Evonik develops new lubricant additives to save fuel

MOSCOW (MRC) -- Evonik Industries, one of the world’s leading specialty chemicals companies, has developed a new generation of lubricant additives. With the launch of these products, Evonik has expanded the range of lubricant solutions that they offer to the automotive industry, as per the company's press release.

These additives maintain the viscosity (thickness) of the lubricant at an optimized level across a broad range of temperatures, while offering additional protection against wear and tear. In addition to reducing vehicle fuel consumption by three to four percent, this latest generation of Evonik lubricant additives also extends the life of engines and transmissions.

Claus Rettig, who heads up Evonik’s Resource Efficiency Segment, notes: "We offer our customers solutions that enable them to use resources efficiently. Our latest high-performance additive expands our leadership in lubricant additive technology. At the same time, it also strengthens our position as a provider of environmentally sound, energy-efficient system solutions for the automotive industry."

The growth of the global market for high-performance lubricant additives is outpacing that of other markets. The reasons for this, according to Rettig, are increasing mobility as well as increasing demand in Asia for high-performance lubricants containing a higher proportion of additives. In response, Evonik has recently and significantly expanded its production capacities at its Singapore manufacturing facilities.

This new generation of additives represents an extension of a class of polymers known as comb polymers. On the market since 2010, these materials are gaining increasing acceptance for use in high-performance lubricants. Because they reduce fuel consumption, and thereby help reduce carbon dioxide emissions, their use in factory, or first-fill oils for new cars is becoming increasingly common.

As MRC wrote previously, Evonik Industries is paving the way for a new technology whose applications include automotive finishes that are more scratch-resistant than ever before. In March 2014, the specialty chemicals company developed an industrial-scale method for producing silane-modified binders for automotive finishes. The advantage of these silane-modified binders: silane groups increase crosslinking density, making it possible to create automotive finishes that are flexible yet harder, leading to improved scratch resistance.

Evonik, the creative industrial group from Germany, is one of the world leaders in specialty chemicals. Its activities focus on the key megatrends health, nutrition, resource efficiency and globalization. Evonik benefits specifically from its innovative prowess and integrated technology platforms. Evonik is active in over 100 countries around the world. In fiscal 2014 more than 33,000 employees generated sales of around EUR12.9 billion and an operating profit (adjusted EBITDA) of about EUR1.9 billion.
MRC

MOSCOW (MRC) -- Poland’s Grupa Azoty is making a USD450m entry into the global propylene market, in a move that underscores its position as one of Europe’s biggest chemical companies, said Financial Times.

The investment, the largest in the company’s history, will create Europe’s biggest production plant for propylene, a critical chemical in the production of plastics and solvents, used in a range of products including car parts, carpets and toys.

Grupa Azoty is one of only a handful of Polish business giants that has managed to turn national dominance into international clout, amid long-overdue efforts by the country’s government to encourage overseas expansion and investment in new business areas among its largest corporates.

Pawel Jarczewski, the company’s chief executive, said the investment was of "historical magnitude". "It opens up a whole new sphere for future development for the company," he told the Financial Times. "This investment confirms Grupa Azoty’s position as?.?.?.?Europe’s emerging player on the chemical market."

The new plant is capable of producing 400,000 tonnes of propylene a year and will begin production in 2019. This is expected to increase the Warsaw-listed company’s annual revenue by 20 per cent to 12bn zloty (USD3.2bn).

Europe is estimated to have a deficit of about 1,000 tonnes of propylene per year. The plant, to be built in Police on Poland’s northern Baltic coast, will export 60 per cent of its production, the company said.

"There is a significant market gap in Europe [for propylene]," Mr Jarczewski said. "This is a highly profitable project."
The investment, part of Grupa Azoty’s planned USD2bn capital expenditure push between now and 2020, is expected to be funded by new financing, but the company declined to provide details.

Grupa Azoty, which is controlled by Poland’s government, is also eyeing up as many as 10 overseas acquisitions, as part of an aggressive diversification push to catch up with global rivals. The company is evaluating takeover options in the Czech Republic, Hungary and Lithuania, as well as investment opportunities in Africa, Malaysia and South America.

The spending spree comes as Warsaw tentatively steps back from a risk-averse approach to managing its state-run enterprises, in a tacit acknowledgment that the country’s national champions lag behind their global rivals and must expand internationally in order to stay competitive.

KGHM, a Polish state-controller copper miner, snapped up mines in Canada, the US and Chile in 2012, state-run petrochemical company PKN Orlen bought a Canadian oil and gas producer last year, and PKO Bank Polski has been given the green light to start operations in the rest of Europe.

Poland’s treasury minister Wlodzimierz Karpinski, who ultimately oversees the government’s investments, said in a statement that he supported Grupa Azoty’s "innovative investment of strategic importance for the country and the continent".

As MRC informed earlier, Grupa Azoty has signed a contract with Uhde Inventa-Fischer of Germany under a project to construct a new Polyamide 6 Plant in Tarnow. The contract is for the purchase of licences, process design and project equipment. The capex budget for the project totals PLN 320m. The project is scheduled for completion in December 2016 and will add 80,000 tonnes to Grupa Azoty’s annual polyamide production capacity.

MRC

MOSCOW (MRC) -- BASF, the world's petrochemical major, and Heidelberg University have signed a new agreement for their joint catalysis laboratory "Catalysis Research Laboratory" (CaRLa), as per BASF's press release.

The research cooperation at Heidelberg site ongoing since 2006 has been extended to October 2017.

"Catalysts play a central role in many technical processes in chemistry. In times of increasingly scare resources they are of major importance for energy and raw material efficient processes," says Dr. Peter Schumacher, head of the research department Process Research and Chemical Engineering at BASF. "CaRLa combines the broad scientific expertise of Heidelberg University with the chemical-technical know-how of BASF, thereby offering an outstanding infrastructure to jointly lay the foundation for new industrial catalytic processes."

CaRLa will continue to be managed by two scientific heads. Following the age-related retirement of Prof. Dr. Peter Hofmann, one of the initiators of CaRLa, Prof. Dr. Oliver Trapp of the Organic Chemical Institute will assume the scientific management for Heidelberg University. For BASF, Dr. Thomas Schaub has been the scientific head and laboratory manager at the site since mid 2014. There have also been organizational changes and new appointments in the controlling team. With the new agreement, the scientific heads Trapp and Schaub jointly emphasize that the successful project work in the joint catalysis laboratory can be continued and further expanded.

As MRC wrote before, BASF is further strengthening its production footprint in Asia Pacific with the start-up of its first production plant for polymer dispersions in Pasir Gudang, Malaysia, in January 2015. This production plant is built at the existing BASF production site, located in the Pasir Gudang Industrial Park of the Johor Free Trade Zone. The plant is BASF’s third polymer dispersions plant in ASEAN, complementing the existing dispersions plants in Jakarta and Merak, Indonesia.

BASF is the world’s leading chemical company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas. BASF had sales of over EUR74 billion in 2014 and around 113,000 employees as of the end of the year.
MRC

MOSCOW (MRC) -- PolyOne, a premier global provider of specialized polymer materials, services and solutions, has announced development of reSound NF reinforced materials, based on an eco-conscious, natural fiber-filled technology, said the producer on its site.

Developed for advanced applications in transportation, these materials contain a minimum of 30% bio-based content, and are in current evaluations at several key automotive OEMs.

"Global automotive manufacturers seek lightweight materials to help them meet tough new regulations on CO2 emissions as well as their own goals for sustainability. Based on results from our collaboration with these customers, reSound NF reinforced solutions will enable the transition to a lighter weight material that provides the high performance required for challenging applications," said Craig Nikrant, president, Global Specialty Engineered Materials at PolyOne.

These natural fiber-filled solutions can be processed on standard machinery and tooling at low injection molding temperatures and short cycle times, and will complement the advanced long and short fiber solutions in PolyOne’s current portfolio. They feature densities 5-10% lower than comparable glass fiber formulations to reduce weight.

New reSound NF solutions are based on polypropylene (PP) chemistry. PolyOne has identified more than 15 potential applications, including under-the-hood components, lighting systems, and semi-structural applications, and is actively collaborating on these and additional opportunities with customers.

As MRC reported earlier, in June 2014, PolyOne Corporationpresented its specialty portfolio for automotive interiors to designers and engineers at the 2014 WardsAuto Interiors conference. These advanced technologies, including soft-touch materials as well as colorants and special effects, enable customers to design new features that boost consumer appeal and reduce manufacturing complexity.

PolyOne Corporation, with 2014 revenues of USD3.8 billion, is a premier provider of specialized polymer materials, services and solutions with operations in specialty polymer formulations, color and additive systems, polymer distribution and specialty vinyl resins.
MRC

Moscow (MRC) - Temporary problems in the production of high density polyethylene (HDPE) have led to a price rise in the Russian spot market last week, as per ICIS-MRC Price Report.

The Russian market HDPE have been waiting for the resumption of the production at Stavrolen all March. Many market participants thought that the growth in production volumes and increased competition between local producers would lead to price cuts.

However, Stavrolen has not resumed its work yet , and the technical problems at Kazanorgsintez, which that led to a decrease in capacity utilisation and temporarily suspension of HDPE shipments into the domestic market last week, caused a stir in the market. By the end of the week PE prices increased in the spot market.

Kazanorgsintez is the largest producer of HDPE in Russia and given the shutdown of Stavrolen problems at the Kazan company have a major impact on the spot market. Amid low stocks of HDPE at the traders' warehouses and the oncoming restrictions on trucks movement of federal roads, the spot market was quite nervous reacted at the suspension of HDPE shipments from Kazanorgsintez.

The most critical situation was in the market blow moulding HDPE, where Kazanorgsintez is single supplier in the Russian market so far. Spot prices for blow moulding HDPE last week started from Rb86,000/tonne FCA Kazan, including VAT, but by Friday, some companies have raised prices up to Rb92,000/tonne FCA Kazan, including VAT.

Market of film HDPW was more quite because of the availability of the offers from other producers, in particular, from Nizhnekamskneftekhim. Prices fro film HDPE in the late week grew to Rb87,500/tonne FCA, including VAT.

Prices for injection moulding HDPE was not affected by the situation with Kazanorgsintez. Traders have sufficient stocks, besides Gazprom neftekhim Salavat is expected to resume injection moulding HDPE supply in the second decade of April.
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