Neo Material Technologies, a producer and developer of neodymium-iron-boron magnetic powders, rare earths and zirconium-based materials and applications, has expanded its gallium business with the acquisition of 80% ownership in Quapaw, Oklahoma-based Gallium Compounds. The company has also announced the expansion plans of the Gallium Compounds’ business into South Korea.
Gallium Compounds is one of the world’s leading producers of specialty gallium products. The major business of the Oklahoma-based company is the production of gallium tri-chloride, a key material used in LEDs. Due to higher durability and energy efficiency LEDs have application as backlight for flat panel displays, indicator lamps in consumer electronics and also have several other general lighting applications.
Neo Material Technologies is designing and constructing a new plant in South Korea for the manufacture of gallium tri-chloride. This is the second gallium tri-chloride manufacturing plant, which will be constructed in the Hyeongok Industrial Zone, South Korea. The facility is expected to commence production in the third quarter of 2012.
Executive Vice President and COO of the company, Geoff Bedford stated that the purchase and the business expansion into South Korea considerably reinforce Neo Material Technologies’ position in the value-added gallium products market.