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Zoltek Restarts Lines at Abilene Facility and Aims for Full Production

  • Friday, 13th August 2004
  • Reading time: about 2 minutes

Zoltek Companies Inc. is to restart two of the five installed lines at its Abilene, Texas facility and expects to have all five lines operating at peak capacity within the next two months.

“”We have been waiting for this moment for a long time,”” said Zsolt Rumy, Zoltek’s Chairman and Chief Executive Officer. “”For the first time ever, we will soon be making full use of our installed capacity in order to supply a large and growing backlog of orders from existing customers, and that puts us into a position to take substantial new orders. Based on existing contracts, letters of intent and other indications, we see clear evidence of long-term change in the marketplace for low-cost, high-performance carbon fibers geared to commercial applications. As a result, we are planning to make significant additions to capacity in 2005 and beyond, with the installation of new carbon fiber production lines in Hungary or the U.S. (Abilene, Texas), and possibly both.””

Rumy said Zoltek had assured its customers that it would continue to work at maintaining prices — not raising them to take advantage of the current tight market conditions — in the face of rapidly growing demand. “”We are sticking to our strategy of making large quantities of commercial carbon fibers available for commercial applications at stable and affordable prices,”” Rumy said. “”We don’t want to risk our long-term opportunities to benefit from secular improvement in market fundamentals by raising prices in the short term.””

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