Epsilon Carbon signs supply deal with Alba, plans to invest USD 20 mn in Kingdom of Bahrain

Manama, Nov 3 (PTI) Leading coal tar pitch manufacturer Epsilon Carbon on Sunday announced a USD 20-million investment in the Kingdom of Bahrain for liquid coal tar pitch manufacturing.

It also signed a non-binding memorandum of understanding with Aluminium Bahrain (Alba) to explore a long-term supply of liquid coal tar pitch to their aluminium smelters in the region.

Speaking with PTI on the sidelines of the 3rd Gateway Gulf Investment Forum here, Epsilon Carbon Managing Director Vikram Handa said the company looks to boost its coal tar pitch (CTP) production capacity to 500,000 tonnes by next year to cater to growing demand from the Middle East.

CTP is used to manufacture carbon anodes and cathodes for aluminium smelting and for EV battery material, i.e graphite anodes.

"We look to export more and more, and we wanted to take the opportunity to bring a local supply chain to Bahrain.

"Between the smelters in Bahrain, Qatar and Saudi Arabia, about 250,000 tonnes of pitch is consumed every year. Most of it comes from China, Japan and India - from us. So, our facility here will be a melting facility where we will transport solid pitch from India to Bahrain, Handa said.

The collaboration with aluminium smelter Alba is an important step toward sustainable industrial growth, he further said.

"With our coal tar distillation capacity set to reach 750,000 tonnes by 2027 and a USD 20 million investment in Bahrain, we aim to strengthen regional collaboration and supply chain resilience," Handa explained.

Epsilon Carbon has manufacturing units in Karnataka and Odisha. It is also expanding battery material operations globally, including in the US, Finland, and Germany.

Epsilon aims to enhance the CTP manufacturing capacity to 5,00,000 tonnes by next year from 3,00,000 tonnes currently.

"In Odisha, we have announced a Rs 10,000 crore investment, and in Karnataka, we're investing Rs 500 crore at present to augment our capacity," Handa said. PTI DR TRB