Petrochemicals by S&P Global Commodity Insights’ Post

🌟 Sharing a Success Case: Carbon Minds x LyondellBasell! 🌟 I am thrilled to share a recent success case with our client, LyondellBasell (LYB). Collaborating with them was both a pleasure and a learning experience. 🔍 Our Project Goal and Challenge: We aimed to understand why LYB and CM had sometimes very different Product Carbon Footprint (PCF) results. T his analysis also shed light on the CM report presented by LYB at the American Fuel & Petrochemical Manufacturers (AFPM). To address this, we analyzed both LYB’s primary data and our Carbon Minds’ data. This thorough collaboration, especially with Ryan Wilson led to some fascinating discoveries. 🔑 One key finding was that despite having similar inputs and outputs, the results differed significantly. Why did this happen? The main reasons were the differences in methodological approaches, particularly in allocation, and the emission factor data used. Even with similar inputs, different methodologies and emission factors produced varied results. When we applied the same methodology and emission factor data, the results aligned closely. 📝 Key Takeaways: - A final value is meaningless without a harmonized methodology and data context. - Successful collaboration and open communication are essential. Understanding why PCFs differ requires cooperation and a willingness to engage, as demonstrated in our work with LYB and Ryan Wilson. Thank you, Ryan Wilson, for the fantastic collaboration! You can see more details from the case in this Slider from Carbon Minds: https://lnkd.in/eHRsdJik #SuccessStory #Collaboration #DataAnalysis #Sustainability #LyondellBasell #PCF

Reading Rob Westervelt's comment in Chemical Week today sheds light on the challenges facing the European petrochemical sector. From low-cost imports to oversupply and rising input costs, the industry is navigating a perfect storm. The closures of Sabic and ExxonMobil's steam crackers in the Netherlands and France mark significant capacity reductions, yet more changes may be needed to address the current landscape. As Europe addresses a "10% problem," uncertainties loom, especially with new projects like Ineos’ Project One in Antwerp potentially offsetting these reductions. Structural shifts lie ahead for Europe's petrochemical industry amidst factors like rising interest rates, energy costs, and global competitiveness pressures. Looking ahead, the sector anticipates further adjustments, with experts projecting the need to slash up to 26 million metric tons of global ethylene capacity by 2027 for improved operating rates. Europe stands at a critical juncture in its petrochemical journey, emphasizing the crucial role of adaptation and innovation for long-term sustainability. #Petrochemicals #SupplyChainChallenges #EuropeIndustry

We understand what it takes to run an industrial company because we are an industrial company. We also know what it takes to reduce industrial emissions because we’re doing that in our own facilities. ExxonMobil’s Low Carbon Solutions is ready to help our customers find their pathway to a lower-carbon future through our cross section of scientific disciplines, industry experts and research specialists. From cement production to the chemicals sector, industrial manufacturers face a considerable challenge to lower emissions in some of the hardest-to-decarbonize sectors. Low Carbon Solutions is focused on developing the right solutions —such as carbon capture and storage or hydrogen fuel switching —that are tailored to the manufacturing sector. See our newly designed manufacturing webpage to find out more about how we’re accelerating the world’s path to net zero. https://lnkd.in/gN4Mrnvs

What happens when a chemical company and an oil firm, with ties dating back to 1910, team up to advance clean energy? Let’s get into the Dow and Shell partnership. Dow, renowned for its materials science expertise, and Shell, a global energy leader, have a long-standing relationship. Their latest collaboration aims to develop clean energy technologies. But are they genuinely committed to sustainability, or is this just a sophisticated form of greenwashing? For Dow, a company deeply embedded in the chemicals industry, aligning with clean energy seems like a strategic move to polish its image in an era of environmental scrutiny. Could this be more about improving PR than making real progress? Shell, an oil giant historically linked to fossil fuels, claims to be shifting towards greener solutions. But is this change driven by true environmental commitment, or is it a response to mounting government regulations designed to clean up the energy sector? Their century-old relationship might suggest a seamless partnership, but remember, we’ve seen similar alliances fail before. Are they truly pushing forward clean energy, or merely providing a green sheen to their traditional operations? Think these strategic partnerships are straightforward? Think again. Genuine, impactful collaborations require more than just headlines; they need real dedication and expertise. Like, share, and follow for more critical takes on industry moves and the truth behind major announcements. Dow Shell Capital Growth Partners Bob Lafon Tony Andrews Doreena M Beebe Allyson Lundquist Mike Karageorge JOHN WAGENER★ Dana Dorcas Daniel Suarez Rich Bulger

Sharing some thoughts ahead of the 2024 World Petrochemical Conference organized by S&P Global Commodity Insights in Houston next week. This year, we're diving deep into the challenges our industry faces and the urgent need for decarbonization. Here's what's been on my mind: * Regulatory Compliance and Risk: Anticipating and navigating dynamic regulatory landscapes is crucial for long-term viability * Cost Management and Capital Investment: Balancing the long-term benefits of decarbonization against short-term financial metrics is a complex task that requires careful planning and strategic investment * Market Dynamics and Competitive Advantage: Leveraging decarbonization as a differentiation factor will enable organizations shape market dynamics, influencing supply and demand, customer preferences, and competitive positioning   BCG’s Tim Mohin and Peter Jonathan Jameson will be participating in two panel discussions during the conference on these important topics: Session 1: Decarbonizing chemical value chain: Navigating a complex policy, regulatory and demand landscape Session 2: Decarbonization of shipping: an ambitious global test looms for fuels of the future   If you are attending, join the sessions. I also encourage you to connect with my colleagues Adam Rothman, Prakash Chandrasekar, and Mudit Jain and please reach out to me on these topics.   #EnergyTransition #SpecialtyChemicals #Petrochemicals

There is no time to lose - the challenges for the #chemicals industry will continue into 2024 driven by both short-/mid-term demand softness, but also long-term structural disadvantages (e.g., energy costs, regulatory burdens), esp. in Europe. Have a read, but let's talk personally how to counteract!

Air Liquide and Dow Renew Supply Deal for German Site Air Liquide and Dow renewed their industrial gas supply agreement for Dow’s chemical production site in Stade, #Germany. Under the long-term agreement, Air Liquide will supply industrial gases and invest almost €40 million in modernizing its facilities to increase operational efficiency and reduce CO₂ emissions. To achieve this, Air Liquide will modernize its existing production assets – two #airseparation units (ASU) and a partial oxidation unit (POX) – which will be complemented by a new CO₂ #recycling solution. According to Air Liquide, this will enable a circular use of the CO₂ produced, leading to around 15% increase in energy efficiency and reducing the #emissions by around 15,000 t/year, which represents 80% of direct CO₂ emissions of its site. The modernization of the assets is scheduled for completion in 2024. Read more on #CMI online: https://lnkd.in/e4TGkxUf

- 💼 Air Liquide and Dow renewed their industrial #gas supply agreement in Germany. - 🔄 Air Liquide plans to invest approximately 40 million euros in modernizing its assets at the #Stade facility. - 🌱 The investment aims to integrate cutting-edge #technology to reduce #CO₂ #emissions and improve energy efficiency. - ♻️ Innovative solutions like #CO₂recycling will enable a circular use of carbon dioxide produced during industrial processes. - 🤝 The partnership between Air Liquide and Dow signifies a shared vision for #sustainability and innovation in the #chemical production industry. Industrielinqs

📣 𝗝𝗼𝗶𝗻 𝘂𝘀 𝗮𝘁 #𝗦𝗣𝗪𝗣𝗖, 𝘁𝗵𝗲 𝗺𝘂𝘀𝘁-𝗮𝘁𝘁𝗲𝗻𝗱 𝗲𝘃𝗲𝗻𝘁 𝗳𝗼𝗿 𝗶𝗻𝗱𝘂𝘀𝘁𝗿𝘆 𝗹𝗲𝗮𝗱𝗲𝗿𝘀! Discover the keys to achieving profitability in a low-carbon future at WPC 202. 🚨 Petrochemical companies are facing challenges like soft margins, oversupply, and the urgent demand for decarbonization. Now is the time for fresh ideas and innovative solutions. Dive into immersive discussions on olefins, polymers, aromatics, and more. Gain invaluable insights into specialty chemicals, vital for driving the energy transition and achieving more with less. Don't miss this crucial opportunity to be part of the convergence of ideas and opportunities. Register now and secure your spot at #SPWPC—𝗟𝗲𝘁'𝘀 𝗻𝗮𝘃𝗶𝗴𝗮𝘁𝗲 𝘁𝗵𝗲 𝗽𝗮𝘁𝗵 𝘁𝗼 𝗽𝗿𝗼𝗳𝗶𝘁𝗮𝗯𝗶𝗹𝗶𝘁𝘆 𝗶𝗻 𝗮 𝗿𝗮𝗽𝗶𝗱𝗹𝘆 𝗲𝘃𝗼𝗹𝘃𝗶𝗻𝗴 𝗹𝗮𝗻𝗱𝘀𝗰𝗮𝗽𝗲. https://okt.to/aReWQt #Petrochemicals #SupplyChain #SpecialtyChemicals #EnergyTransition 🌐✨

Advocating for the formation of consortiums as a strategy to overcome the hurdles in developing new methanol projects, Eric Bober, Senior VP at NexantECA, Energy and Chemicals Advisory joins host Victoria Meyer this week on The Chemical Show. Eric details how partnerships between companies can leverage core strengths, manage risks, and expedite project development. This collaborative approach is deemed crucial, especially for projects involving new technologies and sustainable practices. Discussing the potential benefits and challenges of forming consortiums in the chemical industry, how can these partnerships accelerate the transition to environmentally improved methanol? Learn more this week about best practices for ensuring that consortiums are effective and mutually beneficial. Tune into for the full episode here: https://lnkd.in/g_Z6kCZ6 #GreenMethanol #BusinessPartnerships #Consortiums #ChemicalIndustry #TheChemicalShow