Orlen model petchem margin falls in September

Orlen model petchem margin falls in September

PKN Orlen's model petrochemical margin fell month on month by EUR82/tonne to EUR1,087/tonne in September, its lowest level in the year so far, said the company.

In August, the margin was EUR1,169/tonne, while in September 2021, it was EUR1,267/tonne.

The highest monthly margin recorded by Orlen in the year to date is April’s EUR1,456.

We remind, Poland’s ORLEN Group has finalised its merger with Grupa LOTOS, strengthening its leading role in the fuel and energy industry in Central and Eastern Europe. The final step in the process that has been successfully completed was the registration of the merger by the District Court of Lodz. The merger paves the way for unlocking synergies inherent in leveraging the potential of the two companies. As an immediate effect, the merger of PKN ORLEN and Grupa LOTOS will help increase capital expenditure, step up the execution of the most profitable projects, increase the country’s energy independence and ensure stable fuel supplies for all customers.

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BASF in partnership project to recycle polyurethane fridge insultation into polyol

BASF in partnership project to recycle polyurethane fridge insultation into polyol

BASF is working in a partnership project to develop a new process for the recycling of polyurethane insulation materials from old fridges, said the company.

The depolymerisation chemical recycling process will enable the material to be turned into a polyol, which in turn can be used in the production of new polyurethane materials.

Currently, rigid foam insulating material from fridges ends up as ‘regrind’ which is used for energy generation.

Initial trials on the new process have produced positive results, BASF said in a statement.

“This innovative process is particularly challenging because it has to be very robust in order to reliably convert post-consumer waste with high levels of foreign substances into a high-quality recycled polyol. The progress made by the four partners is promising.”

The project’s goal is to develop an industrial process that delivers high-quality recycled polyols comparable to those obtained from primary fossil raw materials, the German chemicals producer added.

BASF is collaborating with REMONDIS Electrorecycling, RAMPF Eco Solutions, and machine and systems manufacturer KraussMaffei.

We remind, Fluor Corporation announced that the company was awarded two reimbursable engineering, procurement and construction management contracts by BASF for the ethylene oxide/ethylene glycol and infrastructure, offsites and utilities packages as part of the company’s new Verbund program in Zhanjiang, Guangdong province, Chin.
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Sika CEO sees long list of potential buyers for MBCC assets

Sika CEO sees long list of potential buyers for MBCC assets

Swiss construction chemicals major Sika has begun the process of looking for “a competent buyer” for part of the MBCC admixture business it is acquiring, said Reuters.

Closing of the MBCC acquisition has been delayed until H1 2023 to allow for an in-depth examination by UK regulator, the Competition and Markets Authority (CMA) which is concerned about its impact on the UK's chemical admixtures market. Chemical admixtures are an essential input for concrete and cement used in the construction industry.

MBCC Group is the construction chemicals business carved out of BASF. In 2020, it was acquired for €3.17bn by private equity firm Lone Star, which agreed to sell it to Sika a year later. MBCC which has a staff of about 7,500 people worldwide, has sales of around €3bn.

Sika has obtained unconditional approval for the deal from authorities in most jurisdictions, including Japan, China, Brazil, South Africa, Saudi Arabia, Turkey, and Thailand. Meanwhile, Sika raised its full-year 2022 sales guidance and now expects sales in local currencies to rise by more than 15% from 2021, compared with an earlier guidance of 10% growth.

As per MRC, Sika is still waiting for regulators to approve its planned acquisition of Germany-based MBCC Group. Sika agreed to acquire MBCC in November 2021. Sika keeps co-operating closely with authorities and currently hopes to complete the deal by the end of 2022, it said.
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Spolchemie plans options for hydrogen by-product

Spolchemie plans options for hydrogen by-product

Czech chemicals company Spolchemie is looking at alternatives for the use of the hydrogen it generates as a by-product of chlorine production, said the company.

The by-product is currently used to drive steam-turbine generators. A feasibility study carried out for Spolchemie by German engineer Bilifinger looked at options to use the hydrogen in applications in mobility: buses, trains, and cars.

The hydrogen by-product can be cleaned, cooled and compressed for onwards transportation by road, rail or pipeline. Considering a capacity of up to 2,000 tonnes/year of hydrogen, the feasibility study analyzed ways to transport these large amounts to Prague and Bratislava, using composite vessels, with a first project expected to be realised in 2025.

“As our many innovations, investments and efficiency improvements show, we take our environmental responsibility seriously and this includes using our by-products to increase for example sustainable mobility,” said Daniel Tamchyna, CEO of Spolchemie.

We remind, AOC, Kaprain and Spolchemie announce they have reached agreement on AOC acquiring the Unsaturated Polyester Resin (UPR) manufacturing operations located at the Spolchemie site in Usti nad Labem (Czech Republic).

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IPACKCHEM acquires majority stake in TPG Plastics

French plastic packaging products company IPACKCHEM has acquired a majority stake in TPG Plastics, said the company.

With the deal, IPACKCHEM plans to produce its in-mould fluorination barrier packaging products at TPG's plant in Murray, Kentucky. “This transaction is an important step for IPACKCHEM to deliver on our promise to serve our international customers from a truly global manufacturing footprint,” said JP Morvan, the company's founder and CEO.

“We plan to supply the North American crop protection market as of the 2023-2024 season, while continuing to expand TPG’s existing customer base,” the CEO said. Financial details were not disclosed.

We remind, SK Capital Partners, LP, a private investment firm focused on the specialty materials, chemicals and pharmaceuticals sectors, has completed its previously announced acquisition of Ipackchem Group SAS, a leader in sustainability-oriented barrier packaging.

IPACKCHEM is a global supplier of specialised barrier packaging solutions that service the crop protection and specialty chemicals end markets.

The company, which last year was acquired by US private equity firm SK Capital, has plants in Europe, the UK, China, India, Brazil, and South Africa.

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