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Solvay invests $200 million in bio-based ECH facility in China

Solvay’s Vinythai selected Taixing for new ECH plant 

With a Chinese market of epichlorohydrin (ECH) expected to grow by 8% per year, Solvay and its Thai affiliate, Vinythai have decided to invest in a new production plant in Taixing, Jiangsu Province, China.

This new plant will have an initial capacity of 100,000 t/y epichlorohydrin.

Solvay and Vinythai estimate the project capital expenditure around $200 million (EUR 155 million)

The Chinese epichlorohydrin market is should represent 35% of total world demand in 2016.

Epichlorohydrin is an essential feedstock in the electronics, automotive, aerospace industry or wind turbine industries, for the production of:

 – Epoxy resins

 – Corrosion protection coatings

The new plant located in the Taixing Economic Development Park will be based on Solvay‘s proprietary bio-based Epicerol® technology.

The plant will use as feedstock natural glycerin obtained as by-product from the production of biofuels.

This cost competitive and eco-efficient process requires less capital expenditure, has a 60% lower carbon footprint.

Benefiting from the China steady supply of sustainable and bio-based epichlorohydrin, Solvay‘s technology will contribute to improve their environmental footprint.

Solvay‘s proprietary process is also dividing the volume of chlorinated by-products by eight compared to the conventional propylene based process.

Vinythai started smoothly its first 100,000 tons epichlorohydrin unit based on the Epicerol® technology in Thailand on last February 2012 and is now supplying regularly the Asian market.

The new plant will make Vinythai the second largest epichlorohydrin producer in Asia.

Vinythai‘s board of directors has proposed the shareholders of Vinythai to take the Final Investment Decision (FID) in July 2012.

The plant is expected to be completed and become operational in the second half of 2014.

Vinythai in brief

Vinythai is a chemical company listed at the stock exchange in Thailand.

Its major shareholders are the Solvay Group (58.77%) and PTT Global Chemical Public Company Limited (24.98%).

Vinythai is a specialized producer of Vinyl, Chlor-alkali and Epichlorohydrin.

Solvay in brief

Solvay is one of the world leaders in high-performance specialty polymers and the world leader in soda ash and hydrogen peroxide.

Solvay has also built its Market Leadership in

 – Specialty chemicals (silica, rare earth formulations)

 – Products designed for large consumer markets (surfactants and natural polymers, acetate tow)

 – Engineering plastics based on polyamide 6.6.

Solvay is headquarted in Brussels, Belgium, and employs about 29,000 people in 55 countries and generated EUR 12.7 billion in net sales in 2011.

Solvay offers a broad range of products that contribute to improving the quality of life and the performance of its customers in markets such as consumer goods, construction, automotive, energy, water and environment, and electronics.

Its recent acquisition of specialty chemicals company Rhodia created a much larger player.

Technip is awarded an engineering services contract by Solvay and Vinythai for the construction of the epichlorohydrin (ECH) plant.

For more information and data about oil and gas and petrochemical projects go to Project Smart Explorer

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