CLEVELAND, March 12, 2008 (PRIME NEWSWIRE) -- Chart Industries, Inc. (Nasdaq:GTLS), a leading independent global manufacturer of highly engineered equipment used in the production, storage and end-use of hydrocarbon and industrial gases, announced today that Chart Cooler Service Company, which is part of its Chart Energy & Chemicals ("Chart E&C") group, has entered into a joint venture to manufacture air cooled heat exchangers in the Middle East in response to the high demand for oil and gas equipment in this part of the world. As a 34% partner, Chart Cooler Service joins forces with one of Saudi Arabia's premier business houses, S&A Abahsain Company ("Abahsain") of Al-Khobar (a 51% partner) and U.S.-based Specialized Industrial Equipment ("SIE") of Houston, Texas (a 15% partner). Abahsain is a top 50 company in Saudi Arabia and will add financial strength and established goodwill to the joint venture. The combination of the three companies' oil and gas, marketing and manufacturing expertise will create the new joint venture, Abahsain Specialized Industrial Co. ("ASIC").
In connection with the joint venture, a state-of-the-art 85,000 square foot manufacturing facility, office space and a warehouse will be built in the 2nd Industrial Area in Dammam, Saudi Arabia, just outside of Al Khobar. ASIC anticipates adding approximately 150 new jobs in the region. The joint venture also has the potential to increase production at Chart Cooler Service's plant in Tulsa, Oklahoma.
"Saudi Arabia is an ideal location for this joint venture because the region is one of the more significant users of air cooled heat exchangers," stated Wayne Pyle, President - Chart Cooler Service. "Abahsain has 60 years of in-region service to the petrochemical and energy industries. Their customer contacts coupled with Chart Cooler Service's experience providing high quality, low cost air cooler solutions, along with SIE's marketing expertise in the Middle East should prove to be a powerful combination."
Regional customers of the ASIC joint venture will benefit from faster delivery, lower shipping costs and reduced fees compared with ordering equipment from overseas. ASIC expects to finalize construction and staffing of the facility in August 2008.
"This joint venture supports our strategy of expanding internationally to better serve our growing customer base across the globe," stated Michael Bright, President - Chart E&C. "This venture represents an excellent opportunity for Chart to enter this important market. Our combined strengths will be essential in this new key venture."
Certain statements made in this news release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning Chart's plans, objectives, future revenue, earnings or performance, capital expenditures, business trends, and other information that is not historical in nature. Forward-looking statements may be identified by terminology such as "may," "will," "should," "expects," "anticipates," "believes," "projects," "forecasts," "outlook," "continue," or the negative of such terms or comparable terminology. Forward-looking statements contained in this news release or in other statements made by Chart are made based on management's expectations and beliefs concerning future events impacting Chart and are subject to uncertainties and factors relating to Chart's operations and business environment, all of which are difficult to predict and many of which are beyond Chart's control, that could cause Chart's actual results to differ materially from those matters expressed or implied by forward-looking statements. These factors and uncertainties include, among others, the following: the cyclicality of the markets which Chart serves; a delay, significant reduction in and/or loss of purchases by large customers; competition; general economic, political, business and market risks associated with Chart's international operations; regulations governing the export of Chart's products; Chart's ability to successfully manage its growth, including its ability to successfully acquire and integrate new product lines or businesses; the pricing and availability of raw materials; Chart's ability to manage its fixed-price contract exposure; additional liabilities related to taxes; and litigation and disputes involving Chart, including product liability and warranty claims. For a discussion of these and additional factors that could cause actual results to differ from those described in the forward-looking statements, see Chart's filings with the Securities and Exchange Commission. Chart undertakes no obligation to update publicly or revise any forward-looking statement.
Chart is a leading global manufacturer of highly engineered equipment used in the production, storage and end-use of hydrocarbon and industrial gases. The majority of Chart's products are used throughout the liquid gas supply chain for purification, liquefaction, distribution, storage and end-use applications, the largest portion of which are energy-related. Chart has domestic operations located in eight states and an international presence in Australia, China, the Czech Republic, Germany and the United Kingdom. For more information, visit: http://www.chart-ind.com.
S&A Abahsain Company ranks as the 47th largest among the top 100 companies in Saudi Arabia with over 60 years of dynamism and continuous expansion. S&A Abahsain Co. is a leading supplier of critical process chemicals to the petrochemical and petrochemical based industries, including a sophisticated warehouse and workshop infrastructure to meet the industrial needs of their customers. For more information, visit: http://www.abahsain.net/index.htm.
Specialized Industrial Equipment (SIE), an affiliate of the SME Associates, Inc. family of "specialized" marketing firms has fortune 500 clients in the oil and gas industry such as ExxonMobil, ChevronTexaco, Hess, Valero, and industrial clients such as General Electric, Siemens, and Rolls Royce. The SME family of companies are strategically placed to capitalize on the current and future growth in the energy sector. For more information, visit: http://www.specialized-mechanical.com/contact.html
For more information, click here: http://www.chart-ind.com/investor_relations.cfm/?b=1444&l=1