Olin earnings beat, revenue misses in Q3

Olin earnings beat, revenue misses in Q3

MOSCOW (MRC) -- Olin reported a decrease in third-quarter net income after costs surged and sales ticked slightly lower, said the company.

The following table shows the company's financial performance. Figures are in millions of dollars. President and CEO Scott Sutton said the company is experiencing “recessionary global economic conditions”.

“While our chemical businesses have been challenged by European and North American epoxy and vinyls intermediate demand shortfalls and increased Asian exports, the core electrochemical unit (ECU) pricing for merchant chlorine and caustic soda continued to move higher,” Sutton said.

Sutton said he anticipates chlor-alkali products and vinyls Q4 segment results will come in slightly lower than Q3 levels on the expectation that chlorine and caustic soda pricing will continue to improve, while vinyls intermediates pricing is likely to remain under pressure.

“Our epoxy segment fourth quarter results are expected to seasonally decline from third quarter 2022 levels, exacerbated by increased Chinese exports precipitated by continuing weak Chinese domestic demand,” Sutton said.

Overall, the company expects Q4 2022 adjusted EBITDA to decline approximately 15% to 20% from Q3 levels.

We remind, Olin Corporation announced that it expects to cease methylene chloride and chloroform production at its Stade, Germany facility by third quarter 2023. Olin will continue to produce both products at its Freeport, Texas facility.

Olin Corporation is a leading vertically-integrated global manufacturer and distributor of chemical products and a leading U.S. manufacturer of ammunition. The chemical products produced include chlorine and caustic soda, vinyls, epoxies, chlorinated organics, bleach, hydrogen, and hydrochloric acid. Winchester's principal manufacturing facilities produce and distribute sporting ammunition, law enforcement ammunition, reloading components, small caliber military ammunition and components, and industrial cartridges.

Lihuayi Weiyuan picks Lummus technology for new polypropylene facility in China

Lihuayi Weiyuan picks Lummus technology for new polypropylene facility in China

MOSCOW (MRC) -- Beijing' Lummus Technology's Novolen technology has been selected by Lihuayi Weiyuan for a new polypropylene (PP) plant to be built in Shandong Province, China, said Apic-online.

Lummus' scope includes the technology license for the PP unit, as well as basic engineering, training and services. A schedule for the project was not given.

'We are grateful for Lihuayi Weiyuan's selection of No-volen, and proud to support our customer across the full value stream from propane feedstock to high-value polypropylene product, said Lummus President and Chief Executive Leon de Bruyn.

'Our technology has proven to yield our customers sig-nificant CAPEX and OPEX advantages, coupled with the ability to produce a comprehensive range of high-performance polymers.'

Last year, Lihuayi Weiyuan also chose Lummus' Catofin technology for a new 600,000-t/y propane dehydrogenation unit in China.

We remind, Clariant’s Catalysts business has been awarded three new contracts by China’s Lihuayi Group for its upcoming petrochemicals production units. The agreements include three of Clariant’s high-performance catalysts for the production of ethylene, styrene, and propylene. From Clariant’s ethylene catalyst line, Lihuayi chose the OleMax 101 catalyst for its 1000 KTA olefins plant for high-value olefins recovery from cracked gas and off-gas streams. The OleMax 100 series is used to purify gas streams for acetylene, dienes, oxygen, nitrogen oxides, and heavy metals, in a single reactor, enabling highly cost-efficient olefins production.


Tronox reports Q3 2022 financial results

Tronox reports Q3 2022 financial results

MOSCOW (MRC) -- Tronox reported an increase in third-quarter net income on increased sales and a tax benefit, said the company.

The following table shows the company’s financial performance. Figures are in millions of dollars. The company said revenue was up year on year driven by higher prices for titanium dioxide (TiO2), zircon and pig iron and on higher pig iron volumes.

John D Romano, co-CEO, said the results were despite a significant reduction in demand in Europe, Middle East, Africa, and Asia Pacific.

Romano said the company expects TiO2 demand to plunge by 25-30% in Q4 because of customer destocking, continued weakness in Europe, Middle East, Africa, and Asia Pacific, and seasonal weakness in North America.

“We believe customer inventory levels remain low relative to previous periods of economic weakness, so we do not believe we will see similar levels of destocking as we move into 2023," Romano said.

The company said it expects Q4 adjusted EBITDA to be USD140m-170m, assuming the decrease in TiO2 volumes and one-time cost impacts from reduced production as a result of lower customer demand. Full year adjusted EBITDA is expected to be USD902m-932m.

The company said it has implemented plans to significantly reduce its annual capital expenditures (Capex) to below USD275m in 2023 to adapt to the macroeconomic environment as it unfolds.

Tronox plans to reduce production of titanium dioxide (TiO2) in the fourth quarter amid falling demand in Europe, Middle East, Africa, and Asia Pacific.

Tronox Holdings plc is one of the world’s leading producers of high-quality titanium products, including titanium dioxide pigment, specialty-grade titanium dioxide products and high-purity titanium chemicals; and zircon. We mine titanium-bearing mineral sands and operate upgrading facilities that produce high-grade titanium feedstock materials, pig iron and other minerals.

Solvay partners to create a circular economy for soda ash production in Rosignano, Italy

Solvay partners to create a circular economy for soda ash production in Rosignano, Italy

MOSCOW (MRC) -- Solvay is partnering with two companies to collect and re-use the limestone residues from its soda ash production in Rosignano, furthering the company’s commitment to continually optimize the efficiency and sustainability of its operations, said the company.

Pending further tests, the new partnerships could accelerate the decrease of limestone residues released into the sea, building upon the action plan announced in September to invest in new technical solutions at the site.

Solvay and IPSIIS, a startup established in Wallonia, Belgium specializing in the manufacture of environmentally-friendly, non-flammable, lightweight and geo-sourced insulating mineral foams, are testing the use of soda ash manufacturing residues to produce specialized construction products. Since 2018, IPSIIS has been labeled a “Solar Impulse Efficient Solution”.

Solvay is also working with the Italian subsidiary of Germany-based Ferro Duo, which specializes in recycling industrial materials, to use the inert solids from soda ash manufacturing as components of fertilizers to enrich soils where precious elements like calcium, sulfur, potassium, magnesium and iron are found.

“We are excited to work with IPSIIS and Ferro Duo to develop the capabilities to create a circular economy for our soda ash production in Rosignano,” said Philippe Kehren, president of Solvay’s Soda Ash & Derivatives division. “This is the latest example of how we are constantly looking for innovative ways to improve the sustainability of our operations, a key component of our Solvay One Planet Roadmap."

“The IPSIIS process enables the recycling of secondary products to produce lower carbon footprint materials. Partnering with Solvay in this circular economy program is key for IPSIIS’s development and fits totally with our company vision and daily commitment,” said Gilles Bocabarteille, IPSIIS Board Member and Managing Director.

"With more than 20 years of experience in the business of materials recycling and waste reprocessing, Ferro Duo is excited to be working with Solvay on this ambitious sustainability project and propose a new value-creating application for limestone residues from the Rosignano plant. Together we will develop new products and new market opportunities to recycle industrial residues and create value and employment,” said Pietro Squilla, Managing Director of Ferro Duo.

Solvay ’s Rosignano facility has been manufacturing soda ash and sodium bicarbonate since 1912. These products are made from natural limestone and salt. They serve essential applications, such as the production of glass and air-pollution control systems, as well as applications in the healthcare industry, such as hemodialysis.

We remind, Solvay announced it is increasing its Amodel® polyphthalamide (PPA) resin capacity by 15% at its Augusta manufacturing site in Georgia as a result of operational excellence initiatives. The new capacity facilitates the production of innovative and more sustainable Amodel® PPA grades that offer a reduced CO2 footprint due to manufacturing improvements.

Yansab records losses during Q3 2022

Yansab records losses during Q3 2022

MOSCOW (MRC) -- Yanbu National Petrochemical Co. (Yansab) reported a net profit after Zakat and tax of SAR 510.6 million in the first nine months of 2022, a 57% decrease from SAR 1.196 billion in the year-ago period, said Argaam.

The profit decline was attributed to higher production inputs average cost and lower average preliminary selling prices for all of the products resulting from changes in the market price and higher shipment cost, despite higher production and sales.

In Q3 2022, the company turned to a net loss after Zakat and tax of SAR 61 million, against a profit of SAR 179.78 million in the year before.

On a sequential basis, the company’s net profit fell from SAR 288.5 million in Q2 2022.

Shareholders’ equity, after minority interest, fell to SAR 14.207 billion as of Sept. 30, 2022, from SAR 14.652 billion in the year-earlier period.

We remind, Yanbu National Petrochemical Co (Yansab)’s net profit fell by 51.6% year on year in the second quarter on the back of higher costs. Q2 net profit was weighed by higher production costs despite higher sales volumes, it said in a filing to the Saudi bourse, Tadawul. Q2 gross profit was down by 48.23% year on year at SR399.7m.