Saudis tap Huntsman, Kvaerner for maleic anhydride-BDO venture
The companies have already begun engineering the facility, which they expect to bring on stream in the first quarter of 2003.
The new venture will Huntsman's proprietary fixed bed n-butane maleic anhydride process and catalyst. The output will feed the production of butanediol (BDO) and tetrahydrofuran (THF) using Kvaerner's maleic anhydride-based technology and catalyst.
The facility is part of a larger undertaking by SIPC, a recently formed Saudi joint stock company. It has joint ventures with foreign partners to build methanol, acetic acid, and vinyl acetate monomer plants in Jubail.
Under the latest deal, Huntsman will own a share of the maleic anhydride plant while Kvaerner has an interest in the butanediol unit. Saudi Arabia's Gulf Advanced Chemical Industries Co. (GACIC) will invest in both facilities.
Maleic anhydride is a raw material for unsaturated polyester resins used in applications as diverse as boats, cultured marble bathroom fixtures, and automotive body parts. Chemical producers also use it to make lube oil additives, agricultural chemicals, paper sizing, artificial sweeteners, and detergents.
Butanediol, one of the world's fastest growing chemicals, goes into production of thermoplastic polyurethanes, elastic fibers, pharmaceuticals, solvents, plant protection, coatings and electronic chemicals.
The new facility marks the 6th consecutive maleic anhydride plant in the world to use Huntsman's fixed bed technology and catalyst. The deal, says Huntsman senior VP Thomas Fisher, establishes "the preferred route to BDO is through our maleic anhydride technology and catalyst." He contends that the integrated Huntsman-Kvaerner technologies provide licensees with the industry's best BDO production economics.
Huntsman says it is the world's largest producer of maleic anhydride and among the largest producers of fixed bed maleic anhydride catalyst. It operates a 230 million lb/yr maleic unit in Pensacola, FL, and holds a 50% share in a 125 million lb/yr joint venture with Condea in Meerbeck, Germany. It also plans to work with Mexico's Grupo Idesa to start up a 90 million lb/yr facility in the fourth quarter of 2002 to supply Huntsman customers in the United States.
Edited by Alan S. Brown
Managing Editor, Chemical Online