Dow reports strong Q3 2021 results

Dow reports strong Q3 2021 results

MOSCOW (MRC) -- Dow Chemical (Midland, Michigan), the world's petrochemical major, said it delivered sequential and year-over-year top- and bottom-line growth for its third quarter, as per the company's press release.

Volume increased 2%, driven by gains in Packaging & Specialty Plastics and Performance Materials & Coatings. The company generated higher cash flow from operations and achieved sales growth across all segments and geographies, during the quarter. Gross debt was reduced by more than USD1.1 billion in the quarter.

Looking ahead, the company said it is well-positioned to increase earnings, cash flow and returns as it decarbonize footprint and achieve 2030 and 2050 carbon emissions reduction targets.

"We continue to see robust end-market demand that is expected to extend into 2022, coupled with near-term logistics constraints and low inventory levels across our value chains," said Jim Fitterling, CEO.

Third quarter operating earnings per share was USD2.75, compared to USD0.50 in the year-ago period. On average, 21 analysts polled by Thomson Reuters expected the company to report profit per share of USD2.56, for the quarter. Analysts' estimates typically exclude special items. Operating EBIT improved to USD2.89 billion from USD761 million. Net income to common stockholders was USD1.68 billion or USD2.23 per share compared to a loss of USD25 million or USD0.04 per share.

Net sales were USD14.8 billion, up 53% versus from last year, with gains in all operating segments and regions. Analysts expected revenue of USD14.25 billion, for the quarter. Packaging & Specialty Plastics segment net sales were USD7.7 billion, up 69% from prior year.

As MRC informed previously, earlier this month, Dow and Haldor Topsoe partnered to promote the circular economy. About 300 million tons of plastic waste is produced every year on a global scale. The partnership between Dow and Topsoe marks a new initiative to efficiently convert waste plastics to circular plastics, keeping them out of the environment and responsibly reclaiming their value. Plans include Dow to proceed with the design and engineering for a 10,000 ton per year market development unit using Haldor Topsoe’s PureStepTM technology to purify pyrolysis oil feedstock derived from waste plastics for use in circular products.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,638,370 tonnes in the first eight months of 2021, up by 10% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 989,570 tonnes in the first eight months of 2021, up by 30% year on year. Deliveries of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased, whereas shipments of injection moulding PP random copolymers decreased significantly.

Dow combines global breadth, asset integration and scale, focused innovation and leading business positions to achieve profitable growth. The Company's ambition is to become the most innovative, customer centric, inclusive and sustainable materials science company, with a purpose to deliver a sustainable future for the world through our materials science expertise and collaboration with our partners. Dow's portfolio of plastics, industrial intermediates, coatings and silicones businesses delivers a broad range of differentiated science-based products and solutions for its customers in high-growth market segments, such as packaging, infrastructure, mobility and consumer care. Dow operates 106 manufacturing sites in 31 countries and employs approximately 35,700 people. Dow delivered sales of approximately USD39 bn in 2020.
MRC

DuPont, PMNA to pay USD3.1m for environmental violations at Texas plant

DuPont, PMNA to pay USD3.1m for environmental violations at Texas plant

MOSCOW (MRC) -- DuPont and Performance Materials NA (PMNA) have agreed to pay USD3.1m to the state of Texas as part of a settlement for alleged violations of several environmental laws at the Sabine River plant in Orange, Texas, said Reuters.

Under the settlement, DuPont and PMNA will conduct compliance audits, control benzene emissions, and perform other obligations to address violations at the facility. In a consent decree, filed 13 October, joint plaintiffs the United States, on behalf of the EPA, and the state of Texas claimed the Sabine facility violated hazardous waste, air, and water environmental laws during their respective times of ownership.

DuPont owned the facility until February 2019, when it was then transferred to PMNA, then a subsidiary of DuPont. PMNA is now a subsidiary of Dow. The alleged violations include a failure to make a hazardous waste determination, storage or disposal of hazardous wastes without a permit, failure to perform land disposal determinations and to meet applicable treatment standards for hazardous waste disposal, among other violations under the Clean Water Act and the Clean Air Act.

The Sabine site is one of many similar industrial sites in along the Sabine river, which could lead to an increase in the “overall burden” of pollutants on local communities, the EPA said. Injunctive relief, which refers to restrains put in place to prevent a party to act a certain way, will be required.

The measures that will be taken will include, hiring a third-party auditor to locate and identify each waste streams, conducting a complete review and analysis of pH exceedance and tracking system to ensure it is operating properly, submitting a report that addresses the full nature and extent of the contamination, among others.

The decree also includes corrective action obligations for the surface impoundments and ditches onsite to ensure clean-up of any soil, sediment, or groundwater contamination, if identified through sampling. The consent decree was filed under the US District Court for the Eastern District of Texas and is subject to a 30-day public comment period.

It was erlier reported, DuPont is investing USD400 million in the production capacity of Tyvek nonwoven fabric made from high density polyethylene (HDPE) at its site in Luxembourg. A new building and a third work line at the production site will be constructed. The launch of new facilities is scheduled for 2021.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,638,370 tonnes in the first eight months of 2021, up by 10% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 989,570 tonnes in the first eight months of 2021, up by 30% year on year. Deliveries of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased, whereas shipments of injection moulding PP random copolymers decreased significantly.

The DuPont Corporation, founded in the USA in 1802, operates in more than 70 countries. The company produces specialty chemicals, offers goods and services for agriculture, food production, electronics, communications, security and protection, construction, transport and light industry. In Russia, DuPont has 100% control over the DuPont Khimprom plant since 2005, and in 2006 established a joint venture between DuPont - Russian Paints and Russian Paints.
MRC

PTT Global Chemical to invest USD22 bln to achieve net zero carbon emissions by 2050

PTT Global Chemical to invest USD22 bln to achieve net zero carbon emissions by 2050

MOSCOW (MRC) -- Thai chemical firm, PTT Global Chemical Pcl (PTTGC) on Thursday said it plans to invest over USD22 bln in the next three decades to achieve net zero carbon emissions by 2050, reported Reuters.

"We will invest USD5 B to directly reduce greenhouse gases and USD17 B in restructuring the business," chief executive Kongkrapan Intarajang said at a news conference.

This will include efficiency improvements, energy storage, and carbon capture technology, he said.

New businesses in our portfolio will be low-carbon, like performance and speciality chemicals, he said, adding the company will grow around 4% over the next five to six years.

In July, it bought German coating resins maker Allnex for USD4.75 B, but the rate of carbon emission to growth came down because it was a low-carbon business.

This year PTTGC, a unit of the state-owned PTT Pcl, released about 8 MM tons of greenhouse gas (GHG) and CO2 equivalents and will reach a peak of 9.1 MM tons in 2025.

"There will be a 20% reduction of emissions in 2030 and net zero by 2050," said Kongkrapan.

We remind that, as MRC informed previously, PTTGC is in plans to undertake a brief shutdown for maintenance at its low density polyethylene (LDPE) plant in October, 2021. However, the exact dates of the turnaround were not given. Located at Map Ta Phut in Thailand, the LDPE plant has a production capacity of 345,000 mt/year.

According to MRC's ScanPlast report, August estimated LDPE consumption in Russia grew to 54,560 tonnes from 52,280 tonnes a month earlier. Russian producers raised their PE output, imports also increased. The estimated LDPE consumption was about 387,490 tonnes in the first eight months of 2021, up by only 3% year on year. The output remained at the previous year's level, whereas imports increased.

PTT Global Chemical is a leading player in the petrochemical industry and owns several petrochemical facilities with a combined capacity of 8.45 million tonnes a year.
MRC

R&P POLYPLASTIC intends to expand its presence in Uzbekistan

MOSCOW (MRC) -- R&P POLYPLASTIC, the largest Russian manufacturer of thermoplastic composite materials, plans to expand its presence in Uzbekistan, the company said.

Thus, the company intends to expand its participation in automotive projects and increase the shipments of polymer compounds to the country by 5-6 times. The company is currently supplying compounds for exterior parts for a project of one of the world's leading automotive brands localized in Uzbekistan.

"Despite the fact that it is not easy to compete with the local manufacturers, we are seriously considering the possibility to significantly increase the volume of supplies and also to diversify the range of materials for automotive industry projects and the production of large household appliances in the near future," says Pavel Kruglov, General Director of Polyplastic Trading House, authorized commissioner of R&P POLYPLASTIC.

This summer the company's managers participated in a number of meetings with existing and potential partners, and summarized that the Uzbek markets of materials for the automotive industry and large household appliances are very promising. R&P POLYPLASTIC portfolio already includes approved brands of compounds for the manufacture of household appliances, as well as for exterior, interior and engine compartment parts for the leading automotive brands, which the company is ready to offer to manufacturers in Uzbekistan.

"Plastics processing in Central Asia is developing at a fairly high pace; there is a lot of interest in this industry. This is apparent also evaluating the standard of industry exhibitions like Plastex Uzbekistan 2021, which will take place on November 3-5 in Tashkent. Every year it becomes more interesting and significant. This fact tells us about only one thing, namely the interest in development of polymer industry in the country. And we, as leaders, should not miss the opportunity to gain a foothold in such a promising market," Pavel Kruglov notes.

Earlier it was reported that R@ POLYPLASTIC, the largest Russian manufacturer of thermoplastic composite materials, increased the volume of export of compounds for nine months by 1.5 times. In percentage terms, supplies of materials from the leading Russian compounder increased by 58% compared to the same period in 2020.

R@P NPP "POLYPLASTIC" also plans to modernize 50% of production lines by 2025 in terms of automation of the control system and traceability of production process data.

Research and Production Enterprise "POLYPLASTIC" specializes in the production of thermoplastic composite materials and polymer raw materials for processing by injection molding, injection molding and extrusion and occupies a leading position in the Russian market of compounds based on thermoplastics. The company is in the TOP-10 among European compounders. The total production capacity of the enterprise is more than 115 thousand tons per year.
MRC

Dupont Clean Technologies raises October catalyst prices

Dupont Clean Technologies raises October catalyst prices

MOSCOW (MRC) -- DuPont Clean Technologies (part of DuPont), a global leader in process technology licensing & engineering, has announced an additional global price increase of USD1.80/liter for its cesium MECS sulfuric acid catalyst products and USD0.30/liter for all other MECS sulfuric acid catalyst products, according to Hydrocarbonprocessing.

The company raised its prices for the state above products due to further supply chain cost and complexity increases.

Additional surcharges may apply for freight, near-term delivery and specialty product grades.

Subject to the terms of applicable contracts, the new pricing will take effect immediately.

As MRC reported previously, DuPont is investing USD400 million in the production capacity of Tyvek nonwoven fabric made from high density polyethylene (HDPE) at its site in Luxembourg. A new building and a third work line at the production site will be constructed. The launch of new facilities is scheduled for 2021.

According to MRC's ScanPlast report, August estimated HDPE consumption increased to 133,000 tonnes from 129,600 tonnes a month earlier. Domestic producers reduced their exports, whereas imports increased. Overall HDPE shipments to the Russian market totalled 934,080 tonnes in the first eight months of 2021, up by 10% year on year. Production grew by 10%, whereas imports fell by 23%.

The Clean Technologies division of DuPont is a global leader in process technology licensing & engineering, with an unwavering commitment to customer support. The company provide extensive global expertise across our portfolio of offerings in key applications - MECS sulfuric acid production, STRATCO alkylation, BELCO wet scrubbing and IsoTherming hydroprocessing. Offering critical process equipment, products, technology and services, The company enables an array of industrial markets, including phosphate fertilizer, non-ferrous metals, oil refining, petrochemicals and chemicals, to minimize their environmental impact and optimize productivity.

DuPont is a global innovation leader with technology-based materials and solutions that help transform industries and everyday life. The company's employees apply diverse science and expertise to help customers advance their best ideas and deliver essential innovations in key markets including electronics, transportation, construction, water, healthcare and worker safety.
MRC