The investment will be used to upgrade equipment and increase metal powder production capacity by more than 20 percent over the next two years. Global demand for metal powders is driven mainly by the automotive sector where manufacturers are increasing their intensity of use to lower automobile weight and increase fuel efficiency. Metal powders are also used in the fabrication of home appliance and power tool components, welding rods and as food supplements.

The upgrade and expansion will add 10 new jobs to the company's roster and significantly reduce the plant's cooling water consumption.

"We are investing in a strong future for RTFT, and believe this investment will also pay off for our customers, who rely on us for high quality products and services; and for our communities, who rely on us for good jobs, responsible environmental stewardship and ongoing contribution to the local economy," said Dominique Bouchard, RTFT President.

The investment is part of the company's recently announced TiO2050, plan which calls for an investment of CAD800 million to extend the life of RTFT's mine in northern Quebec - one of the world's largest ilmenite deposits -  and improve efficiency and throughput at its refining complex in southern Quebec. Ore extracted from mines in Quebec and Madagascar is refined into titanium dioxide feedstock, pig iron, steel, metal powders and other products at this complex.