Is renewable succinic acid a commercial reality?

Transcription

1 Is renewable succinic acid a commercial reality? Philipp Walter World Congress on Industrial Biotechnology May 15 th 2014, Philadelphia

2 Content Succinity introduction What makes Commercial Reality? Next steps towards Platform Chemical Conclusions 2

3 Succinity introduction 3

4 Succinity introduction Succinity GmbH a JV of BASF and Corbion Purac JV formed in August 2013 Headquartered in Düsseldorf, Germany Production and marketing of Succinity Biobased Succinic Acid (BBSA) Significantly reduced carbon footprint Renewable feedstock CO 2 fixation Eco friendly downstream process kg CO 2 per kg acid Petro SA Succinity 4

5 What makes Commercial Reality? 5

6 What makes Commercial Reality? Three stages of commercialization Platform Chemical Scale Operational Excellence Competitiveness Demand Production Network Commercial Reality Production Quality Control Commercial Quantities Logistics Registrations Customer Service Technology & Market Introduction Technology Target Market Value Propositions FTO Approval by Target Customers 6

7 What makes Commercial Reality? Succinity has reached commercial reality Completion of technology and market introduction Successful start up of 1 st plant in Montmeló, Spain (10 kt/a) Commercial quantities are available Polymerization grade quality achieved Operational set up established Sales are progressing Investment into 2 nd plant under investigation Production site Montmeló, Spain Commercial quantities of Succinity 7 PBS based on Succinity BBSA

8 Next steps towards Platform Chemical 8

9 Next steps towards Platform Chemical Three stages of commercialization Platform Chemical Scale Operational Excellence Competitiveness Demand Production Network Commercial Reality Production Quality Control Commercial Quantities Logistics Registrations Customer Service Technology & Market Introduction Technology Target Market Value Propositions FTO Approval by Target Customers 9

10 Next steps towards "Platform Chemical" Turn potential into demand 2014 > 7.5 billion Plasticizers (approx. 20%) Adipic acid (approx. 35%) Butanediol (approx. 45%) Bio Polymers (approx. 1 %) Existing SA market < 1% Large potential of > 7.5 billion Main contribution through replacements Adipic acid Butanediol Growth with new applications predicted (e.g. PBS) Existing market is small and fragmented (< 200 mio.) 10 Sources: External market studies, customer information

11 Next steps towards Platform Chemical The challenge is sustainable business development Small drop in market Proof and communication of value of biobased along the value chain Application and market development required for replacement of adipic acid and growth of bio polyesters Plants of incumbent, petrochemical competitors paid off Economy of scale is needed to realize full potential Market development and economy of scale are key 11

12 Next steps towards Platform Chemical Competitiveness Production Cost* Feedstock Flexibility Market Know How Market Access Financial Breath Reliability of Supply Implementation Speed Competitive Position #1 > #2 > #3 > # = = = Succinity Competition Succinity is well positioned for commercial success 12 *Technology benchmark for world scale plants

13 Conclusions 13

14 Conclusions Succinity has reached the stage of commercial reality Commercialization of biobased succinic acid requires endurance, persistence and financial breath Economy of scale is required for achieving stage of platform chemical Succinity is well positioned to address the next stage successfully 14

15 Disclaimer All information given in or in connection with this Document, whether in writing, orally or otherwise, including, without limitation to the establishment of Succinity GmbH, all information about the products, their properties, use and application, the regulatory environment and intellectual property rights, is non binding and without commitment. SUCCINITY EXPRESSLY DISCLAIMS ANY LIABILITY FOR THE SUITABILITY OF ITS PRODUCTS FOR ANY SPECIFIC OR PARTICULAR PURPOSE INTENDED BY THE USER AND FOR THE COMPLIANCE WITH THE RELEVANT LAWS AND REGULATIONS AND INTELLECTUAL PROPERTY RIGHTS OF THIRD PARTIES. Any information about the properties of the products given in or in connection with this document may be incomplete and insufficient to fully evaluate the products and their performance. Any information about the use and application of the products given in or in connection with document are mere suggestions and do not release Succinity customers from their responsibility to test the products as to the suitability for the intended purpose and to ensure the compliance with the relevant laws and regulations and intellectual property rights of third parties. All information given in or in connection with this Document shall be deemed to be confidential and the proprietary know how of Succinity. 15