Axalta breaks ground on new coatings facility in China

MOSCOW (MRC) -- 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, said the company.

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.

As the largest and one of the fastest growing automotive markets in the world, China is a key growth driver for Axalta and its Global Mobility business unit. The new plant is scheduled to open in 2023 and will mainly produce basecoats, primers, and clearcoats used in Axalta's eco-friendly processes such as high solids technology. Formulated to reduce VOC emissions, high solids coatings can help lower environmental impact while providing superior finishes and improved productivity for automotive OEMs.

"Axalta came to Jilin province in 1984 to serve the burgeoning automotive industry in China and has since established a strong presence across the APAC region supporting major OEMs," said Hadi Awada, Senior Vice President of Axalta's Mobility Business. "With this new investment in the province, we are further committing to our customers in China while supporting our ambitious growth plans in Asia."

Since entering the Chinese market, Axalta has remained committed to promoting growth by increasing investment, emphasizing innovation and sustainability, and focusing on customers to help China build a sustainable and prosperous future. The Jilin plant marks another noteworthy achievement for Axalta in pursuit of its growth objectives in China. In what continues to be an exemplary year for the leading global coatings company, Axalta has announced a variety of significant accomplishments in 2021, including the expansion of a waterborne coatings plant in Shanghai, the opening of a new Refinish Training Center in Guangzhou, and the acquisition of a leading Chinese producer of high-quality wire enamels.

As MRC reported earlier, Wanhua Chemical, a global leader in the production and marketing of polyurethanes, petrochemicals and fine chemicals, has recently received the inaugural “Excellence Award” from Axalta. The Excellence Award is given to suppliers, who exhibit progressively exceptional overall quality, service, technology and total capacity performance for three consecutive years or longer. The Excellence Award winner also demonstrates an exceptional commitment to helping Axalta achieve its strategic initiatives.

We remind that in January, 2020 Wanhua Chemical Group disclosed plans for a second ethylene cracker project at its Yantai, China, site with local government officials. The project will include a 1.2-million metric tons/year (MMt/y) ethylene unit; pyrolysis gasoline hydrogenation; aromatics extraction; and production facilities for butadiene, high density polyethylene (HDPE), low density polyethylene (LDPE), polyethylene (PE) plastomers and elastomers, polypropylene (PP), and other derivatives. Timing and other details were not disclosed. The second ethylene project will use naphtha and C4s as feedstock.

Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,176,860 tonnes in the first half of 2021, up by 5% year on year. Shipments of exclusively low density polyethylene (LDPE) decreased. At the same time, PP shipments to the Russian market were 727,160 tonnes in the first six months of 2021, up by 31% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased. Supply of statistical copolymers of propylene (PP random copolymers) subsided.

Axalta is a global leader in the coatings industry, providing customers with innovative, colorful, beautiful, and sustainable coatings solutions. From light vehicles, commercial vehicles, and refinish applications to electric motors, building facades and other industrial applications, our coatings are designed to prevent corrosion, increase productivity and enhance durability. With more than 150 years of experience in the coatings industry, the global team at Axalta continues to find ways to serve our more than 100,000 customers in over 130 countries better every day with the finest coatings, application systems and technology.
MRC

MOSCOW (MRC) -- Haldor Topsoe and Sasol have expanded collaboration to jointly license and develop their technologies for sustainable liquid fuels and chemicals production through Fischer-Tropsch (FT) technology, said the company.

Sasol and Topsoe currently offer integrated end-to-end solutions to produce synthetic fuels and chemicals. Topsoe's SynCOR™ and Sasol's Low Temperature Fischer-TropschTM technologies have been licensed into Gas-to-Liquid (GTL) ventures, most recently Uzbekistan GTL, which is in the final stages of construction.

Building on this solid technology and operational foundation, Sasol and Topsoe now offer integrated end-to-end solutions to produce sustainable fuels and chemicals, specifically Power-to-Fuels or e-Fuels, utilising sustainable carbon sources or CO2, green hydrogen and renewable energy.

"We need to make cleaner alternatives for the future transportation fuels. This new initiative builds on an already successful partnership with Sasol, and we are excited, that we are now taking it to the next level by offering our technologies together in an integrated way as a single point license for the production of sustainable synthetic fuels," says Fei Chen, SVP Clean Fuels & Chemicals Technology, Haldor Topsoe.

Marius Brand, Executive Vice President for Sasol 2.0 Transformation added: "Sasol and Haldor Topsoe's technology relationship spans more than two decades, through which a number of world first technologies were deployed, world-scale units were built and successfully operated. We believe this platform provides a solid foundation to offer solutions to the world and drive towards a sustainable future, specifically for the hard to abate sectors, such as the aviation industry. This technology collaboration is a key element supporting our purpose to innovate for a better world. Our partnership and Sasol's undisputed leadership in FT technology, positions us well to grow a low carbon products business globally, harnessing renewable resources to produce sustainable fuels and chemicals."

In addition, new technologies are being developed, such as Topsoe's electrified reforming platform (e-Reforming and e-Reverse Water Gas Shift), solid oxide electrolysis and Sasol's next generation FT catalyst to further maximise desired product yields, enhance carbon and hydrogen conversion efficiency, ultimately helping to eliminate fuel and chemical greenhouse gas emissions.

This gives potential customers access to an integrated solution across the entire value chain, from renewable feed sources to liquid fuels. As single-point licensor, Sasol and Topsoe will offer customers all the necessary technology licenses for complete sustainable fuels solutions. This also includes basic engineering, catalyst, hardware and specialised technical support to ensure a bankable and successful project.

As per MRC, Topsoe and Sasol announced that they have entered into a collaboration agreement to jointly license their GTL technologies. For many years, the two companies have worked together on numerous GTL projects and technologies, and Topsoe’s SynCOR™ technologies and Sasol’s Fischer-Tropsch technologies have been licensed into several world-scale GTL ventures.

Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,176,860 tonnes in the first half of 2021, up by 5% year on year. Shipments of exclusively low density polyethylene (LDPE) decreased. At the same time, PP shipments to the Russian market were 727,160 tonnes in the first six months of 2021, up by 31% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased. Supply of statistical copolymers of propylene (PP random copolymers) subsided.

Sasol is an international integrated chemicals and energy company that leverages technologies and the expertise of our 31 270 people working in 32 countries. The company develops and commercialises technologies, and builds and operates world-scale facilities to produce a range of high-value product stream, including liquid fuels, petrochemicals and low-carbon electricity.
MRC

MOSCOW (MRC) -- Ufaorgsintez (UOS, Bashneft’s petrochemical asset) has resumed its polypropylene (PP) production after a scheduled maintenance, according to ICIS-MRC Price report.

The plant's clients said Ufaorgsintez finished the scheduled turnaround at its PP production and resumed the output of polymer on 16 September. The outage at PP production capacities was short and lasted for about 12 days. The plant's annual production capacity is 120,000 tonnes.

It is also worth noting that Poliom will take off-stream its production with the capacity of 230,000 tonnes per year for a two-week maintenance on 28 September. And Stavrolen will shut its PP production with the annual capacity of 120,000 tonnes per year for 26 days on 12 October.

PJSC Ufaorgsintez produces phenol, acetone, synthetic ethylene-propylene rubber, high and low pressure polyethylene, polypropylene, more than 30 types of petrochemical products and over 25 consumer products.
MRC

MOSCOW (MRC) -- The Alpla Group, the global packaging solutions and recycling specialist, is investing in the construction of a recycling plant in Targu Mures, Romania as part of a joint venture with its partners, said Recyclingportal.

The plastic granulate recycled there in the future will come from PET bottles collected from household waste and will be used to manufacture new PET bottles.

By creating the planned PET Recycling Team Targu Mures joint venture, Alpla and companies Ecohelp SRL (Romania) and United Polymer Trading AG (Switzerland) are each investing equally in the installation of an extrusion line to recycle post-consumer PET bottles at the Romanian partner’s site. They aim to produce 15,000 tonnes of food-grade post-consumer recycled PET (rPET) each year. The rPET granulate will then be used to manufacture new preforms and bottles, with an intention to strengthen the local materials cycle within the Central and South-Eastern Europe region.

The three partners contribute different areas of expertise to the joint venture. While Alpla acts as a recycling specialist and a preform and bottle manufacturer, Ecohelp supplies base material in the form of PET flakes that will go through an extrusion process to produce high-grade rPET granules. UPT in turn co-owns the rPET Upcycling facility Cumapol Emmen in The Netherlands and specialises in trading plastics and recycled material. The entire amount being invested in the plant and the associated building and infrastructure comes to roughly €7.5 million. The plant expansion will create 15 new jobs at the site in Targu Mures.

Alpla Chairman Gunther Lehner, who is responsible for developing the company’s Sustainability and Circular Economy departments, emphasises the significance of the investment: “Our aim at Alpla now and in the future is to establish a bottle-to-bottle cycle – including in regions in which the collection and recycling of waste still has potential for development. By participating in this joint venture, we are taking a strategically important and sustainable step in this direction."

Georg Lasser, Head of Corporate Recycling at Alpla, adds: “We are seeing consistent growing demand from our customers for recycled material, and this demand is worldwide and unbroken. It and our customers’ need to close local material cycles give us an opportunity to boost investment projects like these. With our two partners, we have brought together our different areas of expertise and are looking forward to a new form of collaboration."

Rainer Widmar, Regional Manager CEE at Alpla, emphasises the relevance for local customer relationships: “With this investment, we are bringing our recycling expertise to our customers in the region, letting us operate within the market at even closer proximity." The joint venture is subject to regulatory approval by competition authorities. The parties signed the contract for it on 9 September 2021, with production planned to commence in mid-2022. The parties have agreed not to disclose any further details.

In early 2021, the Alpla Group announced that it would invest an average of €50 million each year in the ongoing expansion of its recycling activities until 2025. In particular, it plans to globalise its activities in the area of high-quality recyclates in order to close the materials cycle in as many regions as possible. In all, the annual capacity of the Alpla recycling companies, joint ventures and partnerships amounts to approximately 130,000 tonnes of PET and 60,000 tonnes of PE.

As per MRC, ALPLA Group is purchasing the Wolf Plastics Group for an undisclosed amount in a move to expand the company's product portfolio in Central and Southeastern Europe. Headquartered in Kammern, Austria, Wolf also has production facilities in Hungary and Romania. The Austrian and Romanian competition authorities are currently examining the proposal, Alpla officials said in a news release. Closure of the deal is subject to regulatory approval.

According to MRC's ScanPlast report, Russia's estimated PET consumption totalled 411,200 tonnes in the first six month of 2021, up by 12% year on year. Russian companies processed 62,910 tonnes in June, compared to 85,890 tonnes a month earlier.

Headquartered in Hard, Austria, ALPLA specializes in blow molded bottles and caps, injection molded parts, and preforms and tubes.
MRC

MOSCOW (MRC) -- California Bay Area regulators are investigating whether Phillips 66 failed to obtain necessary permits to produce renewable fuels at its oil refinery in Rodeo, according to an email reviewed by Reuters.

The refiner is undergoing a multi-step conversion of the plant to turn it into the world's largest producer of renewable fuels using feedstocks such as soybean oil and animal fats. California is the biggest gasoline market in the United States, but some of the state's 14 refineries are not always profitable. Several are looking to survive long term by cashing in on state incentives for production of lower-carbon fuels.

Phillips 66 started to process small volumes of soybean oil at the Rodeo refinery in the first quarter of 2021, the company said this year. The Bay Area Air Quality Management District (BAAQMD), which regulates stationary sources of air pollution in the region, is investigating whether the company modified its refinery without getting required additional permits, according to an email last week seen by Reuters.

Phillips 66 wants the Rodeo project to produce more than 800 million gallons of renewable diesel, renewable gasoline and sustainable jet fuel annually. That effort requires increased use of hydrogen, which can cause flaring events and refineries to malfunction, environmental groups say.

At least 10 groups, including the Natural Resources Defense Council, have complained to regulators about the additional emissions produced by using more hydrogen to treat feedstocks like soybean oil and animal tallow. The NRDC, in a July letter, argued that Phillips 66 did not request proper approval from the air quality management district to start processing that oil this year.

The management district, in its email this month to NRDC, said it will conduct an on-site investigation and engineering review of the Rodeo facility, the email said. Phillips 66 told Reuters it obtained the necessary permits to produce renewable diesel from an existing hydrotreater as part of a standalone flexibility project. The management district declined to comment.

As per MRC, Phillips 66's 255,600-barrel-per-day (bpd) Alliance, Louisiana, refinery faces a monthslong shutdown for repairs following flooding from Hurricane Ida, sources familiar with plant operations said. Phillips 66 said it was still assessing the refinery and a timeline for operational restarts was not available. The sources said the company plans to complete its damage assessment next week when floodwaters fully recede. So far, the company still plans to restart the refinery, which in August it announced was up for sale.

We remind that US-based Phillips 66 remains open to developing another ethane cracker for its Chevron Phillips Chemical (CP Chem) joint venture, the refiner's CEO said in March 2018.

Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,176,860 tonnes in the first half of 2021, up by 5% year on year. Shipments of exclusively low density polyethylene (LDPE) decreased. At the same time, PP shipments to the Russian market were 727,160 tonnes in the first six months of 2021, up by 31% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased. Supply of statistical copolymers of propylene (PP random copolymers) subsided.

Phillips 66 is a diversified energy manufacturing and logistics company. With a portfolio of Midstream, Chemicals, Refining, and Marketing and Specialties businesses, the company processes, transports, stores and markets fuels and products globally. Phillips 66 Partners, the company’s master limited partnership, is integral to the portfolio. Headquartered in Houston, the company has 14,300 employees committed to safety and operating excellence. Phillips 66 had USD55 billion of assets as of Dec. 31, 2020.
MRC