements may involve known or unknown risks and uncertainties. Actual results or developments may vary, depending on changes in the operating environment. Veramaris V.O.F. does not assume an obligation to update the forecasts, expectations or statements contained in this release. The English language version of the press release prevails.

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