Haldor Topsoe and Hyundai Oilbank sign MOU to joinly develop green energy solutions

Haldor Topsoe and Hyundai Oilbank sign MOU to joinly develop green energy solutions

MOSCOW (MRC) -- Hyundai Oilbank and Haldor Topsoe have signed an MOU to jointly identify opportunities within blue and green hydrogen, waste plastic recycling, bio-refinery, eFuels, CCUS and other solutions to reduce carbon emissions, according to Hydrocarbonprocessing.

The MOU will support Topsoe in further optimizing its clean energy technologies and potentially enable Hyundai Oilbank to increase its low-carbon business and meet the company’s target that 70% of total profit should derive from eco-friendly business by 2030.

Both Topsoe and Hyundai Oilbank strive to mitigate climate change. Topsoe develops cutting-edge technologies within green hydrogen, green ammonia, eMethanol, and eFuels. Hyundai Oilbank has started a transformation of its production to significantly reduce carbon emissions in its customer offerings.

Under the MOU, the two parties will collaborate on developing sustainable and efficient solutions within a range of green energy solutions.

As MRC reported before, in October 2021, Dow (Midland, Michigan), the world's petrochemical major, and Haldor Topsoe partnered to promote the circular economy. About 300 million tons of plastic waste is produced every year on a global scale. The partnership between Dow and Topsoe marks a new initiative to efficiently convert waste plastics to circular plastics, keeping them out of the environment and responsibly reclaiming their value. Plans include Dow to proceed with the design and engineering for a 10,000 ton per year market development unit using Haldor Topsoe’s PureStepTM technology to purify pyrolysis oil feedstock derived from waste plastics for use in circular products.

We remind that in October 2021, Dow also announced several advancements in its efforts to prevent plastic waste, reduce greenhouse gas emissions and provide customers with recycled plastic products. The company says these advancements will help it to provide initial supply of fully circular polymers to customers starting in 2022.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,868,160 tonnes in the first nine months of 2021, up by 18% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,138,510 tonnes in January-September 2021, up by 30% year on year. Supply of propylene homopolymer (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding statistical copolymers of propylene (PP random copolymers) decreased significantly.
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Solvay Q3 net profit rises amid strong demand, sales volumes

Solvay Q3 net profit rises amid strong demand, sales volumes

MOSCOW (MRC) -- Solvay's underlying net profit rose by 54.9% year on year in the third quarter to EUR273m, driven by stronger sales volumes and demand , said Reuters.

The company now sees free cash flow at the end of the year of around 800 million euros (USD928 million), up from previous guidance of 750 million euros which had already been upgraded in July.

"Further actions are being implemented to account for the rising raw materials, energy and logistics costs," Chief Executive Officer Ilham Kadri said in a statement. Solvay, whose products range from base chemicals such as soda ash to speciality polymers, reported third-quarter sales of 2.57 billion euros, beating a company-provided consensus of 2.41 billion euros.

Earnings before interest, tax, depreciation and amortization (EBITDA) in the quarter stood at 599 million euros, also above a consensus of 570 million euros.

The company, which makes lithium derivatives for batteries, confirmed its guidance for full-year EBITDA of 2.2 to 2.3 billion euros, flagging however that energy prices would continue to be high in the fourth quarter.

As MRC informed earlier, Solvay says it aims to reduce emissions further from its own production plants and related to the energy it purchases, and include in its 2030 sustainability targets emissions in the value chains connected to Solvay’s activities.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,868,160 tonnes in the first nine months of 2021, up by 18% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,138,510 tonnes in the first nine months of 2021, up by 30% year on year. Supply of propylene homopolymer (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding PP random copolymers decreased significantly.
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Clariant and Air Liquide present MegaZonE

Clariant and  Air Liquide present MegaZonE

MOSCOW (MRC) -- Clariant’s long-term partnership with Air Liquide Engineering & Construction has resulted in another major breakthrough in methanol synthesis: the MegaZonE technology, said the company.

Based on Clariant’s MegaMax® catalyst series, this innovative method uses several layers of catalysts with different activity levels to optimize heat management and overall catalyst performance in the methanol synthesis reactor.

Furthermore, the properties of each catalyst layer are tailored to the specific conditions along the reaction pathway, which results in a significantly longer catalyst lifetime (by up to 2 yrs) and an increased cumulative methanol production (up to 15%), thus potentially leading to monetary benefits of up to several MM US dollars. With this performance outlook, MegaZonE was successfully applied to two world-scale methanol plants in Asia this yr, showing already excellent and stable performance.

Stefan Heuser, Senior Vice President and General Manager at Clariant Catalysts, commented, “MegaZonE is a game-changer for both current and future methanol producers as it allows more compact and resilient designs, ultimately resulting in increased profits for our customers. It is another example of the close cooperation between our innovative catalyst R&D team and our longstanding engineering partner Air Liquide Engineering and Construction."

MegaZonE enables increased efficiency of the methanol synthesis loop, thus, the loop can be operated at milder conditions. Catalysts with moderate activity are loaded in hotter zones of the converter to prevent hotspots, while activity-enhanced catalysts are placed further down the reaction pathway to intensify reaction rates in the lower portion of the converter. On the one hand, less thermal stress on catalysts will lead to longer catalyst lifetimes. On the other hand, high activity in the bottom part of the reactor will increase reaction rates and reduce by-product formation by up to 10%. MegaZonE technology is a drop-in solution and enables tailored refill options for process optimizations of existing units. It also allows a more compact and resilient design for new plants.

Moreover, the possibility to use different feed sources, such as stranded gas, unused syngas, or CO2- rich gases, can drastically reduce the CO2 footprint of methanol producers, making MegaZonE also a highly sustainable solution.

As per MRC, Clariant says that its board has appointed Conrad Keijzer as the company’s new CEO, effective 1 January 2021. Hariolf Kottmann, Clariant’s executive chairman ad interim, will return to his position as chairman of the board, once Keijzer assumes responsibility.

Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,868,160 tonnes in the first nine months of 2021, up by 18% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,138,510 tonnes in the first nine months of 2021, up by 30% year on year. Supply of propylene homopolymer (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding PP random copolymers decreased significantly.

Clariant AG is a Swiss chemical company and a world leader in the production of specialty chemicals for the textile, printing, mining and metallurgical industries. It is engaged in processing crude oil products in pigments, plastics and paints.
MRC

Indian Reliance Industries exits US shale gas sector business

Indian Reliance Industries exits US shale gas sector business

MOSCOW (MRC) -- Reliance Industries (RIL) has exited all its business in the upstream oil and gas shale play that was based out of the United States, according to Business Standard.

A company statement said that Reliance Eagleford Upstream Holding, a wholly-owned step-down subsidiary of Reliance Industries, announced the signing of agreements with Ensign Operating III, a Delaware limited liability company, to divest its interest in certain upstream assets in the Eagleford shale play of Texas, USA.

"With this transaction, Reliance has divested all its shale gas assets and has exited from the shale gas business in North America," RIL said.

Reliance said that a Purchase and Sale Agreement has been signed between REUHLP and Ensign on November 5, 2021 for this sale. The sale is at a consideration higher than current carrying value of the assets.

RIL officials refused to disclose the price at which this transaction took place. The company is now left with nil interest in US-shale assets. A part of the Eagleford asset was sold in March 2018 to Sundance Energy for about USD100 million.

Earlier this year, RIL had divested all of its interest in certain upstream assets in the Marcellus shale play of southwestern Pennsylvania. Those assets were sold to Northern Oil and Gas, (NOG), a Delaware corporation. The deal was for a consideration of USD250 million cash and warrants that give entitlement to purchase 3.25 million common shares of NOG at an exercise price of USD14.00 per common share in next seven years. A Purchase and Sale Agreement was signed between Reliance Marcellus and NOG on February 3, 2021 for this sale.

As MRC reported earlier, Indian refining giant Reliance Industries is doubling its polyethylene terephthalate (PET) recycling capacity by setting up a recycled polyester staple fiber (PSF) manufacturing facility in Andhra Pradesh. The move is part of RIL's commitment to lead the industry on circular economy, enhance its sustainability quotient and bolster the entire polyester and polymer value chain.

According to MRC's ScanPlast report, August estimated PET consumption in Russia reached 65,350 tonnes, up by 19% year on year. Russia's overall estimated PET consumption increased in the first eight months of 2021 by 12% year on year to 535,610 tonnes.

Reliance Industries is one of the world's largest producers of polymers. Thus, the company produces among others polypropylene, polyethylene and polyvinyl chloride.
MRC

Evonik expects better financial results in 2021

Evonik expects better financial results in 2021

MOSCOW (MRC) -- After a strong third quarter, Evonik is making its earnings forecast for the current year more precise, as per the company's press release.

The company now expects adjusted earnings before interest, taxes, depreciation and amortization (adjusted EBITDA) of about EUR2.4 billion. This is the upper end of the previous range of EUR2.3 billion to EUR2.4 billion that Evonik had expected mid-year. Sales will also reach the upper end of the forecast range - EUR14.5 billion. Previously, Evonik had expected EUR13 billion to EUR14.5 billion.

"We continued to grow strongly in the third quarter," said Christian Kullmann, chairman of the board of management. "All four chemical divisions benefited from increased demand. We were able to completely compensate for higher raw material, energy and logistics costs by raising our prices."

Adjusted EBITDA rose 24 percent to EUR645 million in the July to September period compared with the same three months the previous year. Compared with the second quarter, earnings remained stable, despite one-time costs of around €30 million from higher bonus provisions, maintenance shutdowns and loss of sales due to impaired supply chains and a lack of raw material availability.

Sales at the company gained 33% to EUR3.87 billion in the third quarter compared with the previous year. The increase reflects continued positive demand dynamics across all divisions. Adjusted net income increased 45% to EUR269 million with adjusted earnings per share rising from EUR0.40 to EUR0.58.

Improved business performance led to a 68 percent increase in free cash flow in the quarter to EUR524 million. As a result, free cash flow reached a record level of EUR937 million in the first nine months.

"For the year as a whole, we now expect free cash flow of around €1 billion," said Ute Wolf, chief financial officer. "We are proud that we were able to generate even more cash than previously thought. Now we’re expecting a full-year cash conversion rate above last year's good figure, which was about 40%."

Specialty Additives: The division's sales rose 20% to EUR934 million in the third quarter. Products for the construction and coatings industry as well as for renewable energies achieved significant sales growth in all regions because of a considerable increase in demand. Additives for polyurethane foams for the automotive sector as well as durable goods such as mattresses and refrigerators saw higher demand with sales rising significantly. The increase in sales at the division was partly limited by interruptions in global supply chains and the associated lack of availability of individual raw materials. Adjusted EBITDA increased by 5% to EUR224 million.

Performance Materials: The division's sales rose by 77% to EUR784 million in the third quarter. Sales of C4 products increased significantly with higher demand and strongly improved selling prices. The superabsorbent business continues to be affected by a difficult market environment. Adjusted EBITDA rose from EUR28 million to EUR97 million in the quarter.

As MRC informed earlier, in February, 2020, Dow and Evonik entered into an exclusive technology partnership. Together, they plan to bring a unique method for directly synthesizing propylene glycol (PG) from propylene and hydrogen peroxide to market maturity.

Propylene is the main feedstock for the production of polypropylene (PP).

According to MRC's ScanPlast report, PP shipments to the Russian market were 1,138,510 tonnes in January-September 2021, up by 30% year on year. Supply of propylene homopolymer (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding statistical copolymers of propylene (PP random copolymers) decreased significantly.

Evonik is one of the world leaders in specialty chemicals. The focus on more specialty businesses, customer-oriented innovative prowess and a trustful and performance-oriented corporate culture form the heart of Evonik’s corporate strategy. They are the lever for profitable growth and a sustained increase in the value of the company. Evonik benefits specifically from its customer proximity and leading market positions. Evonik is active in over 100 countries around the world with more than 33,000 employees.
MRC