EL SEGUNDO, CALIF. (Oct. 26, 2:45 p.m. ET) — Cereplast Inc. has completed its purchase of a site in Assisi, Italy that will eventually be the company's European bioplastics production base.
The El Segundo-based company plans to invest about 12 million euros to build a 220 million pound-per-year plant at the site, with the project being completed in two phases.
The first phase, set to be finished by the end of 2012, will be for about 110 million pounds of annual capacity. The timetable for the second phase will depend on demand.
“This new plant strengthens our ability to meet soaring demand for bioplastics in the region, which is expected to reach one million tons by 2014 according to European Plastics, representing an approximate 33 percent increase per year,” said Frederic Scheer, chairman and CEO, in a news release.