CHEMICAL MANAGEMENT, MARKET OUTLOOK
Globenewswire | March 23, 2023
NOVA Chemicals Corporation announced sector-leading ESG ambitions to drive the circular economy for plastics, in line with its vision to become the leading sustainable polyethylene producer in North America.
By 2030, the company aims to
Set new industry standards for driving the transition to the plastics circular economy and solidifying the market for recycled polyethylene, with 30 per cent of its polyethylene sales[i] from recycled contet;
Be at the forefront of decarbonization by reducing its Scope 1 and 2 absoute CO2 emissions by 30 per cent[ii]; and
Become a Top 30 company in Canada.
Outlined in NOVA 2030: Our Roadmap to Sustainability Leadership, NOVA Chemicals has also shared its aspiration to reach net-zero Scope 1 and 2 emissions by 2050.
“NOVA’s Roadmap to Sustainability Leadership details a strong plan forward for the company to become the leader in sustainable polyethylene production while building on our commitments to developing innovative solutions for our customers, enabling the circular economy, and being a responsible steward of our environment,” stated Danny Dweik, CEO. “Plastic products play an essential role in our daily lives. With our renewed purpose of reshaping plastics for a better, more sustainable world, we have developed a clear pathway to become a catalyst for a low carbon, zero-plastic-waste future.”
To achieve these aspirations, NOVA Chemicals anticipates investing between USD$2-4 billion by 2030 to expand its sustainable product offerings, decarbonize assets, and build a state-of-the-art mechanical recycling business while exploring new advanced recycling technologies to create high-quality, high-performance recyclable and low carbon plastics.
Building on its proprietary, Advanced SCLAIRTECHTM technology, NOVA Chemicals will explore expanding its product portfolio to include the development of innovative, advanced materials. These new product offerings, which will include the company’s first ASTUTE™ polyolefin plastomers line, will better serve existing customers and provide more options for sustainability-focused end markets such as electric vehicles and renewables.
NOVA Chemicals has already begun growing its portfolio of recycled and recyclable polyethylene resins through its recently announced launch of SYNDIGO™ recycled polyethylene, a new portfolio of products made from circular polymers to encourage both waste and emissions reductions.
The company’s 2030 aspirations are shorter-term objectives that will help NOVA Chemicals reach its ultimate goal of achieving net-zero Scope 1 and 2 absolute CO2 emissions by 2050. NOVA Chemicals has developed a technical solutions-focused roadmap for decarbonizing its asset base by improving energy efficiencies, electrifying and acquiring renewable power, and exploring clean hydrogen as a low carbon fuel source and Carbon Capture, Utilization, and Storage. The company will also continue to pursue new technologies to abate and eliminate emissions from its production processes, such as the development of its proprietary Low Emissions Ethylene Process technology.
The company has also announced a virtual power purchase agreement (VPPA) with Shell Energy for renewable power, marking the first of many opportunities to increase low carbon, renewable energy in its power portfolio.
Today’s announcement builds upon NOVA Chemicals’ long-standing commitment to developing innovative solutions for its customers while enabling the circular economy and preparing for and responding to a changing world. NOVA’s approach to managing its material ESG topics including Responsible Care® and its commitment to the environment, health, and safety, can be found in its annual ESG report.
About NOVA Chemicals Corporation
NOVA Chemicals aspires to be the leading sustainable polyethylene producer in North America. Our driving purpose is to reshape plastics for a better, more sustainable world by delivering innovative solutions that help make everyday life healthier and safer and acting as a catalyst for a low carbon, zero-plastic-waste future. NOVA Chemicals’ innovative and quality product offerings, value chain collaboration, and unique customer experience is what sets us apart; our customers use our products to create easy-to-recycle and recycled content films, packaging, and products.
CHEMICAL TECHNOLOGY, CHEMICAL MANAGEMENT
Cabot Corporation | March 06, 2023
Cabot Corporation has introduced E2C™ DX9660, an innovative solution that offers enhanced rubber durability and high abrasion resistance. This new product provides a 30% increase in abrasion resistance compared to traditional compounds, expanding Cabot's portfolio of E2C solutions for on-road commercial tire and industrial rubber product applications. Cabot has also completed its first-ever life cycle assessment (LCA) of an E2C solution in an on-road truck tire application, demonstrating its commitment to sustainability and reducing environmental impact.
The rubber industry is under pressure to reduce environmental impact and increase sustainability benefits throughout the lifecycle of its products. This has resulted in global demand for solutions that increase raw material efficiency, reduce greenhouse gas emissions, and minimize end-of-life product waste. Cabot Corporation's E2C solutions offer pre-mixed composites that maximize the performance of primary raw materials, resulting in significant reductions in net emissions from end products. These solutions can also reduce Scope 2 GHG emissions during tire and rubber production.
Cabot's newly launched DX9660 product complements its E2C™ DX9640 solution. The DX9640 solution reduces energy loss, a significant factor in rolling resistance while providing excellent abrasion resistance. In a recent on-road tire test, the DX9640 decreased rolling resistance by more than 10% and increased tire tread durability by 12% compared to standard compounds. By reducing energy loss and increasing tire tread life, the DX9640 solution can help reduce fuel consumption in vehicle fleets, leading to lower greenhouse gas emissions and decreasing the amount of end-of-life tire waste.
Cabot Corporation's commitment to sustainability has led them to complete a life cycle assessment (LCA) to evaluate the environmental impact of their E2C solutions in commercial tire treads. The assessment showed that their E2C DX9640 solution could significantly reduce emissions and environmental impacts. Key findings from the LCA include up to a 6% reduction in greenhouse gas emissions through lower rolling resistance and an over 10% decrease in net emissions from tire production due to more excellent tire durability.
About Cabot Corporation
Cabot Corporation is a worldwide specialty chemicals and performance materials company based in Boston, Massachusetts. It offers a diverse range of products and solutions that cater to industries such as automotive, aerospace, construction, and healthcare. Cabot operates in more than 20 countries and employs over 3,000 people worldwide. Its focus is on creating value for stakeholders while reducing environmental impact. The company is committed to sustainability and invests in innovative solutions to drive long-term growth. It has a strong reputation for quality and innovation in its field and continues to expand its capabilities.
CHEMICAL MANAGEMENT, PRODUCTS AND TECHNOLOGIES
CF Industries | March 20, 2023
CF Industries Holdings, Inc. a leading global manufacturer of hydrogen and nitrogen products, announced that it has signed a definitive purchase agreement with Incitec Pivot Limited (ASX: IPL) for IPL’s ammonia production complex located in Waggaman, Louisiana. The facility has a nameplate capacity of 880,000 tons(1) of ammonia annually.
Under the terms of the agreement, CF Industries will purchase the Waggaman ammonia plant and related assets for $1.675 billion. The companies will allocate approximately $425 million of the purchase price to a long-term ammonia offtake agreement under which CF Industries will supply up to 200,000 tons of ammonia per year to IPL’s Dyno Nobel subsidiary. CF Industries expects to fund the remaining $1.25 billion of the purchase price with cash on hand.
“We are pleased to reach this agreement with Incitec Pivot Limited that benefits from our industry-leading ammonia production capabilities, deploys our capital efficiently and provides long-term value for both companies’ shareholders,” said Tony Will, president and chief executive officer, CF Industries Holdings, Inc. “We believe the Waggaman facility will fit seamlessly into our network, as well as our strategic focus on ammonia as a clean energy source, given its proximity and pipeline connection to our Donaldsonville, Louisiana, Complex, its distribution and logistics flexibility, and its favorable characteristics for the addition of carbon capture and sequestration (CCS) technologies to enable low-carbon ammonia production.”
Ammonia produced at the Waggaman facility today is distributed ratably to three customers, including Dyno Nobel, with approximately 75% used in industrial applications. Based on the nature of the medium- to long-term offtake agreements in place with these customers, CF Industries estimates that the plant will generate gross margin per ton commensurate with its existing ammonia segment prior to synergies, which the Company expects to capture through greater capacity utilization and operational and logistics optimization. Over the last five years, CF Industries’ operational capabilities have resulted in ammonia asset utilization that is approximately 10% higher than the average utilization rate of the Company’s North American peers.
Additionally, CF Industries anticipates implementing CCS at the site on an accelerated timeline, increasing its network’s low-carbon ammonia production capability, supporting Louisiana’s and the country’s climate goals, and earning 45Q tax credits for sequestered carbon dioxide.
The transaction has been unanimously approved by the boards of directors of both companies and is subject to receipt of certain regulatory approvals and other customary closing conditions.
Goldman Sachs & Co. LLC is serving as the financial advisor to CF Industries on the transaction. Skadden, Arps, Slate, Meagher & Flom LLP is acting as its legal advisor.
Product volumes in press release are expressed in short tons
About the Waggaman Ammonia Production Complex
The Waggaman, Louisiana, ammonia production complex is situated on an integrated chemicals complex owned by Cornerstone Chemical Company.
Commissioned October 2016
Nameplate capacity: 880,000 tons of ammonia per year
Approximately 90 employees
38,500-ton ammonia storage tank onsite
Ability to load and transport ammonia by NuStar Pipeline, barge, truck and rail
Located in Jefferson Parish on the Mississippi River with potential for vessel loading capabilities for low-carbon ammonia exports
Site is 60 miles southeast of CF Industries’ Donaldsonville Complex, facilitating resource and best practice sharing between the complexes
About CF Industries Holdings, Inc.
At CF Industries, our mission is to provide clean energy to feed and fuel the world sustainably. With our employees focused on safe and reliable operations, environmental stewardship, and disciplined capital and corporate management, we are on a path to decarbonize our ammonia production network – the world’s largest – to enable green and blue hydrogen and nitrogen products for energy, fertilizer, emissions abatement and other industrial activities. Our manufacturing complexes in the United States, Canada, and the United Kingdom, an unparalleled storage, transportation and distribution network in North America, and logistics capabilities enabling a global reach underpin our strategy to leverage our unique capabilities to accelerate the world’s transition to clean energy. CF Industries routinely posts investor announcements and additional information on the Company’s website at www.cfindustries.com and encourages those interested in the Company to check there frequently.