CHEMICAL UPDATE

 

AUGUST 2015

 

McIlvaine Company

 

AMERICAS

Yara and BASF Break Ground on New Ammonia Plant in Freeport, Texas

QuantumSphere Completes Nanocatalyst Production Facility

AkzoNobel Expands Performance Coatings Research Facility in Houston

BioAmber Announces Opening of World's Largest Succinic Acid Plant in Sarnia, Ontario

Albemarle Begins Commissioning of New Lithium Carbonate Production Plant in Chile

Honeywell Resins and Chemicals Breaks Ground on New Resin Manufacturing Line in Virginia

ASIA

H.B. Fuller Breaks Ground On New Adhesives Plant in Indonesia

Solvay Starts Up Fluoroelastomers Plant in China

BASF Starts Construction of Chemical Catalysts Plant in China

Linde to Install World’s Largest Onsite Fluorine Plant in South Korea

BP Starts Up World’s Largest PTA Production Unit

Toyo Wins Contract for Synthetic Rubber Plant in Indonesia

Asahi Kasei to Expand Production of Styrenic Thermoplastic Elastomer

MHI and Mitsubishi to Build Large-Scale Fertilizer Plant in Uzbekistan

Messer Commissions Second Krypton and Xenon Production Unit in China

Sumitomo Announces Battery-Separator Capacity Expansion, New Plant in Korea

BASF Inaugurates New Plant for High Performance Ultramid® in China

Celanese to Construct VAE Emulsions Unit in Singapore

Solvay Launches Silica Plant Construction in South Korea to Meet Energy Saving Tire Demand

Showa Denko to Build Hydrogen Fluoride Facility in China; Doubled Japan Capacity

EMEA

WACKER Starts up New Production Plant for Specialty Monomers at Burghausen

Air Liquide Starts Up Large Hydrogen Production Unit in Germany

Sasol’s Wax Expansion Project Phase I Successfully Commissioned

 

AMERICAS

Yara and BASF Break Ground on New Ammonia Plant in Freeport, Texas

Yara International ASA and BASF broke ground recently on a world scale ammonia plant at the BASF site in Freeport, Texas. Total capital investment for the plant – which is expected to come online in 2017 – is estimated at $600 million. As part of the project, Yara will build an ammonia tank at the BASF terminal and BASF will upgrade its current terminal and pipeline assets for the export of ammonia from the new plant.

 

“I am very pleased to be here today, initiating the construction of an important investment for Yara – alongside our partners at BASF. The building of the Freeport Ammonia plant is a firm demonstration of how we deliver on our growth strategy,” said Torgeir Kvidal, President and CEO of Yara.

 

“BASF is in a period of significant investment in North America,” said Wayne T. Smith, Chairman & CEO of BASF Corporation and member of the Board of Executive Directors of BASF SE. “Through the joint investment with Yara, we can take advantage of world-scale production economics and the attractive raw material costs in the United States; strengthening our operations in Freeport and the competitiveness of our customer value chain in the region.”

 

The plant will have a capacity of about 750,000 metric tons per year and will be owned 68 percent by Yara and 32 percent by BASF. Each party will off-take ammonia from the plant in accordance with its equity share. BASF will use its share of ammonia from the plant to produce caprolactam, a key ingredient in the manufacture of nylons for carpet, textiles, film, monofilaments, and wire and cable. Yara will market the remainder mostly to industrial customers in North America, in addition to supplying the agricultural sector.

 

The hydrogen based process that will be used in the new plant significantly reduces capital expenditures and maintenance compared to a traditional natural gas based ammonia plant. A long-term supply agreement for nitrogen and hydrogen has been signed with Praxair, Inc, the largest industrial gases company in North America, linking the feedstock variable cost to the advantageous natural gas prices available at the U.S. Gulf coast.

 

KBR, Inc, Houston, Texas, has been awarded a fixed price turnkey contract for the engineering, procurement and construction. The plant is expected to be completed by the end of 2017. Yara will manage construction of the plant; BASF will operate the plant.

 

Peak construction for the project will create up to 550 jobs. Once completed, operation of the plant will add approximately 35 full time BASF positions in Freeport.

QuantumSphere Completes Nanocatalyst Production Facility

QuantumSphere, Inc. (QSI; Santa Ana, Calif.; www.qsinano.com) says it has completed its state-of-the-art manufacturing facility for the production of the company’s proprietary FeNIX nano iron catalyst product.

 

FeNIX nanocatalysts were developed to address costly production inefficiencies within the several hundred ammonia plants in operation worldwide. QSI’s high surface area FeNIX nanocatalysts, applied as a coating to existing commercial ammonia catalysts, provide a “turbo-charging” effect to catalytic activity – increasing conversion efficiency and overall production output in the nearly $100 billion global ammonia industry. Earlier this year, FeNIX nanocatalysts demonstrated an increase in production rate by 10 to 15% in a commercial reactor which could translate to more than $100 million in additional revenue for a typical, medium-sized ammonia plant over the life of the catalyst — with no plant modifications or additional capital expenditure.

 

Matthew Griffith, vice president of Operations, says “We are excited to report that we have successfully scaled and tested all aspects of our multi-step FeNIX manufacturing process, including a patented, automated gas-phase-condensation (GPC) process to tightly control nano-particle size and distribution, and a secondary passivation process allowing the highly active material to be safely handled and transported. In addition, we have completed our proprietary physisorption coating equipment which is used to adhere the FeNIX nanocatalysts onto base commercial pre-reduced ammonia catalysts on-site at an ammonia production facility.”

 

Kevin Maloney, president and CEO, adds, “Our ability to deliver FeNIX and other nanocatalysts in commercial quantities, combined with our industrial-scale validation results and Joint Development Agreement with Casale, strongly positions QSI to become an important value-added technology provider in the large and growing global ammonia market.”

 

QSI announced in May its multi-year Joint Development Agreement with Casale S.A. (Lugano, Switzerland; www.casale.ch), a global leader in production technologies for ammonia, urea, melamine, methanol, syngas, nitrates and phosphates. Casale’s reactor production technologies are utilized in approximately 38% of global ammonia production and 39% of global methanol production, which are key target markets for QSI.

 

Casale and QSI have agreed to collaborate on the development of commercial technologies for ammonia, methanol, and other industrial chemicals, which collectively account for several hundred billion USD in annual global production. Casale also agreed to utilize QSI as its exclusive provider of nanocatalysts for its chemical synthesis processes during the term of the agreement due to QSI’s products’ demonstrated increase in catalytic activity and patented high volume manufacturing process.

AkzoNobel Expands Performance Coatings Research Facility in Houston

AkzoNobel Performance Coatings is investing around €3 million ($3.4 million) to expand its research and development facilities in Houston, Texas.

 

The upgraded facility will support the company’s Protective Coatings, Marine Coatings and Specialty Coatings businesses. Completion is due in early 2016.

 

“The expanded facility will provide a central, state-of-the-art technical resource for our businesses in the US, creating the critical mass for effective R&D to efficiently support our customers,” said Aidan Mernin, RD&I Director for Protective Coatings.

 

 The expanded facility will be able to house up to 35 laboratory staff, with 30 skilled technologists employed initially. Key capabilities will include a dedicated area for experimental paint making, a modern paint application laboratory and environmentally controlled drying areas for conditioning of test panels. Enhanced chemical resistance testing will also be available to support the Ceilcote and Enviroline linings ranges in North America.

 

“This investment underlines our focus on technology and product innovation and providing technical support for our customers,” said Mauricio Bannwart, Managing Director of AkzoNobel’s Protective Coatings business. “It will be an integral part of our global RD&I function and will directly contribute to our overall growth plans.”

 

BioAmber Announces Opening of World's Largest Succinic Acid Plant in Sarnia, Ontario

Facility uses biotechnology to produce sustainable chemicals from sugar

BioAmber Inc., a leader in renewable chemistry, announced today the opening of its BioAmber Sarnia plant that was jointly built with Mitsui & Co., Ltd.

 

BioAmber Sarnia makes renewable chemicals from sugar instead of petroleum. The new plant uses innovative biotechnology and will produce biobased succinic acid from glucose sourced from southern Ontario agricultural suppliers. The BioAmber Sarnia plant is the world's largest succinic acid production facility and will be globally competitive while making chemicals more sustainably. 

 

BioAmber Sarnia is part of the growing bio-industrial cluster in Sarnia Lambton and has received support from the Government of Canada and the Government of Ontario through the Ontario Ministry of Economic Development, Employment and Infrastructure's Strategic Jobs and Investment Fund. BioAmber is also grateful for the support of Bioindustrial Innovation Canada and the Sarnia Lambton community.

 

BioAmber Sarnia's financial partners include Export Development Canada, the Farm Credit Corporation and Comerica Bank.

 

•BioAmber Sarnia construction cost: approximately US $141.5 million

•Capacity: 30,000 tons/year of succinic acid

•World's largest succinic acid plant

•Disruptive technology is lower cost than oil-based production

•Markets: increasing demand for renewable building block chemicals in large global markets

•Applications: examples include: plastics, paints, textiles and coatings, artificial leather, food and flavours and personal care products

•Volumes specified in signed take-or-pay and sales agreements exceed annual production capacity

•Approximately 300 construction jobs and 60 full-time jobs were created by the project; many of the plant operators are graduates from Lambton College

•100% reduction of Greenhouse Gas (GHG) emissions compared to the equivalent production process that uses petroleum.

 

JF Huc, CEO BioAmber: "We're excited that our renewable chemicals made from sugars are making everyday applications around the world more sustainable. We believe our disruptive biotechnology is going to profitably deliver benefits for the environment, our customers, our shareholders and the Sarnia Lambton community. "

Albemarle Begins Commissioning of New Lithium Carbonate Production Plant in Chile

Albemarle Corporation (NYSE: ALB), a premier specialty chemicals company and leader in the production of lithium and lithium compounds, announced recently the commencement of commissioning activities associated with its new, state-of-the-art lithium carbonate production plant.  The 20,000 MT plant, located at Albemarle's La Negra site, near the port of Antofagasta in northern Chile, will enable the company to meet the accelerating demand for lithium, especially high purity lithium compounds required for the production of large format lithium ion batteries.

 

The plant is on schedule to produce commercial quantities of lithium carbonate during the third quarter of 2015.  Albemarle expects to increase production from the new capacity beginning early in 2016.  Initial production will be sold into technical applications while more lengthy battery grade qualifications take place.

 

The commissioning and planned startup of this new plant further demonstrates Albemarle's commitment to meeting the demands of its customers, offering a reliable and reputable supply of high quality products and maintaining its position as a global leader in lithium production.

 

Visiting Chile last week, President and CEO Luke Kissam said, "I am very proud of the work our team has done to construct and now commission this state-of-the-art facility in Chile.  The company invested roughly $200 million to ensure we have a reliable source of supply for our customers as their demand for lithium, especially high purity lithium compounds, increases.  Today, we are beginning to see the results of that hard work and investment, and I look forward to a bright future for our business.  I thank our employees and the people of Chile for their support as we continue to grow responsibly in the region."

Honeywell Resins and Chemicals Breaks Ground on New Resin Manufacturing Line in Virginia  

Honeywell (NYSE: HON) Resins and Chemicals announced recently that it has broken ground on its new nylon resins production line at its Chesterfield, Va., manufacturing facility.

 

The new production line at Honeywell's Chesterfield, Va., plant will be the only North American source of key food packaging resins.

 

The new production line can produce multiple grades of Honeywell Aegis® nylon 6 resins, as well as copolymer nylon 6/6.6 resins, both of which are used in food packaging films and other applications. When the line starts up in the fourth quarter of 2015, Honeywell's Chesterfield facility will become the first and only North American supplier of both resins.

 

Honeywell announced in April 2014 its plans to build the new line, which will expand the manufacturing capacity of the Chesterfield facility by 40,000 metric tons to 200,000 metric tons per year.

 

"Honeywell has been committed to the nylon market for more than 60 years, and we are investing in expanding our capabilities and developing new technologies," said Erin Kane, vice president and general manager of Honeywell Resins and Chemicals. "Our position as the only fully-integrated North American manufacturer of both nylon 6 and copolymer nylon 6/6.6 will provide film manufacturers with a more secure resin supply than they have today."

 

The expansion will also showcase technologies developed by other Honeywell businesses, including Experion® PKS distributed process control systems from Honeywell Process Solutions.

 

Nylon packaging films made with Aegis® resins provide excellent barrier properties to oxygen, helping to retain flavor and maintain product freshness. In addition to food packaging films, Aegis resins are used in automotive, consumer and industrial applications spanning from carpeting and fishnet to plastic parts. Honeywell Resins and Chemicals also manufactures nylon films under the Aegis and Capran® brands for use in food packaging, as well as industrial applications ranging from wind turbine blades to aerospace components.

 

Through its nylon manufacturing operations, Honeywell Resins and Chemicals produces many chemical intermediates, including phenol, Nadone® cyclohexanone, Naxol® cyclohexanol, acetone and caprolactam. The business also manufactures Sulf-N® ammonium sulfate fertilizer, a co-product of caprolactam production. Honeywell's plant in Hopewell, Va., with a capacity of 350,000 metric tons of caprolactam per year, is one of the world's largest caprolactam and ammonium sulfate plants.

 

In addition to manufacturing, the business also conducts nylon-related research and development at technology centers in New Jersey and Virginia, where it operates laboratory-scale polymer reactors and blown film equipment, as well as in Shanghai, China, where the business has extensive analytical capabilities for resin development.

ASIA

 

H.B. Fuller Breaks Ground On New Adhesives Plant in Indonesia

H.B. Fuller Co. (St. Paul, Minn.; www.hbfuller.com) broke ground on its future manufacturing facility in Surabaya, Indonesia. This future facility will strengthen H.B. Fuller’s network in the Asia Pacific region and will complement the products and technical service offered by the company’s manufacturing facilities in China, the Philippines, Malaysia and Australia.

 

“This future manufacturing facility is an excellent example of how we will leverage our global reach and technical knowledge to empower local experts,” says Jim Owens, H.B. Fuller president and chief executive officer. “Today, we mark an important milestone in our commitment to deliver value to our customers in Asia, enhance our competitive position, and continue making investments in the capabilities necessary to support our long-term growth strategy.”

 

The company anticipates production of hot-melt and water-based adhesives products to begin in the second quarter of 2016. This increased capacity in the region will enable the company to consistently meet local customers’ requirements and grow significantly in Southeast Asia, particularly Indonesia.

 

From this new site, H.B. Fuller will provide adhesive solutions to customers in the hygiene, packaging, woodworking, filter, product assembly, container labeling and other durable assembly industries.

 

Solvay Starts Up Fluoroelastomers Plant in China

Solvay S.A. (Brussels, Belgium; www.solvay.com) has begun production at its new fluoroelastomers (FKM) plant in Changshu, China, as part of its ongoing strategic site expansion, to meet booming demand for its specialty polymers from Asia’s fast-growing automotive industry and multiple other high-end markets.

 

As Solvay Specialty Polymers’ third fluorelastomer unit in the world it benefits from the site’s existing Specialty Polymers operations* and infrastructure, as well as from secure raw material supplies through its  joint venture with nearby Shanghai 3F New Material Co.

 

From Changshu, Jiangsu Province, Solvay will supply its FKM brand Tecnoflon® which resists aggressive chemicals and heats of more than 250°C and is easy to process in various different molding techniques. Typical end-use products are gaskets, shaft seals and hoses used in sealing applications in the automotive, industrial and oil and gas industries.

 

“This state-of-the-art fluoroelastomers facility considerably strengthens our global industrial footprint, extending our reach from Europe and the United States to Asia,” said Augusto Di Donfrancesco, president of Solvay’s Specialty Polymers Global Business Unit. “Solvay Specialty Polymers offers the industry’s most diversified range of high-end polymers and our expansions in Changshu will bring us closer to our customers and support them in maintaining their competitive edge in their market segments.”

 

At the same site, Solvay Specialty Polymers is constructing a unit for the production of polyvinylidene fluoride (PVDF) to supply Solef. The unit is due to come on-stream by early 2017. In addition to fluoroelastomers, Solvay’s operations at Changshu include compounding, based on its specialty polymers resins.

BASF Starts Construction of Chemical Catalysts Plant in China

BASF has started building a new chemical catalysts manufacturing plant at its existing site in the Shanghai Chemical Industry Park in China, in an effort to meet growing Chinese and Asian market demand.

 

The chemical company said on June 18 that the new plant will be its first process catalysts manufacturing facility in the Asia Pacific region. It will produce base metal catalysts, custom catalysts and adsorbents, which are used in the production of fatty alcohols, sulfuric acid and butanediol and for the removal of impurities from olefins.

 

The plant design is said to be highly automated and energy efficient. It offers the opportunity for future expansion and the flexibility to adapt to new customer production requirements in the years ahead.

 

Commenting at the recent groundbreaking ceremony, Detlef Ruff, BASF's senior vice president for Process Catalysts, said that the new facility in the Shanghai Chemical Industry Park would strengthen the company's manufacturing footprint in Asia Pacific and improve its proximity to customers in the fastest growing region for its base metal and custom catalysts solutions.

 

"This new facility will be integrated into our global chemical catalysts manufacturing infrastructure allowing us to support strong regional demand growth while increasing our manufacturing capacity and overall production efficiencies," he explained.

 

Manufacturing activities at the new plant are planned to start in the fourth quarter of 2016.

Linde to Install World’s Largest Onsite Fluorine Plant in South Korea

The Linde Group’s (Munich, Germany; www.linde.com) affiliate Linde Electronics and Specialty Gases announced the construction of a new onsite fluorine plant to supply SK Hynix Semiconductor, a world-leading manufacturer of DRAM and NAND flash memories. The plant, which is said to be the world’s largest onsite fluorine (F2) plant, will supply the M14 line in Icheon, South Korea from the end of Q2 2015. This expansion of Linde’s patented on-site F2 technology to this new facility follows successful implementations at all SK Hynix’s production sites.

 

Carl Jackson, VP, Technology and Applications Development, Linde Electronics, said: “We’re proud to have had such a successful relationship with SK Hynix over the last 10 years, which has demonstrated the process benefits possible with onsite F2 along with a perfect safety record. We look forward to continuing to work together to further help SK Hynix improve the cost effectiveness of its manufacturing process.”

 

Linde’s on-site F2 technology has an established presence for chamber-cleaning applications across semiconductor, display and solar industries. It has been proven to be a highly effective fluorinated cleaning gas, demonstrating reductions in cleaning and recovery time and reduced plasma power consumption including, in some cases, elimination of the requirement to generate plasma for cleaning and reduced mass of chemicals required compared to the fluorinated gases typically used. Increasing concerns over the environmental impact of NF3 and potential legislation that could restrict its use in the future also contribute to interest in this proven technology.

BP Starts Up World’s Largest PTA Production Unit

BP p.l.c. (London; www.bp.com) celebrated the official startup of the Phase 3 purified terephthalic acid (PTA) plant of Zhuhai Chemical Co., enhancing its position in the purified terephthalic acid market and its longterm commitment in China.

 

BP Zhuhai, in which BP and Zhuhai Port Co. hold an 85% and 15% stake respectively, is the leading Sino-foreign joint venture producing and marketing PTA in China.

 

The completed Phase 3 plant, with a design production capacity of 1.25 million metric tons per year (m.t./yr), is said to be the world’s largest single-train PTA unit.

 

Commenting on the investment in Zhuhai, Edward Yang, president of BP China, said: “BP Zhuhai is a good example of our long-term commitment in Guangdong province, which accounts for a large proportion of our investment in China. We look forward to playing a greater and more active role in the progression of the ‘Green Guangdong Agenda’ by providing our significant experience and expertise in clean energy and energy efficiency.”

 

Zhuhai Phase 3 is the first site to use BP’s most recent version of its PTA technology. Compared with conventional technology, Zhuhai 3 is highly energy efficient and delivers 95% lower solid waste, 65% lower greenhouse gas emissions and 75% lower water discharge, therefore bringing benefits both for society and the company.

 

Nick Elmslie, chief executive of BP’s Petrochemical Business, said: “Technology is one of the key drivers for BP’s success. And this latest unit employs BP’s most advanced PTA manufacturing technology that will enable us to deliver high-quality products to our customers with higher operational efficiency and environmental performance.”

 

PTA is the essential raw material for making polyesters, and is extensively used in producing textiles, packaging and film products.

Toyo Wins Contract for Synthetic Rubber Plant in Indonesia

Toyo Engineering Corp. (Toyo; Chiba, www.toyo-eng.co.jp) and PT. Inti Karya Persada Tehnik (IKPT) have been awarded a contract for a synthetic rubber plant project with a production capacity of 120,000 metric tons per year (m.t./yr) in Cilegon, Java, Indonesia from PT. Synthetic Rubber Indonesia (SRI), a joint venture company of Compagnie Financiere Du Groupe Michelin (Michelin) and PT Chandra Asri Petrochemical Tbk (CAP).

 

This synthetic rubber plant will produce solution styrene butadiene rubber (SSBR) and polybutadiene rubber with neodymium catalyst (PBR) licensed by Michelin, which will be used to produce tires. The plant will utilize butadiene feedstock produced by PT Petrokimia Butadiene Indonesia, a subsidiary of CAP. Toyo entered into an offshore-supply contract and IKPT entered into a detailed engineering, procurement and construction contract with SRI separately. The target for completion is 2018.

Asahi Kasei to Expand Production of Styrenic Thermoplastic Elastomer

Asahi Kasei Chemicals Corp. will increase annual production capacity for hydrogenated styrenic thermoplastic elastomer (SEBS) by 30% at its Kawasaki Works site in Kanagawa, Japan, with startup scheduled for June 2016.

 

The expansion of performance polymer operations is a key element in the strategy of Asahi Kasei Chemicals. The company’s synthetic rubber and elastomer business has undergone proactive expansion focused on high-function and high-value added products. The company’s SEBS products are used in a wide range of applications, including plastic modification and adhesives, earning high regard from customers around the world.

 

SEBS is used as a modifier that enables polypropylene to be made flexible while maintaining transparency, and there are growing needs for flexible material as a substitute for polyvinyl chloride, especially in medical applications. Demand growth for this particular application has been centered in Europe and China in recent years. To meet growing demand, Asahi Kasei Chemicals increased production capacity for SEBS at its Kawasaki Works by 20% this spring. As continued demand growth is forecasted, the company decided to further increase production capacity by 30%.

MHI and Mitsubishi to Build Large-Scale Fertilizer Plant in Uzbekistan

Mitsubishi Heavy Industries, Ltd. (MHI; www.mhi-global.com) and Mitsubishi Corp. (MC; both Tokyo, Japan; www.mitsubishicorp.com) will build a large scale ammonia and urea fertilizer production plant for Navoiyazat Joint Stock Co. (Navoiyazat JSC), a chemical production company of the Uzkimyosanoat Joint Stock Co. (Uzkimyosanoat JSC) that manages chemical enterprises in Uzbekistan. An EPCC (engineering, procurement, construction and commissioning) contract with Navoiyazat JSC will soon take effects.

 

The fertilizer plant will be built in Navoiy, a city in the central region of the country. Utilizing Uzbekistan’s abundant natural gas resources as feedstock, the plant will have the capacity to produce 2,000 metric tons per day (m.t./d) of ammonia and 1,750 m.t./d of urea supergranules using the state-of-the art technologies and licenses from world leading companies. MHI will be responsible for fertilizer plant design, manufacture and procurement of equipment, on-site construction work and commissioning. MC, jointly with Mitsubishi Corporation Machinery, Inc., will handle transportation of plant equipment.

 

Uzbekistan became an independent state after the breakup of the former Soviet Union in 1991. Thanks to successful market-oriented economic reforms, the country has maintained a high economic growth rate of 7–9% since 2004. Along with this economic development, Uzbekistan is conducting a program to modernize its infrastructure and production facilities with introduction of modern and energy efficient technologies. The new fertilizer plant construction project is part of this initiative. The project also aligns with Japanese government efforts to support infrastructure system exports, and is expected to contribute to the economic development of Uzbekistan.

 

Uzkimyosanoat manages a number of companies, including 14 chemical enterprises; 13 regional distribution and logistics companies; 2 freight forwarding companies, a brokerage company and 2 research and design institutes. The total number of employees exceeds 48,000. The products manufactured by them include mineral fertilizers; inorganic products; and organic chemistry, acids, synthetic fibers, polymeric materials and household goods. Uzkimyosanoat is the only company in the region which produces all three types of mineral fertilizers (nitrogen, phosphorus and potassium). Currently Uzkimyosanoat started implementation of several big projects aimed for diversification and production of high value added products, such as automobile tires, conveyer belts, polyvinylchloride (PVC), caustic soda, methanol, NPK fertilizers and others. Navoiyazat JSC locates in Navoiy and manufactures more than 60 kinds of products, including fertilizers, chemicals, polymers, and acids.

Messer Commissions Second Krypton and Xenon Production Unit in China

Messer, the largest privately managed industrial gases specialist, has been producing the noble gases krypton and xenon at a new production facility in the central Chinese city of Panzhihua, Sichuan province, since May. In 2012, Messer commissioned its first noble gas unit in China – in Xiangtan, Hunan province, in the south of the country. With an additional annual production capacity of 5,000 cubic metres of krypton and 450 cubic metres of xenon with a purity of 99.999 per cent, Messer is the largest producer of high-purity krypton and xenon in China now.

 

“It was important to us to produce our own krypton and xenon. Thanks to our state-of-the-art facilities in Xiangtan and Panzhihua, we can now guarantee our local and international customers a reliable and top-quality supply,” emphasises Werner Hickel, Managing Director of Messer in China.

 

Krypton and xenon are two of the rarest elements found on the earth. They are used in the manufacture of light bulbs and gas lasers, amongst other applications. Krypton is also used as an insulating gas filling for double-glazed windows.

Sumitomo Announces Battery-Separator Capacity Expansion, New Plant in Korea

Sumitomo Chemical Co. (Tokyo; www.sumitomo-chem.co.jp) plans to more than double its production capacity for lithium-ion secondary battery separators at a site in Japan. In addition, a new production plant for lithium-ion secondary battery separators will be built in South Korea, and is scheduled to start commercial-scale production in 2017.

BASF Inaugurates New Plant for High Performance Ultramid® in China

•Polymerization capacity of 100,000 metric tons per year

•Local production supports growth of polyamide industry in Asia Pacific

BASF recently inaugurated its new Ultramid® (polyamide 6 and 6/6.6) polymerization plant at the Shanghai Chemical Industry Park in Shanghai, China. The new plant, with a capacity of 100,000 metric tons per year, will further strengthen BASF’s local production and supply network and better serve the growing market in Asia Pacific.

 

“This is the first investment in polyamide polymerization for BASF in Asia Pacific and shows our strong commitment to this market. The innovative production setup enables us to respond to our customers’ needs even quicker with more flexibility,” said Dr. Kurt Bock, Chairman of the Board of Executive Directors of BASF.

 

“The demand for polyamide products in the engineering plastics, fiber and film industries will continue to grow strongly, particularly in China. With the local production facility, we are well-positioned to support our customers’ strong growth and help them to develop innovative products for tapping into market opportunities,” said Dr. Albert Heuser, President Functions Asia Pacific, President and Chairman Greater China, BASF.

 

The BASF wholly-owned plant was built at the Shanghai Chemical Industry Park in Caojing which is also home to a world-scale facility for integrated isocyanates, operated by BASF and partners. At this location, BASF also has production plants for polytetrahydrofuran (PolyTHF) and polyisocyanate (Basonat®) for the coatings and furniture finishing industry, precious metal solutions for automotive catalysts, and an automotive coatings plant operated by BASF’s joint-venture company, BASF Shanghai Coatings Co., Ltd.

 

High performance Ultramid® products for the engineering plastics, film, fiber and monofilament industry.  With more than 60 years of experience, BASF is the leading supplier of high quality polyamide and polyamide intermediates for the engineering plastics, film, fiber and monofilament industry. The line of products include Ultramid® B (polyamide 6), Ultramid® C (polyamide 6/6.6 copolymer), Ultramid® A (polyamide 6.6) and Ultramid® S Balance (polyamide 6.10). The product offerings are supplemented by technical services for the customers.

 

BASF operates Ultramid® polymerization plants also in Ludwigshafen, Germany; Antwerp, Belgium; Freeport, USA; and São Paulo, Brazil. The production of polyamide for film, textile and carpet fiber as well as for engineering plastics applications is integrated into BASF’s global Verbund structure with polyamide intermediates (i.e. adipic acid, anolone, caprolactam), chemical raw materials (i.e. ammonia, cyclohexane, sulfuric acid), energy, by-product recovery, logistics and other services.

Celanese to Construct VAE Emulsions Unit in Singapore

Celanese Corporation (NYSE: CE), a global technology and specialty materials company and a global leader in vinyl acetate ethylene (VAE) emulsions, recently announced it has begun construction of a VAE emulsions production unit at the company’s acetyls facility on Jurong Island, Singapore. The unit is expected to begin production by mid-2016.

 

This Singapore unit will be the third VAE investment by Celanese in Asia, demonstrating the company’s commitment to growth and development of its emulsions business in the region. The Singapore plant will support the Southeast Asia region including India, Australia and New Zealand.

 

“Building a new VAE emulsions unit within the Jurong Island facility allows us to take advantage of existing infrastructure and ensure geographic coverage,” said Mark Murray, vice president and general manager of the Celanese emulsion polymers business. “With a VAE plant in Singapore, we will broaden our network to better serve customers throughout the Asia-Pacific region, primarily in the higher-end applications of architectural coatings, building and construction, carpets, and paper industries.”

 

“This new VAE emulsions facility will build on the capability we have developed over the last 15-plus years in Singapore and we are excited about our continued growth in the region.” said Mark Oberle, senior vice president, Asia. “This expansion will support Celanese’s growth strategy to expand our reach into emerging markets by bringing highly successful products such as Celanese EcoVAE® – a low odor paint emulsion – from the mature regions of Europe, the U.S., and China to Southeast Asia.”

 

Celanese created EcoVAE® emulsions for use in low-VOC (volatile organic compounds) paints. These emulsions address formulation and regulatory concerns as well as offer distinct competitive marketing advantages especially among environmentally-conscious consumers. EcoVAE® emulsions can be formulated into low-odor and low-to-near-zero VOC interior coatings.

 

Celanese currently operates two VAE emulsions units in Nanjing, China. The first began production at the company’s Nanjing integrated chemical complex in 2007, and the second began production at the same complex in 2011.

Solvay Launches Silica Plant Construction in South Korea to Meet Energy Saving Tire Demand

Solvay today launched the construction of its Highly Dispersible Silica (HDS) production plant in Gunsan, South Korea, to address growing demand in Asia for energy saving tires and to develop innovative HDS grades.

 

In the presence of the Head of Jun-Book province, the mayor of Gunsan and other local dignitaries, Solvay officially broke ground for the construction of the plant, which with an annual capacity of more than 80 000 tons, is expected to be operational in the next two years.

 

Solvay’s Global Business Unit (GBU) Silica will produce its latest and most advanced gradesof high performance silica including Efficium®. This latest generation of Highly Dispersible Silicaallows for higher productivity and greater flexibility in producing energy saving passenger car and truck tire compounds.

 

“This new production platform will be dedicated to silica innovations for Asia. Together with the Silica research facility, part of Solvay’s new R&I Center at the Ehwa University Campus in Seoul, we are well placed to speed up innovations in close cooperation with our regional customers,” said An Nuyttens, President of Solvay’s Silica GBU.

 

The facility in the Saemangeum zone, close to Gunsan city in Jeollabuk-do province, will over time replace an important part of the current capacity at Solvay’s Silica site in Incheon, which is located in area designated for future residential development.

Showa Denko to Build Hydrogen Fluoride Facility in China; Doubled Japan Capacity

Showa Denko (SDK) (TOKYO:4004) has started strengthening its system for supplying high-purity hydrogen fluoride (HF), a specialty gas for semiconductor production. SDK has decided to build a new HF production facility in China, and in March 2015 doubled the capacity of its existing HF production facility in Kawasaki, Japan.

 

High-purity HF is used mainly as a cleaning gas in the process of producing semiconductors. In recent years, the number of cases where HF is used as an etching gas in the process of dry etching which is called Chemical Oxide Removal (COR) is increasing. If a semiconductor manufacturer tries to introduce HF as an etching gas, there are many technical problems to be solved to maintain high-purity of the gas, which is necessary for etching. However, SDK’s high-purity HF for COR has been successfully penetrating the market due to the Company’s proprietary purification technology and achievement of long-term stability of HF’s quality in the gas cylinders for preservation.

 

COR is attracting semiconductor manufacturers’ attention as a fine-etching technology to replace plasma etching and wet etching, and consequently the demand for high-purity HF to be used in the COR process is becoming lively. To meet this active demand, SDK completed in this March the expansion of its HF production facility in Kawasaki Plant.

 

In addition, SDK has decided to build a new facility to produce high-purity HF in the premises of its wholly-owned subsidiary Shanghai Showa Electronics Materials Co., Ltd. (SSE), of China, in order to establish speedy and flexible high-purity HF supply system with multiple production bases and provide our customers in China with better service. The new facility is planned to have the same capacity as that of Kawasaki Plant. We will start the construction work in the course of this April, and aim to start operation of the new HF plant in China by the end of 2015.

 

Etching with high-purity HF can attain better productivity than that of wet etching with chemical fluids, and can achieve lower production cost than that of plasma etching. Thus, the demand for high-purity HF for etching is expected to continue growing in the future. SDK will aim to respond to the increasing demand for high-purity HF with its stable supply system, while further improving the product quality with its proprietary technology.

EMEA

WACKER Starts up New Production Plant for Specialty Monomers at Burghausen

Wacker Chemie AG has officially started up a new specialty-monomer plant with an annual capacity of 3,800 metric tons at its Burghausen site in Germany. The specialty monomers vinyl neodecanoate and vinyl laurate are key raw materials in the manufacture of specialty dispersible polymer powders. The goal of the new plant is to ensure that WACKER has sufficient specialty-binder capacity available, both now and in the future, to provide its customers with a secure, long-term supply of high-quality products. WACKER invested some €8 million in the facility and has, as a result, strengthened its position as the world’s biggest producer of dispersible polymer powders.

 

New plant for specialty monomers at WACKER’s Burghausen site. Specialty monomers are important raw materials in the manufacture of specialty dispersible polymer powders. WACKER invested some €8 million in the new plant and, as a result, has strengthened its position as the world’s biggest producer of dispersible polymer powders.

  

By expanding its capacities, WACKER is meeting global demand for its dispersible polymer powders – which is rising amid such world trends as urbanization, renovation and energy efficiency. The specialty monomers vinyl neodecanoate and vinyl laurate give WACKER’s dispersible polymer powders special properties, such as hydrophobicity.

 

Christoph Riemer, head of polymer-powder business at WACKER POLYMERS, stresses how strategically important the new production facility is: “With our new specialty-monomer plant, we now have the capacity we need to secure long-term a captive supply of these raw materials, which are important for polymer-powder production at Burghausen. In addition, the facility reinforces our leading market and cost positions sustainably.”

 

Bors C. Abele, head of acetyls business at WACKER POLYMERS, adds: “We have developed and patented our own novel process for the new plant based on vinyl acetate – a raw material that we actually produce ourselves on site. The process makes our production operations markedly more flexible and self-sufficient compared with conventional processes elsewhere.”

 

WACKER has been producing dispersible polymer powders as binders for dry-mix mortars in Burghausen, Germany, since 1957 and, today, is a global technology and market leader in this field. VINNAPAS® polymer powders find use in various construction applications such as tile adhesives, self-leveling flooring compounds, plasters, repair mortars, external thermal insulation composite systems and cementitious sealing slurries. They enhance important end-product properties, such as adhesion, cohesion, flexibility and flexural strength. Water retention, processing properties and weatherability benefit from VINNAPAS®, too.

Air Liquide Starts Up Large Hydrogen Production Unit in Germany

Air Liquide recently held the official start-up ceremony for its new, state-of-the-art Steam Methane Reformer (SMR) unit located in the Chempark Dormagen site near Cologne, Germany. Air Liquide invested around 100 million euros in this highly flexible production unit, which will supply Bayer MaterialScience’s new large-scale TDI (toluene diisocyanate) plant, one of the most important investments of the polymer company in recent years.

 

The new SMR, owned and operated by Air Liquide, has an annual production capacity of 22,000 tonnes of hydrogen and 120,000 tonnes of carbon monoxide. According to the long-term agreement signed in 2012, it will supply Bayer MaterialScience with large quantities of carbon monoxide and hydrogen, supporting the company’s ambition for this site to become their European center for TDI production. The chemical is employed in the production of flexible polyurethane foams, which are used to manufacture many everyday articles including mattresses, car seats and upholstered furniture.

 

The unit was designed and built by the Air Liquide Engineering & Construction teams using leading technologies that ensure the highest standards of efficiency, flexibility and safety while increasing production capacities.

 

Connected to Air Liquide’s 600 km Rhine-Ruhr pipeline, it will also enable Air Liquide to provide other customers in the basin with hydrogen.

 

Guy Salzgeber, Vice-President, Western Europe, and member of Air Liquide group’s Executive Committee, commented: “We are proud to have been chosen by Bayer MaterialScience as its technological partner for one of their most important projects in recent years. Through this first major contract in Germany with Bayer, we extend our long term worldwide relationship with this customer. This investment also expands and strengthens Air Liquide’s position in Germany by ensuring highly reliable supply to its customers. Germany is one of the key countries for our Group in Europe, with around 600 million euros of industrial investments in this country over the last 5 years.”

Sasol’s Wax Expansion Project Phase I Successfully Commissioned

Phase I of Sasol’s Fischer-Tropsch Wax Expansion Project (FTWEP) has been successfully commissioned at its Sasolburg Operations in South Africa.

 

“This is a significant milestone and we are very pleased with this development. It marks another step towards expanding our Southern African operations as part of our dual regional strategy, while demonstrating our commitment to South Africa through industrial investment,” said Bernard Klingenberg, Executive Vice President, Southern African Operations, Sasol Limited.

 

Commenting on the scale of the project, Stephan Schoeman, Executive Vice President, Group Technology, Sasol Limited said: “Phase I of the expansion of our wax facility in Sasolburg saw 31 million hours worked with an exceptional safety record. Resourced by 450 engineers and with approximately 5 500 construction workers on site, we erected 7200 tons of steel and used nearly 600 kilometres of piping.”

 

Phase II of FTWEP has commenced with major construction activity already underway and is expected to be commissioned in the first half of the 2017 calendar year. The entire project will see Sasol invest R13,6 billion in the South African economy.

 

Marketed through Sasol Performance Chemicals, hard waxes, medium waxes, liquid paraffins and waxy oils are applied to a variety of industrial applications. Hard waxes are used in hotmelt adhesives, PVC processing, inks, paints and coatings, and asphalt applications; medium waxes are used in candle markets and emulsions in the manufacturing of construction boards.

 

 

McIlvaine Company

Northfield, IL 60093-2743

Tel:  847-784-0012; Fax:  847-784-0061

E-mail:  editor@mcilvainecompany.com

Website:  www.mcilvainecompany.com