DuPont Dow Elastomers starts up new 135,000 MT plant for Engage® polyolefin elastomers
DuPont Dow Elastomers has announced that in May 2003 it produced the first prime pounds from its new 300 million pounds/135,000 MT per year facility for Engage polyolefin elastomers in Plaquemine, Louisiana. With this new facility on stream, DuPont Dow’s total capacity for Engage elastomers is 500 million pounds/200,000 MT/year.
Concurrent with the new manufacturing plant, the company plans to broaden the Engage® family with six new grades to be produced starting in second half 2003. The new grades will be predominantly ethylene butene based, complementing the existing ethylene octene compositions. The new grades will be targeted for automotive TPO and interiors, wire and cable and for consumer goods applications and have been available in developmental quantities since 2002.
Comments: DuPont Dow used NPE as a platform to extend its new grades of Engage elastomers product line. Since 1996, when DuPont Dow was created by the merger of the elastomers’ businesses of DuPont and Dow Chemical, the company has invested about $700 million to expand capacity and create new technologies.
DuPont Dow markets and sells the Engage line of elastomers per an agreement with Dow that calls for DuPont Dow to sell elastomers into non-packaging applications and for Dow to sell plastomers into packaging applications. Elastomers are defined as ethylene-based copolymers with densities less than 0.885 g/cc. Plastomers, on the other hand, are ethylene-based copolymers with densities between 0.885 and approximately 0.900 g/cc.The largest application for elastomers is by far polymer modification, accounting for over 55% of the demand. Other applications include wire & cable, foams, footwear and medical.
DuPont Dow also acquired the ability to produce metallocene based EP elastomers when the venture was formed, bringing a plant online in 1996 in Plaquemine, LA. In 1999, the conventional EP elastomers plant in Beaumont was shutdown, leaving DuPont Dow with the Nordel IP metallocene-based EP elastomers product line. According to the company, its best growth will come from its metallocene based Engage polyolefins and Nordel EP(D)M elastomers.
ExxonMobil Chemical introduces Vistamaxx™ specialty elastomers for next-generation solutions
On June 24, 2003 ExxonMobil Chemical launched the new Vistamaxx family of specialty elastomersduring NPE 2003. This new family of resins is derived from ExxonMobil’s proprietary EXXPOL® metallocene catalyst and proprietary polymerization reactor technology. ExxonMobil claims that Vistamaxx product line enhances (1) elasticity, (2) softness, (3) adhesion, (4) strength, (5) ease of processing, and (6) compatibility with a wide variety of polymers.
Vistamaxx specialty elastomers will be manufactured at a newly built 90 KT production facility in Baton Rouge, Louisiana. Commercial quantities of Vistamaxx specialty elastomers – in the form of free-flowing pellets – are expected to be available in the first half of 2004.
Comments: Exxon Chemical Company and The Dow Chemical Company introduced polyolefin plastomers and elastomers in the early 1990s. These are ethylene-based co-polymers with ?-olefins, made using metallocene catalysts that have densities below ca. 0.91 g /cm3. Exxon entered the market first with its Exact® product line, and it referred (and still refers) to the entire product line as plastomers. When Dow entered the marketplace, it arbitrarily divided its line of ethylene-octene-1 copolymers into 2 categories: polyolefin plastomers (POPs) were defined as the products having less than 20% by weight octene-1, and polyolefin elastomers (POEs) were those having greater than 20 weight % octene-1. The density dividing line is around 0.885 g/cm3. With the introduction of Vistamaxx, ExxonMobil has expanded its ethylene based elastomers and plastomers to include Exact plastomers, Vistalon®EP(D)M, Exxcelor™ MAH-grafted polymers, and Santoprene® thermoplastic vulcanizates. It is anticipated that the new Vistamaxx product will compete with other elastomers in polymer modification applications.
Dow introduces DOWLEX IP-51 –improved performance “Freezer-Grade” HDPE resins for injection molded packaging applications
The Polyolefins and Elastomers business group of The Dow Chemical Company announced the commercial launch of DOWLEX IP-51 Resin, a new “freezer-grade” high density polyethylene (HDPE) resin engineered to provide improved performance and processability over traditional HDPE resins.
According to the company, DOWLEX IP-51 PE resin offers fabricators an improved solution for low-temperature rigid packaging applications compared to other products on the market.
With a melt index of 50 and a density of 0.947 g/cc, DOWLEX IP-51 PE resin offers improved impact resistance, excellent processability and exceptional cold-temperature properties – making it especially well suited for frozen food applications such as ice cream and sherbet containers. DOWLEX IP-51 PE resin is also ideal for use in a broad range of thin-wall injection molded packaging applications, such as yogurt cups, deli and dairy containers and drinking cups. By optimizing the molecular weight distribution of DOWLEX Improved Processing (IP) Resins, Dow has further refined the combination of strength and processability desired by today’s manufacturers. Made via solution technology, DOWLEX IP resins bring to fabricators better flow characteristics compared to other HDPE resins with similar melt indexes. The high melt index of DOWLEX IP-51 PE resin provides several processing advantages, including improved cycle times, high lot-to-lot consistency and the ability to be used in high-cavitation molds, which improves overall productivity.
AT Plastics to merge with Canadian firm, Acetex Corporation
Vancouver, BC based Acetex Corporation, and Brampton, ON based AT Plastics, Inc announced their plans to merge to create an integrated chemical company focusing on specialty plastics and intermediate chemicals. Under the agreement, AT Plastics will become a wholly-owned subsidiary of Acetex.
AT Plastics is a manufacturer of highly specialized polymer resins, compounds and film products. AT Plastics’ manufacturing operations are located in Edmonton, Alberta. Acetex manufactures vinyl acetate monomer, which is a major feedstock of AT Plastics.
Acetex Corporation is headquartered in Vancouver, Canada, and has manufacturing facilities in France, and Spain. Acetex Corporation is Europe’s second largest producer of acetic acid and polyvinyl alcohol,and third largest producer of vinyl acetate monomer.
Comments: AT Plastics was formed in 1989 when the senior management of the plastic businessunit acquired polymers, films and packaging businesses from C-I-L Inc. (now ICI Canada Inc.).
The total product line until recently included (1) LDPE & XLPE, (2) EVA copolymers, (3) Ethylene vinyl silane resins and systems (Aqua-Link®) and (4) films for various markets (Milpac®-sacks, Dura-Therm®-greenhouse and nursery films, AgriPac®– silage films, Milrol®– construction films). In 2001, the wire & cable business including PowerGuard® and Aqua-Link were sold to Equistar. The merger should allow AT Plastics to take advantage of raw material integration and other product line synergy to strength its polyolefins and related plastics businesses.
Solvay enters into a partnership with Russian firm
Solvay entered into an agreement with Nikos, a private Russian industrial group, to create Soligran, a polyvinyl chloride (PVC) compounds joint venture in Russia. The new company will be a 50-50 joint venture between Solvay and Nikos. The new company will have two manufacturing facilities in Russia, one in Tver (170 km north of Moscow), and other in Volgograd. Nikos currently operates integrated vinyl chloride monomer (VCM) and PVC production units in Volgograd.
Nikos is a diversified financial and industrial group, which evolved from a research and production cooperative created in 1990 by a team of scientists from Moscow University’s Physics Faculty. It had total sales of about $200 million in 2002, with key assets in the chemical industry in Volgograd, as well as in the banking and financial sector.
Solvay is an international chemical and pharmaceutical Group with headquarters in Brussels.In 2002 its consolidated sales amounted to€7.9 billion, generated by its four sectors namely: Chemicals, Plastics, Processing and Pharmaceuticals.
KRATON Polymers introduces innovative KRATON®A polymers
KRATON Polymers recently unveiled its latest extension on its SB copolymer technology under the KRATONA product line.
KRATON A polymers have a distinctive molecular structure, which can be precisely controlled and tailored to meet the needs of the end-use applications. They also provide formulation flexibility in commonly used thermoplastic processing technology. KRATON A polymers can be compounded to produce materials which can improve the strength, elasticity, temperature resistance, softness, and appearance. Target end-use applications include toys, packaging, automotive, sports, construction and molded and extruded goods.
Comments: KRATON has a very broad range of SB copolymer portfolio including KRATON D (SBS and SIS), KRATON G (SEBS, SEPS), KRATON FG (maleic anhydride modified SEBS), KRATON IR (Polyisoprene rubber), and KRATON Liquid. KRATON A has been designed to take advantage of SB copolymers unique dual moiety structure and provide cost effective material solutions for silicone rubber and TPU end-users.
Dow shuts down Texas City olefins plant as planned
The Dow Chemical Companyshut down as planned the Texas City Olefins plant (former UCC plant) on June 16, 2003.
The closure of Carbide’s Texas City and Seadrift Olefins plants is part of Dow’s comprehensive US Gulf Coast Ethylene Review which Dow announced late 2001. Since then, projects have been undertaken to maintain the existing site integration benefits at both locations. The supply of olefins to downstream businesses has been secured through internal efficiencies and long-term purchase agreements..
PVC Compounds licensing deal between Michigan based Vi-Chem and Tessenderlo subsidiary Limburgse Vinyl Maatschapp
Grand Rapids, Michigan based compounder Vi-Chem signed a cross-licensing agreement with Belgium based, Tessenderlo subsidiary Limburgse Vinyl Maatschappi (LVM) to produce and market each other‘s polyvinyl chloride (PVC) compounds. Vi-Chem will produce LVM’s engineered slush PVC compounds at Grand Rapids and market them in North America and LVM will produce and market Vi-Chem’s engineered PVC compounds and thermoplastic elastomers in Europe.
Reliance & its subsidiary IPCL plan major expansions
Reliance Industries and its recently acquired subsidiary IPCL are planning separate investment programs to substantially expand capacity in India over the next five years. The program includes construction of Reliance’s first styrene plant. The unit will have a capacity of 550,000 MT/year, and its output will be sold on the merchant market, Reliance says. A site has not yet been selected.
Plans include expansions of para- and ortho-xylene, polypropylene, ethylene glycol, purified terephthalic acid (PTA), polyester staple fiber, and polyethylene terephtalate (PET) resin. IPCL’s program includes a doubling of polyvinyl chloride (PVC) capacity atGandhar; and expansion of ethylene, butadiene, and benzene capacity at Baroda.
Comments: Reliance has increased its dominance in the petrochemical industry by acquiring its closest competitor IPCL.Reliance is the fastest growing private sector company in India and will be among the top 10 petrochemical producers in the world in a few years.
In the last three decades Reliance has grown at an exponential pace and become the largest private sector industrial house in India in terms of assets, turnover, and profits. Reliance built its first polymer cracker complex in 1992 and has been expanding ever since.
The company has technical joint ventures with several major US manufacturers for manufacturing a range of commodity plastics.
Some of its US collaborators include: DuPont, Dow, ExxonMobil (through Mobil), Stone and Webster, and Bechtel.
Reliance has petrochemical complexes at Hazira, Patalganga, and Jamnagar. At Hazira complex the company manufactures PVC, PP, HDPE, LLDPE, and MEG. At Patalganga complex it manufactures PSF/PFY and LAB. At Jamnagar complex it manufactures Paraxylene and PP. At Naroda the company has spinning mills and weaving mills to manufacture fabric, yarn, and textile products.
Reliance is the domestic market leader in most of the markets it competes. The company has 60% market share in HDPE, 70% in PP, and 40% share in PVC. The company also has interests in various other sectors. It has joint venture with ONGC and Enron for oil and gas. It operates 750MW of captive power facilities. Reliance also has a presence in the telecom sector and rights for cellular in seven circles covering almost 30% of the Indian population.
Explosion shuts Sunoco Texas PP plant
An explosion and fire at Sunoco Chemicals’ La Porte, TX site on June 19 injured one employee and forced the shutdown of the 940-million lbs/year polypropylene (PP) plant. The employee suffered burns and was sent to a hospital, the company says. The explosion and fire occurred in a hexane distillation unit.
Procter &Gamble and Kaneka to select sites for biodegradable polymer
Procter & Gamble Chemicals (P&G) and Osaka based, Kaneka Corp. are deciding on a location for their commercial-scale plant to produce poly (3-hydroxybutyrate-co-3-hydroxyhexanoate) (PHBH), abiodegradable thermoplastic aliphatic polyester jointly developed by two companies. PHBH is part of P&G’s Nodax family of biodegradable plastics.Kaneka holds composition of matter patents, and P&G holds several patents covering the processing and application patents.
The companies currently produce PHBH at a rate of 50 kg/week at two locations in the U.S., and are now considering sites in Europe and in Asia for a 30,000 MT/year plant. The companies are considering locations in France, Germany, Italy, The Netherlands, China, Malaysia and Taiwan and plan to make the final decision in a couple of months.
Comments: The development of biopolymers has intensified in the last few years. In 1997, Cargill Inc. and Dow chemicals formed Cargill Dow LLC in order to develop and bring to full commercialization the PLA technology and products. In April 2002, Cargill Dow launched the first global-scale 300 MM Lbs of NatureWorks PLA (formerly known as EcoPLATM) resin plant at Blair, NB.
The entrance of P&G represents a strong drive by users of traditional plastics to develop environmentally friendly alternatives. P&G’s new biopolymer is made by fermentation of sugars from corn and sugar beet, and palm oil-based fatty acids, followed by a separation that yields 85%-95% of the polymer by weight. P&G is targeting fiber and nonwoven applications, where it says PHBH could compete with polypropylene. The material degrades both anaerobically and aerobically, has alkaline digestibility and good surface properties for printing. The main target applications would be flushable consumer products such as feminine hygiene products, medical surgical garments, and wipes. The company already holds patents for diaper top sheets that can be lifted and flushed.
Shin-Etsu to expand VCM & PVC in Europe
Shin-Etsu Chemical Company Ltd.’s subsidiary in the Netherlands, Shin-Etsu PVC BV, has announced its plans to increase its capacity for vinyl chloride monomer from 500,000 to 600,000 MT/year. The company will also upgrade the manufacturing processes of its polyvinyl chloride (PVC) plant, raising its nameplate by about 10% to 440,000 MT/year. The expansion is scheduled for completion by October 2003.
Bids for Ukraine based firm Lukor’s(joint venture between Lukoil and Oriana)polyethylene expansion
Linde is bidding for a contract to revamp a Unipol-process polyethylene (PE) plant for Lukor at Kalush, Ukraine. Lukor is a joint venture between Oriana (Kalush) and Lukoil (Moscow). Lukor plans to raise PE capacity from 100,000 MT/year to 160,000 MT/year. The company is also planning to expand capacity of a chlor-alkali and polyvinyl chloride complex.
Dow to invest $2.4billion in Eastern Germany?
A German newspaper Frankfurter Allgemeine Zeitung reported that Dow Chemical intends to invest €2 billion ($2.4 billion) in Eastern Germany by 2012. The reports say that Dow will build polyethylene (PE), polypropylene, and polystyrene plants at Schkopau, and is likely to apply for subsidies from the European Union as well as German federal and state governments for future expansion of these and other plants.
Basell to restart Louisiana PE unit as PP plant in 2005
Basell to restart its closed linear low-density polyethylene (LLDPE) plant at Lake Charles, Louisiana, as a 440-million pounds per year swing polypropylene”Catalloy” process resins plant in 2005. The plant was shut down in 2002 due to weak PE economics.
Comments: Basell has many process technology platforms including, but not limited to, Spheripol®(PP), Hostalen® (HDPE), LupoTech® (LDPE), Spherizone® (PP), and Catalloy® (TPO) under its belt due to its diverse and extensive ancestry. The Lake Charles Spherilene plant represented its limited participation in the North American polyethylene market. Since the closure of the plant, they have also divested their interest in the UHMW-PE business. On the other hand, Basell is a clear leader in polypropylene and related technologies. The Catalloy business has been experiencing healthy growth with plants in the U.S., Germany, and The Netherlands. This is prompted Basell into expanding Catalloy capacity by 200 KT over the next few years.
Lurgi to license methanol-to-propylene technology
Lurgi is close to signing the first contract to license its catalytic methanol-to-propylene (MTP) technology, most likely with a Middle East based company. The company is negotiating with other potential clients located in Africa, Latin America, and the Middle East.According to Lurgi, one of the potential clients would build methanol and MTP plants at the same site; another would build a plant to produce methanol in an African country where gas prices are low, and ship methanol to an MTP plant in another region; the other would add an MTP unit at an existing methanol site.
Comments: The technology is cheaper than any competing processes, including propane dehydrogenation and metathesis.
It also has much higher propylene yields. The process benefits from ample availability of low-cost methanol and the projected rise in propylene demand. Lurgihad developed MTP technology at a demonstration unit located at Statoil’s Tjeldbergodden, Norway site where Statoil operates a methanol plant
The demonstration plant has operated for 6,700 hours and recently started producing polymer-grade propylene that was shipped to Borealis’s Rafnes, Norway polypropylene plant for testing.
There are many different technology platforms available for methanol-to-olefin (MTO). The commonality between the different technologies is the availability of cheap methanol feedstock which is a requirement if it is to compete against other sources of olefins. These and other pertinent matters will be discussed in the upcoming issue of New Generation Polyolefins (NGP).
Japanese firm Sekisui buys South Korean polyolefin foam supplier
Osaka based Sekisui Chemical has acquired a controlling share in South Korean polyolefin foam producer, Yougbo Chemical Co., in Daejeon. With this acquisition, Sekisui’s global market share will increase to 45%. The company has 10 manufacturing plants in Japan, Asia, Europe, US, and Australia.
Comments: Sekisui has adopted a strategy of growing through acquisitions rather than expansion. The demand for foamed polyolefins is growing significantly in Asia/Pacific, especially China, and hence this acquisition was a perfect fit for the company. The total global market demand for closed-cell polyolefins is about 80,000 MT/year.
UK based Linpac closes Belgian molding plant
Birmingham, UK based Linpac Mouldings (a subsidiary of Linpac Group) will close its Overpelt injection molding plant in Belgium in July 2003. The move came after a period of low activity, local cost and Ford’s changes in sourcing arrangement. Production work from the plant is expected to be spread among other Linpac sites, with a portion switching to the company’s UK facilities.
Comments: Linpac’s Overpelt location was set up in 1992 to supply Ford’s Genk site 30 kilometersaway, with the intention of building up a widerautomotive molding business from continental carmakers. The location manufactured glove boxes, bumpers, door panel, interior and exterior trim,centre consoles,post finishers, Trunk Trim, fender liners and other automotive application.
Linpac’s primarily function is in the development and production of plastics and paper based products and solutions.
Samsung, Atofina to sign joint venture deal for 2003 third quarter launch
South Korean Company, Samsung General Chemicals Co. and French Atofina have announced their plan to launch a 50:50, US$1.55 billion, Korean-based petrochemicals joint venture, called Samsung-Atofina, in the third quarter of 2003. The joint venture project is expected to maximize business capabilities by combining Samsung’s chemical production technology with Atofina’s marketing and distribution network.
Tredegar Film Products to close film facility
Richmond, Virginia based Tredegar Film Products has announced that it will close its film manufacturing plant in New Bern, N.C. The move will cut cost and the production will shift to its facilities in United States, Europe, Brazil and China. The site traditionally made films for the personal care product for end use products like diapers, incontinence and feminine hygiene. Other products at facility include aperture films, photopolymer films for electronic uses and laminating.
Ashland to Distribute Equistar’s PE
Ashland Distribution has signed an agreement with Equistar Chemicals to distribute Equistar’s polyethylene (PE) resins and compounds to the wire and cable industry in North America.
Comments: Equistar increased its participation in the North American wire & cable market via the acquisition of AT Plastics PowerGuard (medium voltage) and Aqua-Link (low voltage) wire & cable application and materials businesses. Before then, Equistar produced the Aquathene® line of moisture-crosslinkable products, which the company commercialized in 1999. The agreement with Ashland Distribution is a measure to increase Equistar’s position in the wire & cable industry, which is currently dominated by Dow (former UCC).
Toyo lands methanol-DME contract in China
Toyo Engineering has been awarded a contract by Luzhou, China based Lutianhua Group to construct a 1,350 MT/day methanol plant at the Sichuan West Chemical City in Luzhou. The plant will provide feedstock for a commercial-scale fuel-grade dimethyl ether (DME) plant at the same site. The complex is a joint venture between Chinese government and by the Sichuan provincial authorities as part of a clean energy project.
The methanol plant will use technology licensed from Synetix that will include Toyo’s MRF-Z reactor. The project is scheduled to be completed in spring 2005. The DME plant currently under construction will use Toyo technology, and be the first in the world dedicated to fuel use. The fuel DME manufacturing process is based on the dehydration of methanol using a proprietary catalyst, and can produce up to 2.5 million MT/year of DME in one reactor.
Comments: DME is usually formed by the condensation of two methanol molecules over an acid catalyst producing high yields and mostly water.
Much work has been done by companies like BP to investigate a way to substitute DME for propane using easily shipped methanol and skid plants.
DME has 25% less heat capacity than propane but the combustion characteristics are very different. DME burns with a blue flame compared to propane’s yellow flame and hence less heat is lost to radiant energy.
Asian companies have shown the biggest interest in DME because it can serve as a firewood replacement in third world areas denuded of firewood and without the more complex propane infrastructure. It also can fuel diesel engines. These diesel markets are sizable and for this reason, large 150,000 MT/yr plants have been proposed. Fuel methanol is needed because the economics will not work with chemical grade pricing and the quantities must be large enough to base load stranded gas projects. Technology is not changing much but scale is making massive shifts. The common state of the art is not 5000-8,000 MT/day (Lurgi, Haldor Topsoe, etc) but the newcomer Starchem weighs in at 10,000-15,000 MT/day, a huge scale shift. The cost elements in methanol are solely feedstock and capital scale.
The connection between DME and propylene/ethylene (Methanol to Olefins) is that both need fuel based methanol to succeed. Without this position, both are non starters. Starchem fuel methanol based on stranded gas costs (including IRR) is more than 25% less than the current state of theart facilities. On a very rough calculation basis, stranded gas based fuel methanol would produce DME about 30% cheaper than propane.
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