Synthomer sells Laminates, Films and Coated Fabrics businesses to Surteco

UK chemicals company Synthomer has agreed to sell its Laminates, Films and Coated Fabrics businesses to Surteco North America for a total enterprise value of about USD255m, said the company.

The divestment is in line with Synthomer’s plans to increase the weighting of specialty chemicals versus base chemicals in its portfolio and create a more balanced geographic exposure, it said. The Laminates, Films and Coated Fabrics businesses, with plants in North America and Thailand, were part of Synthomer’s acquisition of OMNOVA Solutions in 2020.

The company will use expected net proceeds of USD245m from the divestment to pay down debt. The deal is expected to close in Q1 2023, subject to Synthomer shareholder and regulatory approvals.

Surteco North America is a subsidiary Surteco Group, a Germany-based developer, designer, producer and marketer of surface materials based on paper and plastics.

As per MRC, Synthomer PLC shares tumbled as its half-year was hit by soft demand for nitrile gloves, after a record performance the year before. The Essex-based chemicals maker said pretax profit in the first half dropped 55% to GBP115.5 million from GBP254.4 million a year before. Shares in Synthomer were 11% lower at 209.64 pence each in London on Tuesday morning. This was despite growth in revenue, which was 8.5% higher at GBP1.22 billion compared to GBP1.23 billion.
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Covestro is taking another major step forward on its path to climate neutrality. The company has signed several multi-year power purchase agreements (PPA) with CGN New Energy, including one that will cover around 30 percent of the electricity needs of the important production site in Shanghai, said the company.

"Covestro aims to become climate-neutral by 2035 and is systematically converting its production worldwide to renewable energies to achieve this goal," says CEO Dr. Markus Steilemann. “On the way to achieving this, we have reached a new milestone with this agreement. At the same time, we are contributing to the further expansion of the entire market for renewable energies with our investments and our commitment.”

Under the PPA, the Covestro Integrated Site Shanghai will purchase approximately 300 gigawatt hours of green power annually from CGN's wind and solar farms in the town of Lenghu in northwest China's Qinghai province. The agreement will reduce Covestro's carbon emissions in China by around 126,000 metric tons of CO2 per year. This is equivalent to the emissions of around 60,000 gasoline-powered cars annually. The PPA is scheduled to take effect in January 2023.

"We are delighted to support leading chemical companies like Covestro in converting their production sites to renewable electricity. We look forward to our further cooperation with Covestro, and together we will also contribute to China's dual carbon targets and sustainable development," says Qi Fang, Deputy General Manager of CGN New Energy.

The Shanghai site is already partly supplied by renewable energy. For example, in 2022 alone, it is expected to use more than 300 gigawatt hours of solar power generated in northwest China.

"This new contract is a milestone in the Shanghai site's journey to net-zero emissions. We have increased energy efficiency and significantly reduced emissions over the years, and the use of green power and alternative raw materials will be a key focus as we strive for carbon-neutral production in the next decade," says Holly Lei, President of Covestro China.

We remind, Covestro is proud to announce the successful completion of Circularise’s pioneering project with the certification scheme ISCC in which partners tested a blockchain system to complement the ISCC PLUS certification.

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MOSCOW (MRC) -- A major fire broke out this Friday evening, around 10:50 p.m. on the site of the petrochemical plant based in Mardyck, classified Seveso, in the industrial port of Dunkirk, said Francebleu.

Firefighters extinguished the fire overnight at 1:30 a.m. No injuries are reported.

A significant number of firefighters from the North lent a hand to the plant's own fire department, as required by procedure in this type of situation. The operation lasted from 10:50 p.m. to 1:30 a.m.
We do not yet know the precise cause of the fire but Versalis speaks of " a hydrocarbon which spread and then ignited ". According to the subsidiary, there was no toxic discharge and there is no risk this Saturday of external pollution . The plant is Seveso classified , meaning that it is identified by the European Union as an industrial site at risk.

The fire did not cause any injuries but significant material damage, in particular to the metal structures. According to Versalis, the losses amount to millions of euros according to the first findings.

In September 2019, Versalis (part of Eni) took its cracker in Dunkirk, France offline due to a fire which broke out at the company’s petrochemical plant, as per NCT with reference to market sources. It is not yet known how long the unit will remain shut while the company could not be reached for comments at the time of press.

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BASF’s Polyol and Polyurethane Systems (PU) plant in Nansha, China, is now ISCC+ certified. With the mass balance certification, BASF offers customers certified low-carbon mass balance PU solutions with equivalent product performance, said the company.

“The certification attests to our ability to produce certified low-carbon mass balance PU products that meet the high sustainability requirements of the ISCC+ standard. With this, we are helping our customers move ahead in their green journey,” said Andy Postlethwaite, Senior Vice President, Performance Materials Asia Pacific.

The certification paves the way for shoe manufacturers using BASF’s Elastopan® PU system to excite their customers with more sustainable footwear in commercial production. Elastopan PU system offers high-performance and innovative solutions for producers of casual shoes, safety shoes, boots, and sports shoes. These are tailor-made polyurethane foam systems for the production of unit-, mid-, out- and insoles. It is compatible with casting and direct injection machines.

BASF also offers formulated PU systems for a broad range of other applications. Polyol is a key component in PU.

ISCC is a sustainability certification system covering the entire supply chain and all kinds of biobased feedstocks and renewables. It is an internationally recognized certification scheme in the mass balance methodology.

We remind, Surface Treatment global business unit of BASF’s Coatings division, operating under the Chemetall brand, celebrated the inauguration of its state-of-the-art surface treatment production site in Pinghu City, Zhejiang Province, China. Spanning across 60,000 square meters, the Pinghu site is BASF’s first production site located in the Dushan Port Economic Development Zone and its largest surface treatment site globally.

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MRC) -- Saudi Aramco has begun negotiations with potential investors to participate in the development of one of the world's largest unconventional gas fields worth USD110 billion, Bloomberg reported, citing informed sources.

The Saudi state-owned company is considering the possibility of attracting investors to the development of the Jafurah project in the east of the country in terms of transportation and processing. Aramco has reached out to private equity firms and large infrastructure funds, sources said. The company is advised by Evercore investment bank.

At the end of November, Saudi Aramco signed a USD10 billion EPC contract to develop the Jafura field, which includes the construction of a gas plant and gas compression facilities, as well as infrastructure and related onshore facilities.

In the first 10 years of development, capital expenditures at Jafur will reach USD68 billion, and more than $100 billion will be invested in the field over the entire life cycle.

We remind, Saudi Aramco and Shandong Energy signed a Memorandum of Understanding to collaborate on downstream projects, including the construction of a refining and petrochemicals integrated complex. The deal, which includes the potential for a crude oil supply agreement and chemicals products offtake agreement, helps support Saudi Aramco's goal of building downstream assets in Shandong, China.
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