The Kočevje-based Melamin has received EUR 1.5m in state incentive for the EUR 7m investment.

SmartMelamine co-director Damjan Murn told the STA they would produce insulation based on melamine microfibres, which are used in car, aviation and rail industries for security clothing, and for hot gas filtration.

The melamine microfibres will be produced by employing what he termed a "meltblown" production process which results in high-strength incombustible microfibres.

By employing a special thermoplastic production process, German textile institute TITK has managed to transform a special melamine resin, which is produced only by Melamin, into SmartMelamine, or a microfibre with special characteristics, according to Murn.

"The production process combines the textile process with the chemical one in a unique way," said Murn, who runs the company together with German Christoph Löning.

He added that the the raw material, that is melamine rasin, and the production process had been patented.

Melamin and TITK each own half of SmartMelamine, which will annually produce up to 2,000 tonnes of melamine microfibres.

The company's target markets are Western Europe as well as American and Asian markets, according to Murn.

The company has already hired 26 workers, while the target figure is 30.