Denham Capital to Invest $50 Million in CariSal Investment Holdings Limited

2008-08-20 07:00:00

    TRINIDAD & TOBAGO, and BOSTON, Aug. 20 /EMWNews/ -- CariSal

Investment Holdings Limited and its subsidiaries ("CariSal") and Denham

Capital ("Denham") announced today that Denham will make an equity

investment of up to $50 million in CariSal, an investment holding company

that includes CariSal, LLC, a leading manufacturer of ClearPath(TM)

ice-melt products, and CariSal Unlimited, a future producer of calcium

chloride and caustic soda.

    CariSal, which was formed in September 2005, aims to be a leading

supplier of caustic soda, calcium chloride and other related products to

Trinidad, the Caribbean, Latin America and North America, and West Africa,

for the oilfield services, road construction, ice-melt, and other markets.

CariSal also supplies ClearPath(TM) to the US ice-melt market. It has

operations in Middletown, New York and Trinidad and Tobago.

    Denham's investment is critical to the completion of a calcium

chloride/ caustic soda complex to be constructed in Point Lisas, Trinidad.

The facility will nominally produce 100,000 mt caustic soda, 70,000 mt pure

pellet and 78,000 mt pure flake calcium chloride per annum.

    The CariSal facility is scheduled for commercial operation by early

2010 and will be the second largest dry calcium chloride plant in the

Western Hemisphere and the largest caustic soda plant in the West Indies.

The company has signed a 10-year agreement with Alcoa World Alumina LLC to

supply caustic soda from the plant upon completion.

    "Securing Denham Capital as our primary equity partner is an important

step in achieving our long-term strategic plans and will enable CariSal to

grow with our customers' forecasted requirements," said Richard Lietzau,

CEO of CariSal. "This investment, in combination with contractual

agreements with our major customers, such as Alcoa, provides CariSal with

tremendous financial and commercial strength for our long-term growth plans

in Trinidad and other regions of the world."

    "CariSal's facility in Point Lisas, Trinidad is one of the best

positioned calcium chloride and caustic soda manufacturing facilities in

the world with access to a workforce trained in downstream plant

construction, management and operations and also the ability to service

North American, South American and Caribbean end markets," said Bill

Zartler, Managing Partner and head of the Energy Infrastructure Group at

Denham Capital. "This investment continues to expand Denham's downstream

footprint and enables us to take advantage of the extensive growth

opportunities in the global calcium chloride and caustic soda markets."

    Denham will gain majority ownership of CariSal through its investment.

The existing CariSal management team will continue to be responsible for

managing the operations of the company.

    About CariSal:

    CariSal is a global manufacturing company specializing in calcium

chloride, caustic soda and other specialty chemicals. Formed in 2005, it

aims to be a leading supplier of caustic soda, calcium chloride and other

related products to Trinidad, the Caribbean, Latin and North America, and

West Africa, for the oil-field services, road construction, ice-melt, and

other markets. CariSal also currently supplies ClearPath(TM) to the US

ice-melt market.

    About Denham Capital:

    Denham Capital is a leading global private equity firm, with offices in

Boston, Houston, Short Hills, New Jersey and London. With approximately

$4.3 billion of invested and committed capital, Denham makes direct

investments in all segments of the energy and commodities value chain,

including oil and gas, mining, timber, power, carbon assets and

energy-related infrastructure and services. The firm invests globally, with

investments currently in the US, Canada, South America, Europe, Russia/CIS,

Asia and Australia, and across all parts of the capital structure and all

stages of the corporate and asset lifecycle, from development projects to

mature, operating businesses. Denham typically targets investments in the

$50 million to $250 million range. For more information about Denham

Capital, visit Denham Capital does not provide

investment advisory services to the public.

Contacts: CariSal Roger Moore (868) 636-0372 Denham Capital Management Gina Sorice CJP Communications (212) 279-3115 ext 243

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