Evonik has reduced its specific energy-related greenhouse gas emissions by sixteen percent compared to 2004

Evonik Industries has significantly improved its CO2 efficiency. The Group has been able to reduce its specific energy-related greenhouse gas emissions in chemical production by sixteen percent; compared to the previous year, the improvement in 2010 was a full three percent. This is highlighted in the company’s 2010 Corporate Responsibility Report, which was recently presented in Brussels. This success means that Evonik has moved another step closer to its self-imposed goal of reducing the specific energy-related greenhouse gases of its chemical activities to twenty percent below the level of 2004 by 2014.

60 percent of CO2 emissions in 2010 were energy-related and 40 percent related to chemical processes. Absolute emissions of greenhouse gases increased to 9.14 million metric tons CO2 equivalents in 2010, a rise of 11 percent over the previous year (2009: 8.23). At the same time, specific emissions, i.e. emissions relative to output, declined by 3 percent. Accordingly, Evonik has successfully detached its production growth from rising emissions. “Our significantly increased energy efficiency is making an important contribution to climate protection" says Klaus Engel, the Chairman of the Evonik Executive Board.

With the global economy regaining momentum, the Group returned to operating its chemical production facilities at full capacity in 2010, in many cases with optimized efficiency. A number of efficiency enhancement measures contributed to the reduction of specific greenhouse gas emissions.  These included the start-up of a new cogeneration power plant in Antwerp (Belgium) and a more efficient installation for thermal incineration of exhaust gases from the production of the feed additive methionine. In addition, Evonik initiated selective energy-saving programs at its site in Rheinfelden (Germany). During the 2010 financial year, Evonik invested a total of 36 million Euro in environmental protection for its chemical business activities.

“We want to be successful as a supplier of competitive products and technologies that also make a contribution to sustainability. At the same time, we want to be a responsible, reliable and fair partner for our customers, employees and society and meet the demands made by our shareholders,” noted CEO Klaus Engel.

Evonik invested some €338 million in research and development in 2010. The Group pursued about 500 different projects, of which approximately 100 focused on resource efficiency.

The Corporate Responsibility (CR) efforts of Evonik provide answers for challenges of the future, such as resource efficiency. Says Christine Anders, Head of CR at Evonik: “Corporate Responsibility is an integral part of our business and we plan to keep fine-tuning our CR strategy in 2011.” With its three dimensions of Business, Employees, and Processes, the CR strategy is a fixed component of the corporate strategy, providing support and new impulses.  In 2010, the Group identified important sustainability topics as part of so-called materiality analyses and intensified its dialog with stakeholders.

The Evonik Corporate Responsibility Report 2010 for the first time met the requirements for the highest application level A+ of the Global Reporting Initiative (GRI). GRI is the internationally recognized standard for comprehensive sustainability reporting and confirmed the A+ reporting level for Evonik. Large parts of the report underwent a business audit by an auditing firm.

 

SABIC wins VNCI Responsible Care Award for 2011

 SABIC has won the Responsible Care award for 2011. The announcement was made during the annual meeting of the Dutch Chemical Industry Federation (Vereniging van de Nederlandse Chemische Industrie (VNCI)) in The Hague. The company was chosen to receive the award because of its efforts to render the transportation of hazardous substances as safe as possible. SABIC has implemented a number of safety policies which go above and beyond the statutory and regulatory provisions. In addition, SABIC also actively involves its suppliers in safety improvements throughout the logistics chain.

Two tangible examples of this are the Rail Safety Policy and the Responsible Care requirement for our haulers. The judging panel decided that by introducing this new safety policy, SABIC has proved itself to be an excellent example of how to implement transport safety. In the view of the panel of experts and also the general public, who were able to cast their vote for the first time, SABIC has set the standard with this safety policy.

Among other things, the Rail Safety Policy prescribes that the company only uses carriages fitted with crash buffers. The use of this safety feature ensures that the impact of a collision on the tank is smaller, thereby reducing the risk of a disaster. In addition, under the Rail Safety Policy the carriages used are no more than 20 years old. This is also beneficial in terms of transport safety. SABIC was presented with a trophy to mark the occasion and is now in the running for the European Responsible Care award.

The Responsible Care program is a global initiative introduced by the chemical industry which aims to continuously improve companies’ performance in the field of safety, health, the environment and sustainability. On April 1 of this year, SABIC became the first company in the industry to call for its haulers to commit to Responsible Care. For this purpose, SABIC concluded three-year contracts with its road haulers to reinforce the company’s commitment to safety and sustainability throughout the entire logistics chain. This emphasizes the importance of implementing measures in an efficient manner and of openly discussing not only the successes but also the failures. It is also important to work with the authorities and organizations in order to develop, attain and also to exceed safety standards.

Huub Meessen, Vice President for Europe, says that he is “proud that SABIC’s revolutionary safety vision has been rewarded with the presentation of this Responsible Care award. I hope that our initiatives contribute to new standards being put in place within the chemical industry which will then further increase safety during the transportation of hazardous substances.”

The Responsible Care award will bring the VNCI Responsible Care right into the spotlight. The industry association has been bestowing this award on the most prominent and inspiring candidate since 1999. This year there were nine entries and for the first time in the award’s history the public was able to have its say in an online poll. The independent Responsible Care judging panel, which consisted of representatives from the government, MVO Nederland and the chemical industry, took the result of the online vote into account in its final decision. AkzoNobel and Nyrstar, who were both nominated alongside SABIC, received an honorable mention.

 

Brenntag achieves strategic market entry in China

 Brenntag signed a purchase agreement to acquire 100% of Zhong Yung (International) Chemical Ltd. Deal closing for the first tranche is expected in the 3rd quarter of this year. Brenntag will hold a majority stake of 51% and will acquire the remaining stake in 2016. Entering into a joint venture for five years gives Brenntag the opportunity to use the experience and know-how of Zhong Yung and its management team to establish a solid business platform for Brenntag in China.

“This transaction strengthens Brenntag’s growth strategy in the Asia-Pacific region. This acquisition is a strategic investment for Brenntag in China and also a first step through which Brenntag demonstrates full commitment to build a solid distribution network in China. We are continuing to look for further opportunities to support our growth in Asia Pacific.” says Brenntag’s COO and designated CEO Steve Holland.

Henri Néjade, President of Brenntag Asia Pacific, highlights: “It is a significant milestone in Brenntag’s Asian business development following the successful acquisition of EAC Industrial Ingredients in 2010. We are delighted to team up with Zhong Yung because it opens the opportunity for further growth in China. Zhong Yung is a major chemical distributor with about 2,000 customers, more than 100 suppliers and has an excellent infrastructure including laboratories, blending and storage capabilities.”

 

Linde to build largest air separation plant in Indonesia

PT. Linde Indonesia, a member of The Linde Group, announced that it had entered into a long term industrial gases supply scheme agreement with PT. KRAKATAU POSCO (PT.KP).

PT. KRAKATAU POSCO, a joint venture between POSCO and Krakatau Steel, is building a three million tonnes per annum (mtpa) steelworks in the first phase in the Cilegon area, located about 100 km west of Jakarta. PT.KP's new plant will be the first integrated steelworks in Southeast Asia and is targeted to be onstream by the end of 2013.

To support the gases requirements of PT.KP’s new  steel plant, Linde will invest about IDR 1 trillion (about EUR 88 million) to install a new air separation plant at Cilegon which is capable of producing approximately 2,000 tons per day (tpd) of oxygen.  In addition to meeting the 1,680 tpd oxygen requirement of PT.KP’s new steelworks, Linde’s new plant, which will be commissioned by October 2013, will also produce liquid products to meet the growing demand for industrial gases in West Java.

Mr Sanjiv Lamba, Member of the Executive Board of Linde AG, and Regional Business Unit Head for Linde South & East Asia, said, "The Linde Group is keen to expand our business in Indonesia, one of the fastest growing economies in this region. Our decision to invest and build what will be Indonesia’s largest air separation plant, and also Linde’s largest investment in Indonesia to date, demonstrates our continued commitment to support our valuable customer PT.KP in its growth plans, and also meet future demand and market opportunities going forward," Mr Lamba added.

Mr Darren Webster, President Director of PT. Linde Indonesia said, "The signing of this long term supply scheme contract is a major milestone for Linde in Indonesia. Our new air separation plant will produce more than 3,000 tpd of oxygen, nitrogen and argon, and will enable us to significantly increase our production capacity and enhance our ability to serve the fast growing West Java area," Mr Webster noted.