Technip Energies signs two MoUs for energy transition projects in Canada

Technip Energies signs two MoUs for energy transition projects in Canada

MOSCOW (MRC) -- Technip Energies announced signing two separate MoUs, one with PCL Industrial Management Inc. and another with Capital Engineering, to work collaboratively on efforts associated with energy transition markets in Canada, said Hydrocarbonprocessing.

Under the PCL agreement, Technip Energies services will include conceptual, front-end and detailed engineering, procurement, and technical capabilities with PCL leading constructability solutions, logistics evaluations, direct hire construction performance and execution solutions associated with hydrogen, ammonia, carbon capture, liquefaction, sustainable chemistry, and decarbonization solutions developments throughout Canada.

Technip Energies and Capital Engineering will work together to provide Front-End Engineering and Design (FEED), and Engineering, Procurement and Construction Management (EPCM) services.

With clear focus on the ongoing energy transition, the companies will explore opportunities involving industrial projects in areas such as carbon capture, hydrogen developments, sustainable fuels, and overall energy transition developments. Sean Ricketts, Houston Operating Center Managing Director for Technip Energies commented, "We are pleased to team up with PCL and Capital Engineering as we expand our services in Canada.

There are many energy transition opportunities throughout the country, and we bring our depth of knowledge and experience from both a technology and an engineering standpoint.”

Chris Pullen, Vice President and General Manager for PCL Industrial Management added, “PCL has a longstanding relationship with Technip Energies. The complementary capabilities of our organizations mean we can offer Canadian clients solid EPC solutions. We match Technip Energies well-established expertise in engineering and technology with our own strong history of delivering industry-leading planning, project management, and execution to energy transition projects.”

Scott Martin, Senior Partner with Capital Engineering adds “Capital is very excited to be jointly pursuing Canadian energy transition projects with Technip Energies. The combination of Technip Energies’ global expertise with Capital’s proven industry track record, knowledge of local requirements and Canadian project execution strategies provides a compelling offering to clients in this space.”

We remind, Technip Energies – as part of its long-term agreement with Aramco – has been awarded a contract to upgrade sulfur recovery facilities at Aramco’s Riyadh Refinery. This contract covers the implementation of three new tail gas treatment (TGT) units, improving the performance of the existing three sulfur recovery units (SRU) to comply with more stringent regulations for sulfur dioxide emissions, with recovery efficiency at more than 99.9%.

Imperial Oil to invest USD539 mln for renewable plant in Canada

Imperial Oil to invest USD539 mln for renewable plant in Canada

MOSCOW (MRC) -- Imperial Oil Ltd said on Thursday that it plans to invest CD720 mln(USD538.64 mln) to construct a renewable diesel facility near its Strathcona refinery at Edmonton, Canada, said Reuters.

The facility will use low-carbon hydrogen produced with carbon capture, storage technology and locally sourced feedstock, the Canadian oil major said.

Imperial said the project, first announced in August 2021, would produce 20,000 barrels of renewable diesel daily, while the production is expected to start in 2025.

The company, which has a deal with Air Products and Chemicals Inc for low-carbon hydrogen supply, said it is looking for third parties for bio-feedstock supply.

We remind, Canada will ban the manufacture and import for sale of single-use plastics in an effort to achieve zero plastic waste by 2030, according to Environment and Climate Change Canada. The ban covers single-use plastics including checkout bags, cutlery, food service ware, ring carriers, stir sticks and straws, the federal government stated in a news release published on June 20.

Sherwin-Williams Q4 earnings rise 41%

Sherwin-Williams Q4 earnings rise 41%

MOSCOW (MRC) -- Sherwin-Williams’ Q4 earnings before interest, tax, depreciation and amortisation (EBITDA) rose 41% year on year to USD752 mln, with sales rising at a faster pace than cost of sales, the US-based paint and coatings company said.

Sherwin-Williams reported revenue rose 9.8% to USD5.23 billion, short of forecasts. Earnings per share (EPS) of USD1.89 beat expectations.

The 320-basis point year-on-year improvement in gross margin was driven by sales growth and pricing actions, the company said. Volumes were flat, with demand strength in professional architectural and North American industrial end markets, but weakness in Europe and Asia end markets.

Sales, general and administrative expense, expressed as a percentage of sales, fell by 40 points to 29.8%.
The company saw a “modest” sequential decline in raw material costs from Q3 2022, it said.

"Sherwin-William.,delivered strong fourth quarter results compared to the same period a year ago, including high single-digit percentage sales growth, significant year-over-year gross margin improvement, expanded adjusted operating margins in all three segments, strong double-digit adjusted diluted net income per share growth and strong EBITDA growth," said CEO John Morikis.

We remind, Sherwin-Williams Company has announced an agreement to acquire Industria Chimica Adriatica (ICA), an Italian designer, manufacturer and distributor of industrial wood coatings used for kitchen cabinets, furniture and decor, building products, flooring and other specialty applications.

Cabot to invest in conductive carbon additives at Texas plant

Cabot to invest in conductive carbon additives at Texas plant

MOSCOW (MRC) -- Cabot Corporation announced that it plans to add conductive carbon additives (CCA) capacity in the United States to enhance its leadership position in the market and support the transition to electric vehicles (EVs), said the company.

Cabot plans to add conductive carbons capacity at their existing facility in Pampa, Texas, which is part of an approximately USD200 million planned investment program over the next five years focused on expanding the company’s CCA production in the United States.

The adoption of EVs plays a key role in the decarbonization of the economy, and the U.S. government has announced targeted efforts to build a domestic EV battery supply chain. As part of these efforts, federal and state governments have implemented a variety of programs in the form of grants, loans, and tax incentives. Cabot believes that many of these programs present potential funding opportunities for the company in its efforts to expand CCA production capacity in the U.S.

CCAs are an essential component of lithium-ion battery chemistry and are used to provide sufficient electrical conductivity to the active materials. Cabot has the broadest portfolio of CCAs including conductive carbons, carbon nanotubes (CNT), carbon nanostructures (CNS), and blends of CCAs to deliver optimal performance. Additionally, the company’s global footprint of manufacturing assets, technology labs and commercial resources enables regional supply security support for its customers.

Demand for critical battery materials, such as CCAs, for EV batteries is expected to continue to grow in the range of 20 to 30 percent globally over the next five years. Growth potential in the U.S. is expected to outpace global growth as penetration of EVs accelerates in the coming years. Cabot is committed to meeting the expected growing demand from its customers in the U.S. and helping to onshore critical battery components such as CCAs.

As part of its investment plans, Cabot expects to invest approximately USD75-90 million to produce 15,000 metric tons of conductive carbons annually at its existing facility in Pampa, TX. This project is expected to create approximately 75 high-quality jobs and is expected to commence operation at the end of calendar year 2025. In addition to a manufacturing plant, Cabot also operates a research and development facility and pilot plant in Pampa that focuses on developing new process technology for battery and other applications.

Cabot also intends to make additional investments to expand its U.S. manufacturing and technology footprint over the next five years with plans to invest in new CNT powder and dispersion capacity and to continue extending its portfolio of innovative products for battery applications.

We remind, Cabot, which recently pledged a net-zero emissions goal by 2050, has introduced the E2C FX9570 and E2C EX9620 products under the Engineered Elastomer Composites (E2C) product range to help reach its goal. The two novel solutions are designed to offer rubber producers options when developing products with high levels of durability in challenging operating environments. The newest composites will further support in enhancing durability and minimizing heat to benefit off-the-road tyres such as port and aircraft tyres, truck tyres used on rough surfaces, and in other industrial rubber goods exposed to high operating temperatures or harsh wear conditions.

Axalta releases fourth quarter and full year 2022 results

Axalta releases fourth quarter and full year 2022 results

MOSCOW (MRC) -- Axalta Coating Systems Ltd., a leading global coatings company, announced its financial results for the fourth quarter and full year ended December 31, 2022, said the company.

Fourth quarter net sales increased 8.7% year-over-year, including a 5.4% foreign currency headwind. The strong year-over-year growth was driven by 11.7% higher average price-mix, and 2.4% better volumes. Performance Coatings net sales increased 1.8% year-over-year, driven by constant currency growth of 10.5% in Refinish and 3.2% in Industrial. Mobility Coatings net sales increased 25.5% supported by a recovery in global auto production and continued pricing momentum.

Income from operations for Q4 2022 totaled USD109.8 million compared to USD94.7 million in Q4 2021. Net income to common shareholders was USD43.6 million, inclusive of approximately USD30 million of pre-tax charges associated with the Term Loan refinancing and restructuring charges, versus USD53.2 million in Q4 2021. Adjusted diluted earnings per share was USD0.38 compared with USD0.30 in Q4 2021. Q4 2022 benefited from robust sales growth, including significant realized pricing gains and volume improvement; however, operating income was negatively impacted by continued year-over-year variable raw material inflation and elevated logistics, energy and labor expenses. In addition, foreign currency headwinds, the Russia-Ukraine conflict and COVID-19 impacts in China represented a combined ~USD17 million headwind to income from operations in the quarter.

Chris Villavarayan, Axalta’s CEO and President, commented, "I am pleased to report fourth quarter earnings at the top of our guidance range, which reflected considerable year-over-year improvement. Strong pricing gains were realized across all end-markets and supported better year-over-year profitability. Margin recovery is a key priority for us and our second-half results showed notable progress on this front. Meanwhile, volumes again improved across the portfolio as demand for our products and services continue to outpace most end-market trends. We are exiting 2022 with strong momentum and a foundation to deliver continued progress into 2023."

Mr. Villavarayan continued, "I am thrilled to be leading the 12,000 team members of Axalta. This is an organization with an impressive legacy built on more than a century of innovation. The quality and depth of our people is impressive and I look forward to what we will accomplish together. In the months ahead my focus will be centered around execution as we look to accelerate an earnings recovery that is already underway."

We remind, Axalta, a leading global supplier of liquid and powder coatings, broke ground for construction of a state-of-the-art coatings facility in Jilin City, Jilin Province, North China. The 46,000-square-meter new plant will produce mobility coatings to support growing customer demand in China for light vehicles, commercial vehicles, and automotive plastic components. "Our new plant in Jilin is another building block supporting our ambitious growth strategy for our mobility business in China," said Nicolas Franc de Ferriere, Vice President, Mobility, Asia Pacific at Axalta.