Wanhua Chemical's Q1 net profit down 24.6%

Wanhua Chemical's Q1 net profit down 24.6%

MOSCOW (MRC) -- Wanhua Chemical released the first quarter report of 2023, which showed that the operating income in the first quarter of 2023 increased by 0.37% over the same period of last year, said Everchem.

Net income totaled USD592 mln, up 54% sequentially and down 25% year over year.

The net cash flow generated by operating activities during the reporting period was CNY4,116 bn and the total assets were CNY 237,793 bn.

We remind, Wanhua Chemical also plans to increase the capacity of its polycarbonate (PC) plant in Yantai in Shandong province by 140,000 tons per year to 340,000 tons per year. The expansion will be carried out by reengineering the existing 200 ktpa PC production project at the site. The company is currently seeking environmental approval for the plan. The timing of the project is not disclosed.

Wanhua Chemical is mainly engaged in polyurethane business, petrochemical business and fine chemicals and new materials business.


Jubilant Ingrevia commissions new acetic anhydride plant at Bharuch, Gujarat

Jubilant Ingrevia commissions new acetic anhydride plant at Bharuch, Gujarat
MOSCOW (MRC) -- Jubilant Ingrevia has commissioned its new global scale acetic anhydride plant, at its manufacturing facility at Bharuch, Gujarat. This plant adds around 60,000 MT of capacity, whereby scaling Jubilant Ingrevia Limited’s overall annual acetic anhydride capacity to 210,000 MT, said Pharmabiz.

This enhanced capacity will also help the company to increase its global presence in various geographies and achieve leadership position in the global merchant markets. In the domestic market it further strengthens and consolidates Jubilant Ingrevia’s position as a market leader.

For several decades now, Jubilant Ingrevia has been regarded as a ‘partner of choice’ globally for supplying acetic anhydride for various end-usages. This facility augmentation will further strengthen the relationship that Jubilant Ingrevia enjoys with its global clients.

With this additional capacity, Jubilant Ingrevia also provides opportunity to its global customers to further expand their downstream products across end-user industries viz. pharmaceuticals, agrochemicals, food, vitamins, wood acetylation, electronics, dyes industry etc.

Rajesh Srivastava, CEO & managing director, Jubilant Ingrevia said, “We are pleased with the commissioning of our new global scale acetic anhydride plant. We are happy to see that our efforts to become a reliable supplier of acetic anhydride for international customers, is now showing significant results. This has led us to the decision to add a new plant with global scale capacity and hence achieve leadership in acetic anhydride’s global merchant market..

With our well-established global distribution network, this additional capacity of acetic anhydride will further ensure sufficient feedstock availability for our various global customers for their end products, as well as help them achieve their desired growth across global markets, he added.

We remind, Jubilant Ingrevia Ltd has announced a contract development and manufacturing organisation (CDMO) contract for around Rup 270-crore in its speciality chemicals business. Through the contract, the company will supply two GMP intermediates for one of the patented drugs of the innovator pharmaceutical customer. Commercial supplies of both products will start from FY 2023 onwards.


Petronas Chemicals to expand specialties portfolio

MOSCOW (MRC) -- Petronas Chemicals Group Bhd (PetChem) is focusing on expanding its specialties portfolio after posting a strong performance in 2022 amid geopolitical conflicts, market volatilities and general industry challenges, said the company.

The group said its landmark acquisition of Sweden-based Perstorp Group resulted in further diversification of the group’s product offerings, specifically for its specialty chemicals portfolio. “The company launched BRB Group’s new lube oil additives manufacturing facility in the Netherlands to serve as a global lube oil additives and chemicals hub for PetChem.

“In addition, two projects achieved the status of Final Investment Decision (FID), namely the development of a melamine plant in Gurun, Kedah, and the expansion of the 2-ethylhexanoic acid (2-EHA) plant in Gebeng, Pahang,” it said in a statement today, in conjunction with PetChem’s 25th annual general meeting.

PetChem closed 2022 with record revenue of RM29 billion and profit after tax of RM6.3 billion. Managing director and CEO Yusri Mohamed Yusof said the addition of Perstorp Group marks a major milestone, which will see over 130 new product offerings, seven manufacturing sites globally and more than 1,500 new members coming into the PetChem family.

“We have also established a new specialty chemicals division to manage and steer critical strategic priorities supporting the group’s long-term aspirations within this space,” he said.

PetChem also said it has enhanced its commitment towards sustainability in 2022 and surpassed its short-term target to reduce its Scope 1 and Scope 2 greenhouse gas (GHG) emissions by 100,000 tonnes of carbon dioxide equivalent (tCO2e) by 2024.

Through various efforts, such as process optimisation and catalyst upgrades, the group has achieved a cumulative reduction of more than 108,000 tCO2e so far, it said. In addition, Perstorp’s strength in sustainable solutions will accelerate PetChem’s value creation and its sustainability journey.

In 2022, PetChem recorded a production volume of 10.4 million tonnes per annum (tpa), and a sales volume of 8.3 million tpa while continuing with its track record on safety.

We remind, Petronas has signed two Project Development Agreements with ExxonMobil Exploration and Production Malaysia Inc. (ExxonMobil) to jointly pursue Carbon Capture and Storage (CCS) activation projects in Malaysia.
Under the agreements, both parties will define next steps, including the maturation of technical scopes for the CCS value chain, evaluation of the identified fields for CO2 storage utilisation, development of appropriate commercial framework and establishment of advocacy plan support on regulations and policy development in enabling CCS projects.


Sika’s acquisition of MBCC in final stages

Sika’s acquisition of MBCC in final stages

MOSCOW (MRC) -- Sika’s acquisition of the MBCC construction chemicals business “is now in the final stages”, with closing expected by the end of Q2, the Swiss construction and specialty chemicals company said.

Sika agreed to acquire MBCC back in 2021, but closing has been delayed as regulatory authorities had concerns about the deal's impacts on competition in markets for admixtures.

Mannheim, Germany-based MBCC has a total staff of about 7,500 people worldwide and annual sales of around EUR3bn.

Last month, Sika agreed to divest some of MBCC’s admixtures assets, with 1,600 employees and sales of Swiss franc (Swfr) 920m (USD1bn) last year, to investment fund Cinven.

MBCC was carved out of BASF and acquired in 2020 for EUR3.17bn by private equity firm Lone Star, which, a year later, agreed to sell it to Sika for Swfr 5.5bn.

We remind, the European Commission has approved the proposed acquisition of Germany-based construction chemicals producer MBCC by Switzerland’s Sika. The approval, under the EU Merger Regulation, is conditional on the divestiture of MBCC's global chemical admixture business.


EQUATE announces April MEG India contract price

MOSCOW (MRC) -- Global monoethylene glycol (MEG) producer EQUATE has nominated its April 2023 MEG India Contract Price (ICP) at USD515/tonne CFR India Main Ports, said the company.

The April nomination was USD23/tonne lower than the March number.

Spot MEG prices closed at USD495-505/tonne CFR China Main Ports (CMP) on 21 March.

We remind, The EQUATE Group, a global producer of petrochemicals and the world’s leading supplier of Ethylene Glycol, announced its full-year earnings for 2022. The EQUATE Group reported total revenue of USD3,947 million in 2022, compared to USD4,159 million in 2021. The Group also reported a net income after tax of USD611 million and EBITDA of USD1,217 million, compared to USD1,109 million and USD1,735 million, respectively, for 2021.