Discovery

JULY 2011 THE QUARTERLY NEWSLETTER OF KOCH COMPANIES Environmental excellence From the toothbrush and tissue in your ger the numbers get. But it’s misleading lence (see pages 4-8) has not gone unno- bathroom to the fuel and safety features to only look at total emissions without ticed by environmental regulators. of your car, Koch companies help provide considering total output. “The U.S. Environmental Protection products that you – and millions of other “For example, a car company making a Agency has repeatedly complimented us people around the world – depend upon. million cars a year will produce more on our ability to set a good example for en- Seat belts, airbags, dashboards and tires emissions than a company making a vironmental performance,” Mahoney said. are all made from Koch products. The thousand cars. But which has the higher In 2000, a senior EPA official during the same is true for the world’s best camping total of emissions per car? Clinton administration praised Koch gear and high-fashion garments. “If you’re concerned about the environ- Group’s agreement to reduce President Obama took the oath of office ment,” Mahoney said, “efficiency needs to 60,000 tons of air annually. standing on carpet fiber made by a Koch be taken into account. And Koch compa- “We appreciate the unprecedented coop- company. And the disposable coffee cups nies are among the world’s most efficient.” eration,” she said, “in stepping forward to used on Air Force One? You guessed it. Emissions per unit work with us to reach this innovative and And yet, instead of appreciating the comprehensive agreement. We hope that many Koch company products that make “When you start comparing emissions other companies will follow suit.” our lives better and the effort taken to per unit produced or processed, the envi- Last year, an Obama administration of- produce them in an environmentally ronmental story gets really meaningful.” ficial praised the willingness of Flint Hills efficient way, some critics try to mischar- According to an independent analysis, Resources’ facilities to transition to acterize Koch’s actions. Pine Bend emits, on average, about half federally approved Clean Air Act permits. Reality Check as much per unit of output as highly regulated California refineries, less than Jim Mahoney is Koch Industries’ “Our goal is to continually executive vice president for operations one-third as much as U.S. refineries in reduce our footprint while excellence and compliance. As much as general, and only one-fourth as much as anyone, Mahoney knows what it takes to other Midwestern refineries. increasing productivity.” make great products. “We’ve got a very compelling story that “The process we agreed to with Flint Hills “You can’t manufacture quality products every Koch company employee can be Resources is an excellent one,” said EPA or provide excellent services without proud of. We are one of the cleanest and Region Six administrator Al Armendariz. consuming resources and creating emis- most efficient refiners in the world.” “It is our hope that the FHR process will sions of some kind,” Mahoney said. The goal of every Koch company, Ma- serve as a model for other companies.” “Because Koch Industries is one of the honey says, “is to continually reduce its “This isn’t a political calculation for us,” largest and most diverse companies in footprint while increasing its productiv- Mahoney said. “It’s a matter of being the America, and because we make so many ity. The only way to do that is by being as best operator possible and of never waver- things that consumers want and value, our efficient as possible, and by insisting on ing from our commitment to environ- companies inevitably produce emissions.” environmental excellence.” mental excellence. Mahoney knows that the bigger you are The success that Koch companies have “The expectations keep growing, so our and the more products you make, the big- had in achieving environmental excel- performance has to keep improving.”

this issue… Environmental commitment in action pg 4 Dale Earnhardt, Jr. pg 2 Environmental excellence since 1922 pg 7 Perspective: David H. Koch pg 8 Postal Pipeline

Beautiful land, fantastic hunts, great food, and unmatched accomodations. That’s Matador Ranch. Dale Earnhardt, Jr. Mooresville, N.C.

Indulge yourself • www.WomensFocus.com • JULY 2011 KII’s $1 million donation toward relief efforts in Japan was divided A wildfire that burned 20,000 acres of the Matador Ranch evenly between the Salvation Army and American Red Cross. came within a few feet of its historic headquarters. The I work in a Koch office here in Japan. ranch donated $42,000 to local volunteer fire departments After speaking with the President of and other personnel for their help in battling the range fires. Japan, I can confirm that all INVISTA and Koch Chemical We would like to express our greatest Technology Group employees are safe appreciation for your recent donation. [following a devastating earthquake and It is truly amazing to see the generosity of tsunami on March 11]. our fellow Texans and the response to this department following the recent fires. I very much appreciate Koch Industries’ Susan Addington & Liz Koch $1 million contribution for our Japanese We will continue to do our best to serve Fred & Mary Koch Foundation Bob Gress - Great Plains Nature Center tragedy and believe your heartfelt consider- Motley County and provide assistance YUM: In Her Shoes: ation will be very helpful for relief efforts. to our neighbors, just as they came in SUMMER DRINKS patrick goebel our time of need. In Tokyo, we are still having some incon- veniences with public transportation We thank you in the most sincere fashion July’s issue of Womens Focus magazine reviews and electrical power, but our working for your support. the Fred C. and Mary R. Koch Foundation’s many conditions are fine. donations to environmental projects in . Matador Volunteer Fire Department It is available online at http://womensfocus.com. However, damage is huge and we will Matador, Texas need plenty of time to recover com- pletely. We are still very much concerned I want to thank Flint Hills Resources for How very generous you have been with about the nuclear power plant. its sponsorship of the Camp-In program at our school. I cannot say enough to the Science Museum of Minnesota. thank you. Our students are wiser for Once again, thank you for KII’s action. Masatsugu Fujishima Our school participated in the event April this opportunity. Penny O’Brien 7 and 8. It was a great time and our fourth- John Zink Co. Wyoming Elementary School and fifth-grade students, teachers and Tokyo, Japan Forest Lake, Minn. parent volunteers all enjoyed it. To “like” and follow Koch companies and leaders – For a small school that is six hours away including Georgia-Pacific, INVISTA, Flint Hills from the Twin Cities, this type of activity Resources, Matador Cattle Co. and – is usually impossible due to the cost and visit Koch Industries’ Facebook page. travel. Flint Hills was very, very generous! Letters and other submissions become the property of Koch Thank you again for this opportunity. Our Industries, Inc., and may be reproduced in whole or in part, kids will remember it the rest of their lives! including your name, for any purpose and in any manner. Dave Andrys Letters may be edited for length or clarity. Sacred Heart Elementary School East Grand Forks, Minn. Discovery July 2011 | Volume 17 | Number 3 Editorial board Questions? Comments? Philip Ellender Contact: Rod Learned Rich Fink 316.828.6136 We just returned from our Camp-In at Jeff Gentry [email protected] the Minnesota Science Museum. Every- The Science Museum of Minnesota’s popular Camp-In Dale Gibbens Greg Guest Publication design: thing was educational, top notch, and program, which serves thousands of students from across Mary Beth Jarvis Deanna Crockett above expectations – including the fe- the state, allows kids to spend the night in the museum. Charles Koch Amber Vogts Jim Mahoney Koch Creative Group male role models for our future scientists. To learn more, visit http://www.smm.org/campins Dave Robertson www.kochind.com ©2011, Koch Industries, Inc. Koch is an EOE. M/F/D/V 2 International News

Paulínia - A Brazilian ad for LYCRA HyFit™ fiber. Poole - These Hamworthy dual fuel burners were designed for the Odebei - A Hamworthy multi-point ground flare array. Hamworthy When used in diapers, it provides a better fit. main propulsion boilers on liquefied carriers. Combustion is now part of Koch Chemical Technology Group.

Brazil – Ever since it opened in 1974, and Paulínia are sold throughout South The company’s primary office in the U.K. INVISTA’s Paulínia plant has done a America, but are especially important in includes an Advanced Technology Cen- great job of safely and efficiently produc- Brazil, where INVISTA is a leader in the tre that is one of the largest combustion ing specialized textile fibers, especially textile industry. test facilities in the world. LYCRA® spandex. According to the Brazilian Association Hamworthy also maintains offices in That site is now preparing for the most of Producers of Artificial and Synthetic Australia, Brazil, , China, Dubai, significant expansion in its history: the Fibers, INVISTA and its peers produce , Germany, Italy, Japan, Nether- construction of an all-new, LYCRA® fiber about 370,000 metric tons of artificial lands, Poland, Singapore, Spain, South production plant. fiber per year, contributing more than Korea and the United States. The $100 million facility is expected to $1 billion in annual revenues to Brazil. Jim Goodman, president of John Zink, be up and running by the end of next year. Trerotola is convinced that Brazil is not only believes this acquisition provides an ex- “Thanks to this investment,” said David a growing market but a strategic one, too. cellent complement to KCTG’s existing Trerotola, president of INVISTA Ap- “Brazil’s textile market is certainly inte- combustion businesses – John Zink and parel, “Paulínia will see a huge increase grated,” Trerotola said, “with textile mills, Coen. He likes both the similarities and in spandex production capability. We’re garment and fashion brands all achieving the differences that Hamworthy brings talking double-digit increases.” high penetration. to the table. Along with increased production capac- “Investments like this one are essential if “Our companies share some involvement ity – needed to meet rising customer we are to continue being a leader in such in the flare, process burner, boiler burner demand in the region for LYCRA® fiber a dynamic market. and thermal oxidizer product markets,” – INVISTA Apparel will implement “Of course, the other thing we want to Goodman said, “and we both have new technologies to further enhance its continue is the safety culture, ” he said. strong, tenured technical teams. production systems. Paulínia employees recently celebrated 37 “But in several other ways we’re German Silva, the company’s business years without a lost-time incident. That’s quite different. director for South America, insists that the longest LTI-free streak of any Koch “Hamworthy is focused on the marine “textile companies like ours must con- company manufacturing facility. business segment, such as equipment for tinually improve and advance technology England – Koch Chemical Technology floating production platforms and tanker if we are to retain our leadership position. Group has acquired one of the world’s ships that carry . “Our customers not only want more best-known suppliers of combustion equip- That’s new for us. product, they want better products. That’s ment: the Hamworthy Combustion group. “Conversely, John Zink has a strong why we’re always innovating and looking This transaction, which closed May 20, focus on vapor combustion and vapor for new ways to develop value-added is the second-largest ever by KCTG. The recovery at on-shore loading terminals, features for LYCRA® and SUPPLEX®.” largest was the purchase of Glitsch Inter- and flare gas recovery at refineries and SUPPLEX® fabric, made at INVISTA’s national in 1997. chemical plants.” nearby Americana plant, is popular with Founded 90 years ago and headquar- Goodman also noted that Hamworthy athletes because it looks and feels like tered in Poole, Hamworthy Combustion has a large global presence, especially in cotton but won’t crease as easily, fade as Engineering, Ltd. has a truly global reach, Europe, and some exceptionally strong fast or take as long to dry. with equipment installations in more than brand names, including Hamworthy, INVISTA products made in Americana 100 countries and about 600 employees. Peabody and Chentronics igniters. 3 In pursuit of environmental excellence Few corporations anywhere in the world their needs from renewable “These goals provide a road map toward are as diverse as Koch Industries, Inc. sources such as woody biomass. successful sustainability practices,” Koch companies make paper towels, oper- Instead of Hannan said, ate pipelines, raise cattle, produce , disposing GP Harmon Recycling processes “that will result help fertilize crops, develop pollution of leftover in economic, control technologies, provide building bark, wood more than 12 billion pounds of environmental and materials and make water safe to drink. residues and recovered paper products every year. social benefits for These Koch companies face an array of pulping by- our customers, operational challenges as they strive to products, GP facilities use them to create companies, employees and the communi- operate safely, remain compliant and im- energy. Some plants generate more than ties where we operate.” prove their environmental performance. 90 percent of their electricity this way. Report card That’s not an easy task, especially con- This use of biomass as fuel reduces the Several Georgia-Pacific facilities have sidering the thousands of sometimes- demand for other energy sources. And started to make headway in achieving conflicting regulations these companies perhaps most important for environ- energy efficiency goals. must abide by worldwide. mentalists, using biomass fuels is carbon GP pipefitters at the Palatka, Fla., site, For a company such as Koch Industries neutral (meaning it does not contribute for example, recently identified 60 air to say it is committed to environmental additional greenhouse gases into the leaks that were wasting about $38,000 in excellence is easy. To prove that com- earth’s atmosphere). energy every year. Most of those leaks mitment is much tougher, especially Better practices, better planet have already been repaired and the others when misinformation and bias create an Papermaking – a GP specialty – requires soon will be. atmosphere of doubt. lots of energy and natural resources. It GP Harmon Recycling manages more can also result in lots of emissions. Re- than 6 million tons of recovered paper ducing all three is a goal of the American each year. Almost half of that recovered Forest & Paper Association. paper ends up in Georgia-Pacific products Georgia-Pacific’s CEO and President such as tissue, containerboard and gypsum Jim Hannan is chairman of the board for drywall paper. AF&PA. At the association’s annual con- In addition to paper, the company’s gyp- ference in Chicago in March, Hannan sum plants recycle gypsum to make dry- unveiled an extensive set of sustainability wall. They also have closed-loop systems goals for the forest and paper industry. for handling wastewater. This new initiative, called Better Practices, Almost all GP facilities have in-house Better Planet 2020, outlines specific per- recycling programs for collecting used bat- formance goals for the industry as a whole. teries, light bulbs, , aluminum cans Georgia-Pacific’s Palatka, Fla., mill produces some of the Those goals include improving energy and other materials that can be turned into company’s leading consumer tissue and towel products. efficiency by 10 percent, reducing the valuable new products. But, the facts demonstrate that employ- intensity of emissions by Overall, the number of environmental ees of Koch companies have much to be 15 percent, improving incidents at GP facilities proud of when it comes to environmental safety performance by has declined by almost performance. As the following examples 25 percent and upping one-third since 2007. show, those employees are among the the amount of paper Over the past decade, world’s leaders in efficient, safe, environ- recovered for recycling the company has also im- mentally friendly operations. to 70 percent. proved its performance

Green machine AF&PA is also promot- in metrics such as SO2 ing practices that will and TRI emissions. The Koch company with the most manu- increase the purchase of facturing facilities is Georgia-Pacific. GP fiber from certified for- Commitment in action has about 300 sites in North America, est lands and reduce the For Flint Hills Resourc- South America and Europe. The vast amount of illegal logging es, which operates refin- majority of these are in the United States. occurring worldwide. Ireland - GP’s Inversoft Kitchen Towels, eries, chemical plants, Few people are aware that GP’s U.S.- (GP no longer owns or cores and packaging are all made ethanol plants and other based sites generate more than half of manages timberland.) from 100% recycled content. energy-related facilities, 4 emissions are a constant focal point. This is especially true for its two largest facilities: the in Min- nesota and the Corpus Christi Refinery complex in Texas. Since 2000, FHR has reduced its total criteria air emissions by more than 50 percent. Pine Bend, in particular, has done a superb job, voluntarily reducing its emissions by 71 percent since 1997. Last year, Pine Bend reduced its flaring to a record low, averaging just 1.31 minutes per day, down from 10.52 in 2004, when the U.S. EPA gave FHR a Clean Air Award INVISTA’s award-winning Wetlands Education Center in Victoria, Texas, has hosted more than 50,000 young students. for its program to reduce flaring. Several facilities that produce those fibers Like Victoria, INVISTA’s sites in Cam- As mentioned on page one of this issue, have achieved some notable environmen- den, S.C., and Waynesboro, Va., have FHR’s refineries are extremely efficient tal results. The company’s spandex plant been recertified by the Wildlife Habitat at processing a barrel of crude oil while in Paulínia, Brazil, for example, consis- Council for continued success in main- minimizing emissions. As a whole, FHR’s tently recycles more than 90 percent of taining and enhancing wildlife habitat on refineries do so while emitting one-third the waste generated on-site. company-owned land. less than the industry average. INVISTA’s Maydown plant in the Never-ending Although the industry focus is most often United Kingdom (the largest LYCRA® Other Koch companies are also putting on air emissions, Brad Razook, president fiber production facility in the world) extra effort into environmental excellence. of FHR, is also proud of the company’s has significantly reduced the amount efforts toward improving water conserva- of its fiber waste going to landfill. Such Koch , which makes fertilizer prod- tion and treatment. waste used to total 7 percent of produc- ucts, Koch Minerals, which transports and trades dry bulk materials, and Koch Pipe- “Pine Bend began a water recycling tion. Today, it is less than 1 percent. line have all won environmental awards. Pine Bend Annual Hours of Flaring The company has even found a new use So has Koch’s Matador Ranch in Texas. 80 for discarded consumer products des- tined for landfill. Some of the fibers used Last year it was honored with the Texas Park and Wildlife Department’s Lone 60 in COOLMAX® EcoMade socks contain 97 percent recycled content, including Star Award for habitat management and wildlife conservation. 40 plastic water bottles.

Hours of Flaring of Hours In all, Koch companies have earned 432 Not all of INVISTA’s environmental ac- 20 local-, state- and national-level awards complishments originate inside a lab or for environmental excellence, safety, production facility. 0 community stewardship, innovation and 2003 2004 2005 2006 2007 2008 2009 2010 In Victoria, Texas, INVISTA worked with customer service since January 2009. program in 2006 that enabled us to reuse the community to successfully convert That does not, however, take the discharged water,” Razook said. about 50 acres of undeveloped grassland pressure off when it comes to environ- into a thriving wetland. In addition, the Minnesota Pollution Con- mental performance. trol Agency has honored the refinery as an That environment now supports more than “We always take any environmental issues outstanding wastewater treatment operator 100 bird species and animals ranging from seriously,” says Jim Mahoney. “Whenever four of the past five years. deer to dragonflies. The wetlands also and wherever they arise, we are commited help clarify and “polish” water naturally. Wetlands and water bottles to dealing with them responsibly.” INVISTA’s award-winning Wetlands According to Dave Robertson, president INVISTA, which became a Koch com- Education Center in Victoria gives and COO of Koch Industries: “We are pany in 2004, makes dozens of helpful fourth- through twelfth-grade students a not only commited to achieving environ- products, including some of the world’s chance to identify species, look at pollen mental excellence, we want to continually most popular carpet and textile fibers. under a microscope and identify adapta- improve and advance our performance.” tions to this habitat. www.kochehs.com 5 2011 EH&S awards Every year, Koch Industries’ senior man- Hurricane Ike in 2008, the adipic acid agement evaluates the best environmen- recovery team began planning how to tal, health and safety performances submit- safely repair and restart its badly damaged Noteworthy ted by all Koch companies for review. intermediates plant in Orange, Texas. The best of the best receive EH&S As a result of their careful planning and ex- awards presented by Charles Koch, KII’s ecution, the plant was successfully brought back online without any How long does it take to explain the impor- reportable releases or tance of economic freedom? Less than two injuries to employees or and a half minutes. contractors. That’s the length of a new video produced by Georgia-Pacific’s wood the Charles Koch Foundation that examines and fiber procurement why some societies thrive and others do not. team won for its work The fundamentals of economic freedom are in developing a policy property rights protected by an impartial and statement promot- rule of law, free trade, sound money and a ing forest protection and relatively small government. sustainable practices. Those living in nations with economic GP’s Palatka, Fla., site freedom have incomes that are eight times received an award for higher than those that are least-free. Those Members of GP’s wood and fiber procurement team received an EH&S award June 21 successfully addressing that are poorest earn 10 times more. in Wichita. Shown (l-r) are: Dave Robertson (KII), Keith Reitter (GP), Bobby Maddrey community concerns What’s more, those who enjoy economic (GP), Charles Koch (KII), Deborah Baker (GP), Jim Mahoney (KII) and Tom Butz (KII). and advancing efforts to freedom are happier, have better-protected achieve EH&S excellence. civil rights, cleaner environments and lon- chairman and CEO, and Dave Robert- This marks the second year in a row that ger life expectancies (up to 20 years longer). son, KII’s president and COO, at an GP has won two EH&S awards. awards banquet in Wichita. Economic freedom also leads to less corrup- “All of the nominated teams did great tion, lower infant mortality rates, less child This year, three awards were granted – two work,” Robertson said, “and are worthy labor and lower unemployment. to Georgia-Pacific and one to INVISTA. of recognition. In short, economic freedom means more INVISTA’s winning submission was liter- “But these three were clearly outstanding. than just higher incomes. It means a better ally years in the making. They did an exceptional job of exemplify- overall quality of life. Following the devastation caused by ing our vision for EH&S excellence.” If you really care about improving people’s lives, then you should also care about 2020 foresight economic freedom. INVISTA has announced a global initia- Efficient energy use is an absolute -re tive to reduce its overall energy intensity quirement as part of that commitment.” 20 percent by the year 2020. Although the 20 percent goal is aggres- Energy intensity is a measure of the sive, several INVISTA facilities have al- Where would you rather live? amount of energy per unit of product pro- ready proven such reductions are possible. duced. In INVISTA’s case, those products For example, INVISTA’s Gersthofen, include carpet and clothing fibers. Germany, site has reduced energy inten- In making the announcement, Dave Dot- sity by 11 percent since 2007. son, INVISTA’s senior vice president of During that same period, the company’s global operations, emphasized the impor- To join in the discussion about these concepts, Performance and Surface Materials busi- visit www.facebook.com/economicfreedom. tance of this initiative as part of INVISTA’s ness has reduced total fuel energy intensity overall sustainability initiative. at its North American sites by 13 percent. “This is part of our overall effort to use These reductions (which do not count resources more efficiently, which helps toward INVISTA’s 2020 goal) were made “Long-term, widespread prosperity is protect the environment,” Dotson said. possible by several initiatives, such as rais- only possible in free societies.” “It is also another example of how we are ing overall energy awareness, as well as a - Charles Koch

implementing our sustainability vision. variety of technical improvements. True Too 6 Looking Back

A diagram from Fred Koch’s 1922 senior thesis promoting several environmental concepts. Koch’s ranches have won numerous environmental awards. Economics and the environment What does economic freedom have to Continuity that trillions more dollars will be diverted do with environmental excellence? As from the private sector in the future.” Fred Koch also expressed grave concerns Charles Koch, Koch Industries’ chairman about the consequences of misguided Philosophical foundations and CEO, has often pointed out, you government policy. The same is true of can’t have one without the other. In a 1993 speech, Charles Koch paid trib- his sons, Charles and David. ute to the ideas of his father and a fellow “Only in a system of economic freedom In a 1968 magazine interview, Charles Wichita businessman, Claude Lambe. are you going to have good environmen- tal practices,” Koch said. “We have seen Koch noted that federally mandated price “Claude, my father and I shared a philoso- this consistently, around the world and controls, punitive taxes, inflation and phy of limited government, individual throughout history.” increased regulations were stifling innova- liberty and personal responsibility.” tion and wasting resources. History also shows that the These themes were echoed in a March has promoted economic freedom and Ten years later, when long lines at filling firstWall Street Journal editorial this year, environmental excellence for decades. stations dominated headlines, Koch deliv- where Koch noted government over- ered a pointed analysis of the root cause. spending, lack of entitlement reform and Like father, like sons “The ‘shortage’ has not been caused by market-distorting federal programs are Long before environmentalism became natural scarcities or by other operations creating even greater havoc. trendy, KII’s co-founder, Fred Koch, of the market,” Koch said. “It is purely Dozens of U.S. newspapers published a was promoting conservation, energy the creature of government regulation.” subsequent Koch editorial condemning efficiency, recycling and waste reduction. Then as now, Koch opposed government corporate “welfare” (where the govern- Several of these concepts are reflected in mandates, subsidies and protective tariffs, ment picks winners and losers). his senior thesis, submitted June 2, 1922, such as those shortly before he graduated from the for ethanol. “The majority of businessmen prefer power Massachusetts Institute of Technology. “There is every and government-guaranteed profits to any kind Koch reasoned that spent black ash – a reason to suppose by-product typically washed away with that the unregu- of principled consistency.” - Charles Koch, 1978 paper mill effluent – could be dried, lated and unsubsi- mixed with coal and used as fuel. dized free market can finance and sustain One can agree or disagree with Koch’s point of view on economics and the en- Fred calculated this would reduce waste by future energy sources,” Koch said. vironment. But what is undeniable is the 11 tons per day and reduce energy costs, too. Speaking to independent oil and gas pro- remarkable consistency with which Koch Fred Koch went on to promote other ducers in 1990, Koch lamented the bloated Industries, its primary shareholders and environmental practices – such as the re- federal budget that “saps resources that its founder have stood up and spoken out introduction of native grasses and natural could be invested in productive businesses.” in favor of economic freedom, not just in irrigation – at his ranch properties. In words that prefigured today’s heated the U.S., but around the world. That sense of environmental awareness is budget debates, Koch also zeroed in on These are the principles that Koch be- evident across Koch Industries today. entitlement spending. lieves are “essential for getting us back on Since 2009, Koch companies have earned “Even worse, hidden federal liabilities, the path to prosperity,” and for “promot- 432 stewardship awards. such as unfunded federal pensions, mean ing true environmental excellence.” economicfreedom.org 7 David H. Koch Perspective Exec. Vice President - Koch Industries, Chairman and CEO - Koch Chemical Technology Group My brother Charles and I grew up in a John Zink has also developed vapor Reclamation is an area of growing con- family that revered the outdoors. recovery technology that prevents vapors cern for the many municipal water sys- We spent much of our childhood work- from being released into the atmosphere tems that are not only concerned about ing on our ranches – an experience that when tanker trucks are filling up at refin- purity, but about reclaiming and reusing formed the foundation for the conserva- eries or terminals. water more efficiently. tion and stewardship principles adhered Multiply all those emission reductions by From the palace at Versailles to a brew- to in our companies today. the thousands of facilities that have in- ery in Australia, our products help Simply put, we strive to conduct business stalled our technology, and you’ll begin to them do just that. in a way that protects the environment. get an idea of how much we’ve contribut- One of the most energy-efficient waste- ed to global environmental improvements. I am immensely proud of the many envi- water facilities in the world – built for ronmental accomplishments of all Koch A flare for improvement the city of Santa Paula, Calif. – uses KMS companies. Since 2009, we have earned technology capable of treating 4.2 million One of John Zink’s growing product gallons per day while at the same time 432 environmental, safety, community, areas involves flare gas recovery systems. innovation and customer service awards. reducing energy costs compared to the Flares at refineries and chemical plants outdated system it replaced. However, when can be an important “safety valve,” but it comes to KMS polymeric membranes are so ef- they can also create problems, including ficient that they can filter out harmful environmental unwanted emissions, noise and odors. excellence, I am particles as small as one billionth of a John Zink’s flare gas recovery systems especially proud meter. That’s even smaller than the size capture what would have been sent to a of two com- of a virus or bacterium. flare, recompress that product and put it panies in the Because of their effectiveness, global back into plant processing. Koch Chemical demand for Koch Membrane Systems’ Technology This reduces or eliminates undesirable water filtration products is growing. Four Group: John combustion emissions while also reduc- or five years from now, they will probably Zink and Koch ing noise and odors. account for 75 percent of KMS sales. Membrane From a strictly operational standpoint, Home grown Systems. our systems also reduce purchased fuel John Zink and KMS are not the only consumption and extend the life of flare These two contributors to environmental excellence tips, which can be expensive and difficult businesses are focused on helping all within Koch Chemical Technology Group. companies, not only those within Koch, to replace. Koch-Glitsch is working with licensors to reduce air and water pollution. Other Koch companies are some of our of new technology to develop structured In other words, the core of their busi- best customers for these products. packing that can be used for CO2 capture. ness mission is to help everyone achieve Flint Hills Resources, for example, has Koch-Glitsch also manufactures fiber bed environmental excellence. installed John Zink flare gas recovery mist eliminators to reduce the emissions systems at its Pine Bend and Corpus John Zink, LLC of lube oil tank vents. And its random Christi refineries. Our recent installation packing products and trays are vital com- Most of the products made by Tulsa- at FHR’s Port Arthur chemical plant will ponents of pollution control scrubbers. based John Zink are focused on reducing begin operation this summer. or eliminating air emissions. Ours is a technology-driven business. Koch Membrane Systems John Zink burners, for example, are That’s one reason why Koch Chemical designed to lower emissions of NOx Koch Membrane Systems specializes in Technology Group devotes significant re- (nitrogen oxides) and carbon monoxide. products for treating water and waste- sources toward research and development When we purchased John Zink in 1989, a water. It is a global leader in membrane of technologies to protect the environment. low-NOx burner produced emissions of filtration and separation technology. These are the kinds of technologies around 30 parts per million. Today, low- KMS membranes have been installed that are both good for business and help NOx burners produce less than 10 ppm. in more than 15,000 systems around maintain a cleaner, healthier environ- The company’s landfill recovery technol- the world. ment for everyone. ogies help minimize methane emissions As a result, drinking water is cleaner, Substantial information about Koch Industries’ positions and by collecting and converting them into processed foods are safer and billions actions – including the consistent support of free enterprise, an energy source used to heat homes, of gallons of water used for industrial innovation and good environmental stewardship – is available industrial facilities and other institutions. processes can now be reclaimed. at kochviewpoint.com. 8