Ineos/BP Dormagen

Total Page:16

File Type:pdf, Size:1020Kb

Ineos/BP Dormagen Merger control Ineos/BP Dormagen: Illustrating the forward-looking nature of merger control analysis (1) Kamila KLOC-EVISON, Glykeria DEMATAKI and Enrique SEPULVEDA GARCIA; Directorate-General for Competition, unit B-3; Sofia ALVES, Directorate-General for Competition, unit A-2; Claes BENGTSSON, Directorate-General for Competition, Chief Economist Team On 10 August 2006, the European Commission ethylene content of 82% and is a hazardous prod- approved, after an in-depth investigation, the acqui- uct, being highly inflammable and explosive. It is sition of BP’s ethylene oxide and ethylene glycol busi- also toxic and carcinogenic. EO can be used in the ness, situated in Dormagen, Germany (“BP Dor- non-purified state to produce EGs or be further magen”) by Ineos Group Limited (“Ineos”). Ineos is purified. a company active, among others in the manufacture EGs are intermediate chemicals produced mainly of ethylene oxide and ethylene glycols. () by the non-catalytic hydration of EO. EGs account The main part of the competitive assessment in this for 7.5% of total EEA consumption of EO and are case was related to the market of ethylene oxide, only produced by integrated EO producers. where the combined entity would have high mar- An alternative route for processing EO involves its ket shares irrespective of alternative product and further purification: purified EO can then be used geographic market definitions. However, after an for production of various other chemical interme- in-depth market investigation, the transaction was diates. Most of this purified EO is used captively cleared on the basis of the forecast middle-term mar- by the integrated EO producers in downstream ket development that would have significant effect operations to produce EO derivatives, the remain- on the parties’ future position on this market. der is sold to third parties, which compete with EO a. The concentration producers on the various EO derivatives markets. Ineos is a UK limited company active worldwide Ethylene oxide in the production, distribution, sales and market- The Commission has examined ethylene oxide in ing of intermediate and speciality chemicals. On previous cases (2). It identified a separate product 6 December 2006, Ineos acquired Innovene, the market for EO as it is characterised by low sub- former olefins, derivatives and refining business stitutability especially when used as a direct raw of BP (excluding the BP Dormagen Business). material in chemical reactions. The investigation That operation was cleared by the Commission in this case confirmed this product market defini- on 9 December 2005 (Case No COMP/M.4005 tion. — Ineos/Innovene). On 24 January 2006, Ineos notified its intention to acquire control of the BP As only purified EO is sold to third parties, the Dormagen Business, controlled by BP. The BP Dor- competition assessment in this case concentrated magen Business consists solely of a plant located in on the market for purified EO. At a late stage of Köln/Dormagen (Germany). the proceedings, Ineos submitted that the purified EO could be further sub-segmented into high- The only products manufactured and sold by the grade EO (“HG-EO”) or low-grade EO (“LG-EO”) BP Dormagen Business are ethylene oxide (“EO”) depending on the level of impurities (mainly the and ethylene glycols (“EGs or glycols”). Ineos pro- content of aldehydes). However, the market inves- duces a wide range of chemicals including EO and tigation confirmed that it was not necessary to fur- EO-derivatives (including EGs). Consequently, the ther sub-divide relevant product market according only horizontal overlaps relate to EO and EGs. to purity levels of the purified EO as only H-G EO was sold to the third parties. b. The product market The Commission also investigated whether a EO is a colourless gas, which is produced by distinction needs to be made between long term the partial oxidation of the ethylene. EO has an arrangements for supply of EO to customers whose (1) The content of this article does not necessarily reflect the official position of the European Communities. Respon- (2) Case No COMP/M.245 — DEUTSCHE BP / ERDÖL- sibility for the information and views expressed lies enti- CHEMIE, 26 April 200 and Case No COMP / M.4005 — rely with the authors. INEOS/INNOVENE, 9/2/2005. 56 Number 3 — Autumn 2006 Competition Policy Newsletter plants are located on, or adjacent to, the EO sup- submitted that the market is EEA-wide as EO from CONTROL MERGER plier’s site and connected via pipe line (“on-site”) these plants is transported over long distances and supplies to other customers (“off-site”) which (according to Ineos’ data, in some cases more than are served by other means such as truck or rail. The 000 km, although the majority of deliveries are Commission found that there were some differ- within 600 km). However, the great majority of ences in price levels, contract lengths, and quanti- customers and at least half of the competitors con- ties purchased between these two supply methods. sider the geographic market to be regional. Ship- However, the Commission did not have to make ping distances appear to be between 0 km to 800 a decision on this issue, given that the transaction km with the large majority between 0 to 600 km, would not significantly impede effective competi- due to transport costs and the hazardous nature of tion, irrespective of whether on-site and off-site the product. supplies are considered to constitute a single or According to the limitations on transport distance, two separate markets. the Commission identified possible regional mar- Ethylene glycols kets for EO as: (i) United Kingdom and Ireland, (ii) Nordic countries (Norway, Sweden and Finland), Ineos submitted that EGs constitute a separate (iii) Mainland North-West Europe, or “MNWE” product market, in line with a previous Commis- (the Netherlands, Denmark, Belgium, Luxem- sion decision ( ). However, in a subsequent deci- burg, Germany, Austria, Central and Northern 4 sion( ), the Commission had noted that demand- France) , (iv) the Mediterranean basin (Italy, Por- side considerations might make it necessary to dis- tugal, Southern France, and Spain), and (v) Cen- tinguish between the different types of EG. These tral and Eastern Europe. In addition, the Commis- are: mono-ethylene glycol (“MEG”), di-ethylene sion found out that regional price differences and glycol (“DEG”) and tri-ethylene glycol (“TEG”). limited trade flows tend to confirm this geographic MEG accounts for the great majority of the pro- market segmentation. However, it was not neces- duction (about 90%), with the remaining produc- sary to conclude as to the exact geographic mar- tion divided between DEG (about 9%) and TEG ket definition for EO as the Commission found (about %). out that the transaction would not significantly In this case, the majority of market participants impede effective competition on either possible indicated that EGs should be further segmented geographic market (an EEA-wide geographic wide into three markets, for MEG, DEG and TEG, or a MNWE market, the only regional market because they are used in very different applications where both parties were active). and are not substitutable to any extent. However, from the supply-side point of view, MEG, DEG, Ethylene Glycols TEG are invariably manufactured together and Ineos submitted, in line with what has been are always produced in very similar proportions. argued in previous decisions (6), that the relevant The exact market definition was left open as the geographic market for EGs is at least Western transaction would not significantly impede effec- Europe and even global. This is because EGs are tive competition with respect to EGs under any of not hazardous products and, in consequence, they the alternative product market definitions. are easily transportable. Prices are comparable at a global level, and imports into the EEA, mainly c. The geographic market from Middle East and Russia, represent around % of the total EEA consumption. Ethylene oxide The vast majority of the respondents to the market In previous decisions (5) the Commission has con- investigation confirmed that the geographic mar- sidered the geographic dimension of the EO market ket is at least EEA-wide. However, for the purposes was probably Western Europe (defined as the EEA of the decision, the exact market definition was plus Switzerland) although the exact market defi- left open as the transaction would not significantly nition was left open. In this case the relevant pro- impede effective competition in the common mar- duction plants are located in Antwerp (Belgium), ket or a substantial part of it under any alternative Lavera (France) and Dormagen (Germany). Ineos geographic market definitions. (3) Case No COMP/M.245 — DEUTSCHE BP / ERDÖL- CHEMIE, 26April 200 (4) Case No COMP / M.467 — DOW CHEMICALS/PIC/ WHITE SANDS JV, 28 June 2004 (5) Case No COMP/M.245 — DEUTSCHE BP / ERDÖL- (6) Case No COMP/M.245 — DEUTSCHE BP / ERDÖL- CHEMIE, 26April 200 and Case No COMP / M.4005 — CHEMIE, 26/04/200, Case No COMP / M.467 — DOW INEOS/INNOVENE, 9 December 2005. CHEMICALS/PIC/WHITE SANDS JV, 28 June 2004 Number 3 — Autumn 2006 5 Merger control d. The competition assessment First, the Commission assessed whether currently the parties’ competitors have sufficient spare EO Ethylene oxide capacity to supply the merchant market. In this The overall size of the EO market in the EEA, regard, it is the purification capacity that is criti- including production for captive use, is around cal as merchant market sales are only of purified ,000 ktpa (kilo tonnes per annum). The mer- EO. The investigation showed that although the chant market represents around 8% of the total parties’ plants represent an important part of the production or about 560 ktpa, of which about % spare purification capacity, their competitors’ by value is accounted for by on-site customers and spare capacity would be able to constrain the par- 67% by off-site customers.
Recommended publications
  • Ineos Uk Sns Limited
    2019 2019 Environmental Report INEOS UK SNS LIMITED INEOS Oil & Gas UK Document Number. RD – COR – SRT065 – 1 rev CONTROLLED DOCUMENT Title: INEOS Oil and Gas UK 2019 Environmental Report Notes: Revision Record: Operations 1 05-May-20 R O’Sullivan D Scott 05-May-20 Director 0 30-Apr-20 R O’Sullivan P Jones Head of SHEQ P Jones 04-May-20 Date Date Rev. Author Chk’d Name Title Signed Prepared App'd Document Origination Check Document Approval for use by INEOS Oil & Gas UK The master original of this document is held by: SHEQ Department BTP007 Ctrlled Doc R9 Page 1 of 18 INEOS Oil & Gas UK Document Number. RD – COR – SRT065 – 1 rev Contents 1 Introduction 4 2 Scope of Activities 5 2.1 Overview of INEOS 5 2.2 Location of Offshore Activities during 2019 5 2.2.1 Production Operations 7 2.2.2 Other Operations 7 3 EMS Summary 9 3.1 Introduction 9 3.2 Verification 9 3.3 Review 9 4 Environmental Policy 10 4.1 Introduction 10 4.2 HS&E Policy Statement 10 4.3 Objectives and targets for 2019 11 5 Performance Summary 12 5.1 Introduction 12 5.2 2019 Environmental Performance Summary 12 5.2.1 Production Activities 12 5.2.2 Other activities 15 BTP007 Ctrlled Doc R9 Page 2 of 18 INEOS Oil & Gas UK Document Number. RD – COR – SRT065 – 1 rev Glossary BMS Business Management System DSV Dive Support Vessel EMS Environmental Management System HS&EMS Health Safety & Environment Management System HSE Health, Safety and Environment ISO International Standards Organisation NUI Normally unattended installation OCNS Offshore Chemical Notification Scheme OPEP Oil Pollution Emergency Plan OSC Offshore support contractor OSPAR Oslo Paris convention for the protection of the marine environment of the NE Atlantic PLONOR Poses Little or No Risk to the environment PON1 Petroleum Operations Notice 1 PWT Produced water treatment plant ROV Remotely Operated Vehicle SNS Southern North Sea VOC Volatile Organic Compounds BTP007 Ctrlled Doc R9 Page 3 of 18 INEOS Oil & Gas UK Document Number.
    [Show full text]
  • Clusters Results of the EPCA Think Tank Sessions Organized and Sponsored by EPCA
    A Paradigm Shift : Supply Chain Collaboration and Competition in and between Europe’s Chemical Clusters Results of the EPCA Think Tank Sessions organized and sponsored by EPCA With contribution of the INSEAD team, Technology and Operations Management, Fontainebleau, France • Prof. Luk Van Wassenhove • Baptiste Lebreton • Paolo Letizia and the Editorial Committee Luk Van Wassenhove, INSEAD • Frank Andreesen, Bayer • Philip Browitt, Agility Logistics Solutions • Cathy Demeestere, EPCA • Fred du Plessis, European Chemical Site Promotion Platform • Paul Gooch, The Logical Group THE EUROPEAN PETROCHEMICAL ASSOCIATION August 2007 DISCLAIMER : All information contained in the report was collected from the participants and EPCA does not guarantee the accuracy thereof nor can it be held liable in case it is not. Participants have guaranteed that information relating to cases summarised in the report was in the public domain and did not consist in sensitive business information. EPCA did not check the individual compliance with competition rules of cases summarised nor can it be held liable if all or part thereof would violate competition rules. Competition law compliance is the individual responsibility of the individual companies concerned. 2 INDEX Note on Competition Law 6 1. Management Summary 9 2. Introduction 13 2.1 European Chemical Industry – A Major Force under Threat? 13 2.2 Clusters & Competitiveness 14 2.3 The EPCA Study 15 3. Presentation of the ARRR and Tarragona chemical clusters 17 3.1 Definition of chemical clusters 17 3.2 Presentation of the ARRR and Tarragona clusters 20 3.2.1 ARRR Cluster 20 3.2.1.1 Antwerp subcluster 22 3.2.1.2 Rotterdam subcluster 24 3.2.1.3 Rhine Ruhr subcluster 27 3.2.1.4 Rhine Main subcluster 30 3.2.2 Tarragona cluster 30 4.
    [Show full text]
  • Technical Datasheet: Lustran®
    Lustran® 552 INEOS Styrolution - Acrylonitrile Butadiene Styrene Tuesday, September 28, 2021 General Information Product Description Lustran® 552 resin is a medium-gloss, medium-impact extrusion grade of ABS (acrylonitrile butadiene styrene). It provides a good balance between rigidity and impact strength, and has a stiff melt flow suitable for extrusion and thermoforming. FEATURES • Medium gloss • Medium impact strength • Good balance between rigidity and impact strength • UL 94 HB rated APPLICATIONS • Profile extrusions • Sheet substrate coextrusion General Material Status • Commercial: Active • Africa & Middle East • Europe Availability • North America • Asia Pacific • Latin America Features • Medium Gloss • Medium Impact Resistance Uses • Profiles • Sheet Forms • Pellets • Coextrusion • Profile Extrusion Processing Method • Extrusion • Thermoforming ASTM & ISO Properties 1 Physical Nominal Value Unit Test Method Density / Specific Gravity 1.06 ASTM D792 Melt Mass-Flow Rate (MFR) (220°C/10.0 kg) 6.0 g/10 min ASTM D1238 Molding Shrinkage - Flow 4.0E-3 to 6.0E-3 in/in ASTM D955 Mechanical Nominal Value Unit Test Method Tensile Modulus 290000 psi ASTM D638 Tensile Strength (Yield, 73°F) 5200 psi ASTM D638 Flexural Modulus (73°F) 290000 psi ASTM D790 Flexural Strength (5.0% Strain) 86000 psi ASTM D790 Impact Nominal Value Unit Test Method Notched Izod Impact ASTM D256 -22°F 1.9 ft·lb/in 0°F 2.4 ft·lb/in 73°F 4.9 ft·lb/in Instrumented Dart Impact ASTM D3763 Peak Force 264 in·lb Total Energy 384 in·lb Hardness Nominal Value Unit Test Method Rockwell Hardness (R-Scale) 103 ASTM D785 UL and the UL logo are trademarks of UL LLC © 2021.
    [Show full text]
  • Ineos Group Holdings S.A
    ______________________________________________________________________ INEOS GROUP HOLDINGS S.A. 2013 ANNUAL REPORT ______________________________________________________________________ TABLE OF CONTENTS Page Certain Definitions and Presentation of Financial and Other Information ............................................................ ii Forward-Looking Statements .............................................................................................................................. vii Historical and Current Market and Industry Data ............................................................................................... viii Financial Information Included in this Annual Report .......................................................................................... ix Risk Factors ............................................................................................................................................................ 1 Selected Financial Information ............................................................................................................................. 30 Use of Non-GAAP Financial Measures ................................................................................................................ 32 Operating and Financial Review and Prospects .................................................................................................... 33 Business ...............................................................................................................................................................
    [Show full text]
  • Germany's Chemical and Related Process Industry 2011
    Germany’s Chemical and Related Process Industry 2011 A Profile of Selected Investment Sites Industry Brochure DENMARK Germany’s Chemical and Related Process Industry DENMARK Selected Investment Sites Site Name Location Page 1 Bayer Industrial Park Brunsbüttel Brunsbüttel 18 2 ChemCoast Park Brunsbüttel Brunsbüttel 20 3 CoastSite Wilhelmshaven Wilhelmshaven 22 POD LAN 4 Dow ValuePark® Stade Stade 24 5 IndustriePark Lingen Lingen 26 6 Industriepark Walsrode Walsrode-Bomlitz 28 T HE NETHERLANDS 7 Honeywell Specialty Chemicals Seelze Seelze 30 8 Baltic Industrial Park Schwerin Schwerin 32 9 Industrial Park Schwedt Schwedt 34 10 Chemical Site Schwarzheide Schwarzheide 36 11 Industrie- und Gewerbepark Altmark Arneburg 38 12 Agro-Chemie Park Piesteritz Wittenberg-Piesteritz 40 13 ChemiePark Bitterfeld Wolfen Bitterfeld Wolfen 42 14 Dow ValuePark® Schkopau 44 15 Chemical Site Leuna Leuna 46 16 Industriepark Schwarze Pumpe Spremberg 48 17 Marl Chemical Park Marl 50 18 Dorsten-Marl Industrial Park Dorsten/Marl 52 19 Chemical Park RÜTGERS Castrop-Rauxel 54 20 Gelsenkirchen Site Gelsenkirchen 56 BELM GIU 21 Deutsche Gasrußwerke Dortmund 58 22 Chemiepark Bayer Schering Pharma Bergkamen 60 23 CHEMPARK Krefeld-Uerdingen Krefeld-Uerdingen 62 24 Bayer Schering Pharma AG Wuppertal Elberfeld 64 LUXEM- National Borders BOURG CZECH REPUBLIC 25 Industriepark Oberbruch Heinsberg 66 Major Railways 26 CHEMPARK Dormagen Dormagen 68 Major Autobahns 27 CHEMPARK Leverkusen Leverkusen 70 28 Chemical Industrial Park Knapsack Knapsack-Hürth 72 SelectedNavigable Sites
    [Show full text]
  • 2020 SUSTAINABILITY REPORT CONTENTS About This Report This Report Describes Our 2019 Performance and Approach for Our Operations Worldwide
    2020 SUSTAINABILITY REPORT CONTENTS About this report This report describes our 2019 performance and approach for our operations worldwide. A second report covering our 2020 sustainability performance will be published in the second half of 2021. This report is aligned with the Global Reporting Initiative (GRI) framework (Core option) and was prepared with the support of Quantis, a global sustainability consulting group. It focuses on the issues most material to our company and our stakeholders. The data collected provides information for 2019 across all INEOS businesses worldwide. The 2021 report will cover our 2020 data highlight and our roadmaps towards staying ahead of the curve and net zero 2050. Any questions and/or feedback regarding this report should be directed to [email protected]. INEOS | 2020 SUSTAINABILITY REPORT 2 1.0 GENERAL OVERVIEW INEOS | 2020 SUSTAINABILITY REPORT 3 1.1 TACKLING GLOBAL CHALLENGES "INEOS commits to achieving net zero emissions by 2050" Following the Paris Climate As part of this effort, we are also • lighter energy-saving materials Agreement of 2015, most nation investing in new products and for transport and mobility, states have set the goal of achieving technologies to drive the industry • affordable clothing and apparel, a net zero emission economy by to a circular economy in which • construction and transmission 2050, and are adopting regulations materials are re-used to the maximum of water and gases, and legislation to support this. extent, and no products, once used, • electrical insulation, enter the natural environment. In response, INEOS businesses have We have outlined many of the • household and electrical goods.
    [Show full text]
  • INEOS AMERICAS LLC V. the DOW CHEMICAL COMPANY Nos. 09
    09-3854-cv(L), 09-4026-cv(xap) IN THE UNITED STATES COURT OF APPEALS FOR THE SECOND CIRCUIT _______________________________ INEOS AMERICAS LLC AND INEOS OXIDE LIMITED, Plaintiffs-Appellants-Cross-Appellees, v. THE DOW CHEMICAL COMPANY, Defendant-Appellee-Cross-Appellant. _______________________________ ON APPEAL FROM THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK BRIEF OF AMICUS CURIAE FEDERAL TRADE COMMISSION Richard A. Feinstein Willard K. Tom Director General Counsel Marian R. Bruno David C. Shonka Deputy Director Principal Deputy General Counsel John F. Daly Daniel P. Ducore Deputy General Counsel for Litigation Assistant Director Mark S. Hegedus Roberta S. Baruch Attorney Deputy Assistant Director Office of the General Counsel Arthur M. Strong FEDERAL TRADE COMMISSION Attorney 600 Pennsylvania Avenue NW Compliance Division Washington, DC 20580 Bureau of Competition (202) 326-2115 FEDERAL TRADE COMMISSION [email protected] April 6, 2010 TABLE OF CONTENTS PAGE TABLE OF AUTHORITIES ................................................................................... ii INTEREST OF THE FEDERAL TRADE COMMISSION .................................... 1 STATEMENT OF FACTS ...................................................................................... 3 ARGUMENT ........................................................................................................... 8 I. THE COMMISSION SOUGHT THROUGH THE EOA DIVESTITURE TO RESTORE THE COMPETITION LOST BY DOW’S PURCHASE OF UNION CARBIDE ................. 8 II. INJUNCTIVE
    [Show full text]
  • Annual Report 2020
    Annual Report 2020 Inspired to Deliver At Dow, we are driven by our purpose: to deliver a sustainable future for the world through our materials science expertise and collaboration with our partners. That’s why we seek to be the most innovative, customer-centric, inclusive and sustainable materials science company in the world. Together our ambition and purpose propel us forward, inspiring us to seek new and better solutions to transform our world. To be easy, enjoyable and effective in our interactions with our customers. To build a culture in which we value our differences. To embed innovation and sustainability in the way we work. Why? Because we believe that when combined with our science and expertise, the competitive advantage created can be enormous and benefit our customers, our company and our investors, and society as a whole. AMBITION PURPOSE To be the most innovative, To deliver a sustainable customer-centric, future for the world through inclusive and sustainable our materials science materials science expertise and collaboration company in the world with our partners OUR GOAL Value growth and best-in-class performance OUR VALUES Integrity Respect for People Protecting Our Planet 2 2020 Dow Annual Report Financial Highlights In millions, except per share amounts 2020 2019 Net Sales $38,542 $42,951 Pro Forma Net Sales N/A $42,998 Income (Loss) from Continuing Operations, Net of Tax $1,294 ($1,717) Operating EBIT1 $2,715 N/A Pro Forma Operating EBIT1 N/A $4,352 Earnings (Loss) per Common Share from Continuing Operations – Diluted
    [Show full text]
  • The Chemical Industry in Germany
    INDUSTRY OVERVIEW The Chemical Industry in Germany ISSUE 2019/2020 THE CHEMICAL INDUSTRY IN GERMANY Germany – Global Chemical Industry Heavyweight “The investment in Germany is an integral part of our global strategy for our adhesives and sealants. Due to the highly qualified workers and efficient cost structure, on top of Germany’s leading position in the field of automotive expertise, Germany was the clear choice for our new production, European headquarter and R&D activities.” Yoshihiro Nakata Managing Director | Sunstar Engineering Europe GmbH 28% 5.4% of total chemical industry revenue in Europe average chemical revenue growth rate during generated by German companies the 50-year period 1960 to 2010 20% 2/3 reduction in energy between 1990 and 2010 of all processed chemicals manufactured in with 60% output increase over the same period Germany are exported EUR 4.2 bn 1/6 innovation spending by German chemical of chemical patents registered at the European companies in 2017 Patent Office are made by German companies Germany’s chemical industry is number one in Europe. The Many leading international chemical firms choose to locate industry employs a highly trained workforce of some 340 in Germany. They are drawn to Germany because of its excel- thousand people. Businesses and research institutes involved lent research landscape, state-of-the-art logistics, and world- in the sector invest substantially in research and development class infrastructure. activities. This makes the industry a driving force for inno- vation. Germany’s central geographical location at the heart of Europe provides a further decisive advantage, giving access By developing new materials and high-performance chemi- to a market of more than 500 million customers in the cals and plastics, the chemical industry sets the benchmarks European Union.
    [Show full text]
  • Acrylonitrile Safe Storage and Handling Guide Table of Contents
    Acrylonitrile Safe Storage and Handling Guide Table of Contents Introduction 1.0 Physical, chemical and thermodynamic properties 2.0 Storage 3.0 Transfer and transport 4.0 Fire safety 5.0 Occupational safety and health 6.0 Medical response and first aid 7.0 Emergency response and environmental protection 8.0 Section 1: Introduction This booklet was prepared for individuals who handle or • Since pure Acrylonitrile may self-polymerize, causing rapid may come in contact with Acrylonitrile. It is a compilation build-up of pressure and resulting in an explosion hazard, of practical, understandable information designed to guide Innovene adds inhibitor prior to shipment. This additive the reader in responsible handling of Acrylonitrile, and to inhibits self-polymerization, but does not eliminate all answer commonly raised questions about Acrylonitrile possibility of polymerization. safety. Before handling, always consult a current Material • Fires involving Acrylonitrile can release toxic gases such as Safety Data Sheet (MSDS), available from INEOS, for hydrogen cyanide, oxides of nitrogen or carbon monoxide. information on the chemical. For more complete or detailed Its vapors can easily form explosive mixtures in air. Since information, call the following numbers in the U.S.: these vapors are heavier than air, they can also travel along the ground and be ignited by open flames or sparks which Emergency Notification Number 877-856-3682 are some distance from the site of release. Non-Emergency Information Numer 866-363-2454 • The vapors of Acrylonitrile, if inhaled at certain concentra- Information contained in this booklet is not intended to tions, can produce serious acute (short-term) toxicity, replace any legal requirements for Acrylonitrile handling including loss of consciousness or death.
    [Show full text]
  • Large-Scale Optimisation of Production and Logistics in Chemical Plants
    Large-scale optimisation of production and logistics in chemical plants The goal is to develop a site-wide optimisation model to enable an Different departments of Plants Tanks Network Logistics optimal planning of the operation optimisation and planning have to for the complete site. The ammonia interact network serves as a proof of Ammonia Ammonia Barges concept. plant Storage (ships) tanks Utilities Nitric acid Trains plant Information has to Raw Use Case be shared across materials departments and Buffer tanks business units and Acrylonitrile Pipelines they have to be plants Products Models from planning tools of INEOS in Köln meaningfully linked Data-based relations identified by TUDO Generic constraint formulations for discrete decisions Modelling bottleneck Optimisation problem Solving the large scale MILP • Plant models need to be formulated • Constraints from distributed data sources • Efficient solvers required • Time consuming and tedious work • Objective functions of the individual units/plants • Optimal schedule for site-wide operation The plants are equipped Levels of buffers and storages Input-output relations with the modes on, off, The mass streams on the site Minimise the cost for site-wide shutting down, starting up operation • The tank levels and the load • INEOS in Köln on-site • Discrete decisions assignments for the plants planning models • Times depend on the The operating modes of the are plausible • Affine input-output ambient temperature equipment (plants, reactors, relations identified from • Operational
    [Show full text]
  • Growth, Successes and New Horizons
    GROWTH, SUCCESSES AND NEW HORIZONS ANNIVERSARY SPECIAL Chemical major celebrates 20 years and looks to the future Challengers for the America’s Cup 2021 20TH ANNIVERSARY STRATEGY was simple: to find unloved assets, invest in their facilities, lower the cost base and rejuvenate them. The formula was to prove hugely successful - the acquisition of non-core businesses from chemical BUILDING majors including Dow, Dupont, ICI, BP and BASF helping INEOS achieve phenomenal growth. The foundations were laid and momentum was building. A LEGACY The purchase of the acrylics business in 1999 and chloralkali business of ICI in 2001 had now propelled INEOS to the second largest chemicals manufacturer in the UK. It had sales of around £1bn and around 2,500 employees – one of whom was Tom Crotty, now INEOS’s director of public affairs. “I think the fact we were a private company really made a difference,” notes Crotty. “Petrochemicals is a cyclical business and we were always able to take the long view; we’re not beholden to shareholders or analysts looking at our quarterly results. “Early on, we developed a system for managing our businesses that we’ve applied consistently. It’s a simple approach where we integrate new businesses into the group and apply a very straightforward focus on costs.” With more than 20,000 employees spread across 171 sites Each business operated independently and had its own board – a rarity for a in 24 countries, and sales in excess of $60bn, INEOS has large petrochemical producer, he notes. clearly come a long way since its humble beginnings “We have a very decentralised structure that means we don’t carry the overheads that are typical for a company of our size.
    [Show full text]