The Tribune

By DENISE MAYCOCK

Tribune Freeport Reporter

dmaycock@tribunemedia.net

PHARMACHEM Technologies has retained two foreign engineering firms to oversee construction of its new $180 million facility in Freeport.

Kevin Seymour, the company's chief financial officer, said Integrated Project Services (IPS) and KPC International, a European firm, have been hired to provide specialised engineering expertise.

He added that co-operation was needed from the Government to facilitate fast-tracking approvals for the the two companies so they can complete construction of the new plant by year-end.

"We want to finish on schedule," he told Prime Minister Dr Hubert Minnis, who had toured the facility and gave his assurance that the Government will do what is necessary to aid the project.

Mr Seymour added that the company has hired five Bahamian contractors that employ some 180 workers in Grand Bahama, and which have used more than 62 vendors and suppliers.

"We had to engage world class players," he said. Integrated Project Services provides expertise on biopharmaceutical manufacturing projects. KPC International, according to its website, has "a proven successful track record with some of the top industry leaders across Europe and the US, delivering high-quality projects in the biopharmaceutical and pharmaceutical industries".

The project had initially estimated as costing about $120 million. Pharmachem sits on 22 acres of the original site of the former Syntex plant, which it acquired. It has leased an additional 40 acres from the Grand Bahama Port Authority (GBPA), and has purchased another seven acres to facilitate construction of new plant - a total of some 70 acres.

Mr Seymour said it was forecast that some $109 million will be spent with Bahamian vendors, a significant increase compared to the $47 million initially estimated.

"We already sunk $18 million with our local vendors since commencing the project," he said. "But because special skills are required to build the plant we have to engage engineers from overseas because it is very specialised, and they will engage and sub-contract with local firms to assist with some aspect of the work."

Mr Seymour estimates that around $30 million will be spent with foreign contractors. He added that these companies will be registered with the Grand Bahama Port Authority and pay license fees.

Pharmachem currently produces tenofovir disoproxil fumarate--the active ingredient in HIV/AIDS drugs Atripla, Truvada and Viread, which are used to treat about one million people worldwide. Gilead Sciences, a global bio-pharmaceutical leader, is its single client.

"We manufacture the single API for Gilead, the anti-retro viral drug for HIV/AIDS. We are looking for a sustainable future by diversifying our product line, and the new facility will be a multi-product facility so we can handle two or three products at the same time," said Pharmachem chief executive, Randy Thompson.

"The best-kept secret in the Bahamas - right here we actually produce material that treats more than one million HIV/AIDS patients around the world. Gilead is committed to offering product at a discount price at cost to various countries.

"Like Gilead, we at Pharmachem believes it is our responsibility to extend medicine beyond developed countries around the world."