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Düsseldorf — Together but separate. That's the mindset of polyolefin producers Borealis, Borouge and NOVA Chemicals. The companies are part of the International Petroleum Investment Company (IPIC), OMV and the Abu Dhabi National Oil Company (ADNOC) family of companies. While operating as separate entities, the companies have a combined presence at K 2013.

Heather Caliendo

October 16, 2013

7 Min Read
K 2013: Borealis, Borouge, Nova Chemicals discuss growth plans

Düsseldorf — Together but separate. That's the mindset of polyolefin producers Borealis, Borouge and NOVA Chemicals. The companies are part of the International Petroleum Investment Company (IPIC), OMV and the Abu Dhabi National Oil Company (ADNOC) family of companies. While operating as separate entities, the companies have a combined presence at K 2013.

"This is the first time we have shared the same stand," Mark Garrett, CEO of Borealis, said at a press conference. "Often we're asked why not merge the companies? It's not happening. We work to leverage the synergies we have as we are strongly committed to value creation."

The companies each operate independently with its own management, strategy, mission, vision and values.

The combined entities featured a combined 10 million tonnes of plastics. At K 2013, the companies are presenting several polypropylene (PP) and polyethylene (PE) products and technologies for infrastructure, automotive and advanced rigid and flexible packaging applications.

"Borealis products make a substantial contribution to addressing global challenges around topics such as energy, climate protection, healthcare, communication, food and water, at the same time as advancing productivity improvement and product differentiation," Garrett said. "By opening their mind to the new approaches and smart and simple value creation behind our innovations, our customers can stay ahead of the game and make a difference in the world."

Borealis

At K 2013, Borealis is showcasing lightweighting for the automotive sector to reduce vehicle weight and improve "overall sustainability by lowering carbon emissions." Borealis will also feature products in surface aesthetics that the company says meet manufacturers' demands for defect-free surfaces and help them capitalize on the benefits of reduced production costs, lower environmental impact and optimized production cycle times.

Borealis also announced the launch of a new low density polyethylene (LDPE) homopolymer produced with high pressure tubular technology. A patented Borealis solution, the company believes its CT7200 is a "major technological breakthrough that ensures the sustainable and long-term supply of material for the extrusion coating industry."

tetra_frog_oranges_lookRight_media_release.jpgAs a product developed by Borealis for extrusion coating products, CT7200 will help the industry address the issue of end-of-life autoclave plants. With the foreseen and expected closure of several autoclave plants in the market in the coming years, the extrusion coating industry needs a new production platform to produce products that match the performance and quality of today's autoclave LDPE products.

Borealis says the CT7200 represents exactly this continued high quality and performance while at the same time ensuring the reliable and sustainable source of supply essential to future growth of the industry. The new Borealis high pressure tubular platform enables Borealis and its joint venture Borouge to secure supply for the global extrusion coating market in full compliance with all applicable regulatory requirements.

Good optical properties and low gel level further broaden the possibilities to use this product in various flexible packaging applications. CT7200 is ideally suited for applications involving high-volume extrusion coating of boards and papers, liquid packaging, extrusion coating and lamination of different substrates and co-extrusion in multi-structures.

Developed on Borealis' own pilot line, CT7200 was screened and tested in collaboration with industry partners on both laboratory and industrial scales.

"The launch of CT7200 is another example of how Borealis and its partners can all benefit from working together to find new solutions to industry challenges," says Russell Tew, Borealis advanced packaging and fiber marketing manager. "Given that the commercial launch of CT7200 takes place at the time of the K Fair, we would welcome the opportunity to meet in Düsseldorf with converters and other industry partners interested in discovering firsthand the benefits of CT7200 and other Borealis polyethylene innovations currently in the pipeline."

Borelias also launched a step change innovation in soft PP, Bormed SB815MO, which the company says addresses some of the most pressing challenges in the healthcare industry today.

The material exhibits a new level of softness and is the softest PP grade yet within the Bormed portfolio. The use of the Borstar technology also enables good transparency without the addition of clarifiers. Critically, Bormed SB815MO enables sterilization at 121°C and therefore enables a reduction of sterilization time. When compared to low density polyethelene (LDPE) that can be sterilized at 110°C, the sterilization cycle may be completed in half the time. What is more, this is achieved with a material that is flexible enough to be easily self-collapsible without venting, thus avoiding contamination. Finally, quicker sterilization times can potentially enhance sustainability, for example by extending the lifetime of autoclaves.

Borouge

At K 2013, Borouge will highlight products such as a new PP BorPure homopolymer for molders and end-users in the food industry in the Middle East and Asia who are facing increasingly stringent processing and packaging end-user requirements.

"The K 2013 provides an ideal platform for us to demonstrate our innovative, value creating plastics solutions and technologies and reinforce our commitment to meet our customers' current and future needs," said Wim Roels, CEO of Borouge's marketing and sales company. "Our ongoing investment in people and infrastructure reflects our exciting journey of growth, innovation and sustainability and confirms our commitment to our customers and the markets we serve."

In 2014, Borouge will start up three new PE plants and two new PP plants under the Borouge three expansion project, and expand its commercial, logistics and supply chain networks to support its customers and the plastics value chain throughout the region.

NOVA Chemicals

At K 2013, NOVA Chemicals will place an emphasis on PE solutions.

"Our products and services are inspired by listening to our customers and understanding their challenges," sad Chris Bezaire, NOVA Chemicals senior VP, polyethylene. "We have adopted a market-focused approach that enables us to offer an in-depth level of market knowledge which, supported by our PE technical capabilities, means we can work together to turn insights into innovation and opportunity."

Highlights across the "family"

All three companies have recent and ongoing investment and expansion projects, including:

  • Inaugurated in June 2013, the Borealis Sirius Catalyst Plant in Linz, Austria, is a key factor in the growth strategy of the business of Borealis polyolefins. The construction of the catalyst plant represents an investment of EUR 100 million, which follows earlier investments of EUR 50 million in the expansion of the innovation headquarters in Linz, opened in 2009.

  • In 2014 Borouge expands its Abu Dhabi-based plant's annual capacity of PE and PP from 2 million to 4.5 million tonnes/year (t/y) supported by a new Innovation Centre in Abu Dhabi that will collaborate with the European Innovation Centres of Borealis, as well as with local and international educational institutions to further develop new innovative market applications and solutions.

  • Borouge is also increasing the production capacity of its Compounding Manufacturing Plant in Shanghai from 50,000 to 90,000 t/y to support the sales of compounded plastics resins for the growing Chinese automotive market, and is expanding its logistic network in China to include warehouses in Tianjin and Ningbo to complement its existing Shanghai and Guangzhou logistic hubs. At the same time, the company has opened a new representative office in Tokyo and plans to open four new offices in Bangkok, Delhi, Ho Chi Minh City and Jakarta by the beginning of 2014.

  • NOVA Chemicals has begun construction of a new large-scale gas phase linear low density PE line at its Joffre, Alberta manufacturing hub in Canada. The new line is expected to be operational from late 2015 and have a capacity of about 450 kilotonnes/year (kt/y).

  • The Corunna, Ontario cracker revamp is expected to leverage NOVA Chemicals' access to new feedstock by converting the facility to utilize up to 100% natural gas liquids and be the first in the industry to consume ethane from the Marcellus Shale Basin to make PE by late 2013. Project completion is targeted for early 2014.

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