Versalis technologies and capabilities: not only a market opportunity Soccol Stefano Vice President IP, Licensing and Business Development 1
Historical backgound March 2012 Market-oriented and March 2012 focus on diversified Green chemistry products Efficiency Licensing Polimeri Europa becomes Versalis 2002 R&D enhancement Polimeri Europa absorbs polymer and chemical strategic assets of Enichem Internationalization 1995 Establishment of Polimeri Europa, joint venture 50% -50% Enichem and Union Carbide, aimed to serve polyethylene market 1981-1985 eni founds Enichem (at the beginning called Enichimica) aimed to manage ANIC and others acquired companies. Enichem will become the main Italian industrial player operating in the field of chemistry in several segments (basic chemicals, intermediates, polymers, fertilizers, synthetic fibers and fine chemicals) 1953-1954 eni acquires ANIC and inaugurates in Ravenna (Italy) one of the largest centers of Italian petrochemical for the production of synthetic rubbers and nitrogen fertilizers derived from natural gas 1936 Born ANIC (National Company Hydrogenation Fuels) 2
versalis european nameplate capacity chain (kty) Steam Crackings fed by VN, GPL, others Py-gas (1300) Ethylene (1900) Propylene (760) C4 mix (620 ) DCPD hp (8) Reformate (950) to market Xylenes + EB (255) Benzene (580) LLDPE/ HDPE (722) LDPE/ EVA (662) Raffinates (330 ) Butadiene (290 ) propylene Cumene (300) Ethylbenz. (550) EB to market Styrene (610) EPR/EPDM (115) s-sbr (40) H 2 e-sbr (205) NBR (38) Xylenes (180) α-ms (7) Phenol (310) & Acetone (192) Cy-one & KA oil (270) to market EPS (135) GPPS/SAN (195) to market HIPS/ABS (245) Latexes HS/LS (62) ; CBX (38) SIS/SEBS/SBS (110) HCBR Nd (86) LCBR (90) to market 3
versalis proprietary technology(kty) Most of the units we operate are based on internally developed process and proprietary Technologies and catalysts We are continuously investing in process optimization, technology improvements and development of new technologies and new catalysts The improvements in our technology portfolio are shared with our licensees that can also access to dedicated joint research programs to solve specific needs 4
Some examples of new process developed by Versalis in recent years Continuous mass technology Cyclohexanone Oxime process-ammoximation Technology Flexibility in operation and optimization of portfolio ABS grades Lower investment cost Lower environmental impact Innovative process for production of cyclohexanone oxime. Mild operating conditions Reduction of by products, substantially lower investment and environmental impact Can be retrofitted on existing plants HCBR Neodimium based high-cis polybutadiene rubber. Developed to match with the new demanding requirements of the tire sector Proprietary TS-1 catalyst Utilized with success by many petrochemical operators in caprolactam, phenol PO processes 5
Some examples of new process developed by Versalis in recent years STYRENIC Among the first 7 producers only Versalis and another player have proprietary continuos mass technology INTERMEDIATES Overall investment saving up to 35% in caprolactam compared to conventional route ELASTOMERS Among the first 11 elastomer producers only Versalis and other two can offer a portfolio of 7 rubber families out of the 9 actually commercialized CATALYSTS In 1992 our catalyst won the Donald Breck Award for advancing the knowledge of the structures and properties of titanium MFI zeolites and for demonstrating both the potential and applications of these novel catalysts for partial oxidation reactions 6
Licensing: Versalis proprietary process technololgies Versalis licencing is designed to meet the customer's specific needs and support them with engineering services (up to BEDP/FEED), technical assistance and staff training Phenol & Derivatives DMC & Derivatives Polyethylene Styrenics Elastomers Cumene PBE-1 Zeolite catalyst based* Phenol & Acetone* Acetone to IPA Acetone to Cumene via IPA** high selectivity Cyclohexanone & KA-oil Ammoxymation with TS1 Cyclohexanone and H 2 O 2 DMC & Derivatives via CO & MEOH* DPC* Proprietary catalyst technologies Titanium Silicalite Silicalite PBE-1 Zeolite PBE-2 Zeolite LDPE EVA Ethylbenzene PBE-1/2 Zeolite catalyst based catalyst based Styrene Monomer GPPS HIPS EPS suspension/ continuous mass ABS continuous mass SAN e-sbr s-sbr high cis BR low cis BR NBR SBS SIS EPR/EP(D)M Latices * Licensing through Lummus technology (CB&I company) ** Close to commercialization 7
Bulding up in the time successful cooperations worldwide Installed capacity based on versalis technologies in the last 10 years by area Downstream Intermediates 15% By Product 18% 67% Elastomers Polystyrene Polyethylene 61% 39% Ethylbenzene & Styrene Monomer Phenol & Derivates 3% 2% 2% 2% 4% By Area 7% 10% 10% 11% 21% 12% 14% 29% 6% 25% 39% Iran Malaysia France China Korea Italy Iran China Malaysia Taiwan India Brazil Russia Taiwan Egypt UK Versalis started the licensing activities in September 1992: LPDE tubular technology sold to QAPCO - Qatar Petrochemical Company 8
Licensing options: extended and flexible range of services Licensing PDP,BEDP, FEED Feasibility assessment Assistance to commissioning and startup Proprietary equipment design and supply Training of the operators 9
Licensing options: extended and flexible range of services Licensing PDP,BEDP, FEED Feasibility assessment Assistance to commissioning and startup Proprietary equipment design and supply Training of the operators Design and construction Engineering Procurement Construction 10
Licensing options: extended and flexible range of services Licensing PDP,BEDP, FEED Feasibility assessment Assistance to commissioning and startup Proprietary equipment design and supply Training of the operators After sales Optimization Troubleshooting Process evaluation New products development Design and construction Engineering Procurement Construction 11
Licensing options: extended and flexible range of services Revamp projects Extend life Debottlenecking Equipment replacement Licensing PDP,BEDP, FEED Feasibility assessment Assistance to commissioning and startup Proprietary equipment design and supply Training of the operators After sales Optimization Troubleshooting Process evaluation New products development Design and construction Engineering Procurement Construction 12
Licensing options: extended and flexible range of services Revamp projects Extend life Debottlenecking Equipment replacement Licensing PDP,BEDP, FEED Feasibility assessment Assistance to commissioning and startup Proprietary equipment design and supply Training of the operators After sales Optimization Troubleshooting Process evaluation New products development Design and construction Engineering Procurement Construction 13
Flexible package of services Versalis can offer a very flexible package of services associated with the license: Extended engineering services including PDP, BASIC and FEED all developed with internal engineering resources Possibility to offer a complete EPC LSTK in partnership with approved and experienced EPC contractors On site and theoretical training for the operators in Versalis industrial facilities Assistance to plant commissioning a start up Support for plant optimization and improvements along the entire lifetime of the plant 14
In technology licensing Versalis offers the combined advantages of being in the same time: A producer An experienced engineering contractor Leading position, with a deep knowledge and Understanding of the global marked requirements and developments Direct and day by day experience in plant operation, maintenance and optimization Engineering Team involved in all Versalis new investments and in all the licensing Projects Flexible and professional offer of services (PDP, BEDP, FEED) Capability to perform internally the complete mechanical design of key and proprietary equipment Capability to work with different standards Capability to work in cooperation with other licensors Capability to work in cooperation with EPC contractors 15
Versalis an integrated producer All the technologies present in the licensing portfolio have the backup of industrial reference units of worldscale capacity Versalis is present and integrated in the production chain from the production of chemical intermediates to monomers and polymers. This knowledge is offered to our licensors helping to professionally support the upstream and downstream integration of one unit in the chain as well as in minimizing the interfaces from one unit and the other 16
Licensing: an important vehicle to develop mutual beneficial cooperations The possibility to offer multiple technologies covering in many cases the complete range of market applications and our capability to share our technological and market expertise has contributed to develop successful business relations with important petrochemical players This is becoming an significant contribution to our turnaround and globalization that we are interested to further exploit 17
Versalis globally-oriented strategies Opportunity under development JV Hydrocarbon resins complex (75 kty) JV Elastomers complex: 270 KTY JV Elastomers complex: 200 KTY North America South America Integrated with C5 separation unit Malaysia South Korea 18
Our current licensing offer includes Straight licensing with flexible engineering package Integration with other technology licenses Supply of proprietary equipment Commercial agreements for specific products manufacturing and long term basis buy back Equity participation in the venture 19
Thank you for your kind attention and I hope you will enjoy our technology presentations this afternoon 20