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Borealis, Infinium in CO2-based polymer deal

  • Market: Emissions, Petrochemicals
  • 20/08/24

Austrian petrochemical company Borealis will manufacture polyolefins at its site in Porvoo, Finland using CO2-based "e-naphtha" produced by US by e-fuels firm Infinium.

Under the agreement, Infinium will ship "commercial" volumes of e-naphtha to Porvoo from its facility in Corpus Christi, Texas. The first shipment departed the US in May.

The e-naphtha is a "sustainable drop-in alternative" to fossil-based naphtha, the firms said. It will be processed in the same way to create polyolefins.

E-naphtha can be produced from CO2 from biogenic sources or from carbon capture at industrial facilities such as oil refineries. The e-naphtha feedstock will be tracked through the polymer production process under an ISCC+ certificate, which Infinium's Corpus Christi facility has received.

"Atmospheric carbon is a strategic element of the Borealis Circular Cascade approach to foster the transition toward greater circularity in plastics and carbon," said Borealis' vice-president of circular economy solutions Mirjam Mayer.

"It allows us to serve the needs of our customers while reducing their carbon footprints."


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20/05/25

New law to limit SM shipping into Canada

New law to limit SM shipping into Canada

Houston, 20 May (Argus) — A new shipping standard for hazardous material in Canada could limit styrene monomer (SM) shipments into the country. Transport Canada's new standard, called Containers for Transport of Dangerous Goods by Rail, went into effect on 1 May. The standard restricts SM transportation to class 117 tank cars, phasing out the previously used class 111 tank cars. Class 117 tank cars have a thicker shell and steel jacket outside the car, which provides thermal protection under the jacket to protect the tank car in the event of a fire. BNSF Railway on 24 April began rejecting any billing for tank cars that are subject to the phase-out in order to keep chemical shipments in compliance, the company said. The number of US SM sellers or distributors with class 117 tank cars is limited, meaning the standard could limit SM shipments into Canada, sources said. That could prove problematic if Shell, an SM producer in Canada, is offline long enough. Last week, [Shell declared a force majeure on SM] (https://direct.argusmedia.com/newsandanalysis/article/2689610) from its unit in Scotford, Alberta, but said they expect the plant to be back online as soon as 23 May. Only one other producer in the US, Ineos Styrolution, is known to have access to class 117 tank cars. This producer has a supply of them from their facility in Sarnia, Ontario, although that facility has been offline since April 2023 and the company plans on permanently closing it by October 2026 . The US also restricts shipping of some hazardous materials to class 117 tank cars, but the US regulation does not yet include SM. The US will restrict SM to class 117 tank cars starting 1 May 2029. By Jake Caldwell Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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STS methanol bunkering debuts in Amsterdam


20/05/25
News
20/05/25

STS methanol bunkering debuts in Amsterdam

Sao Paulo, 20 May (Argus) — The Port of Amsterdam has completed its first ship-to-ship (STS) methanol bunkering operation, marking a key milestone in the port's decarbonisation strategy. The operation involved supplying Van Oord's offshore installation vessel Boreas with 500t of green methanol at the TMA Logistic terminal. The bunkering was carried out by the Chicago, with the fuel supplied by OCI HyFuels, a producer of renewable methanol products such as biomethanol and bio-MTBE. The Boreas is the first newly built offshore installation vessel designed to operate on methanol. Methanol is gaining traction as a viable low-carbon option for ships to use to comply with regulations on greenhouse gas (GHG) emissions. The EU's FuelEU Maritime regulation, which took effect in January this year, mandates a phased reduction in GHG intensity for vessels operating in EU waters — starting with a 2pc cut this year, increasing to 6pc by 2030 and reaching 80pc by 2050, relative to 2020 levels. By Natália Coelho Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Brazil backs R80mn for Amazon reforestation project


20/05/25
News
20/05/25

Brazil backs R80mn for Amazon reforestation project

Sao Paulo, 20 May (Argus) — Brazil's Bndes development bank will finance R80mn ($14.14mn) for Brazilian reforestation startup re.green to recover degraded areas in the Amazon rainforest and the Atlantic forest. The investment will fund re.green's deal with Microsoft , aimed at generating carbon offsets in both biomes, Bndes said. The resources come from the Climate Fund, which is linked to the environment ministry and is managed by Bndes. The project includes areas in Brazil's Restoration Arc initiative, which focuses on recovering degraded territories in the Amazon rainforest's most damaged areas. The Restoration Arc plans to restore 6mn hectares of native flora in the Amazon, as well as recover 1.65bn metric tonnes of CO² from the atmosphere by 2030. But it requires investments of $10bn (R56.5bn), Bndes said. The Climate Fund was created in 2009 with some of its funds coming from oil and natural gas exploration to mitigate and combat climate change. It currently holds around R11bn, according to Bndes. Reforestation is one of Brazil's flagship themes for the UN Cop 30 summit, which it will host in northern Para state in November. By Maria Frazatto Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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GFG puts Australian Mn plant on care and maintenance


20/05/25
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20/05/25

GFG puts Australian Mn plant on care and maintenance

Sydney, 20 May (Argus) — UK-owned steelmaker GFG Alliances has placed its Liberty Bell Bay manganese alloy smelter in Tasmania into care and maintenance over manganese ore supply issues, Tasmanian minister for business, industry and resources Eric Abetz said on 19 May. GFG is committed to the long term success of the Liberty Bell smelter and expects the pause to be temporary, a company spokesperson told Argus on 20 May. The Tasmanian state government is working with GFG and the Australian federal government to address challenges at the plant. It has also asked prime minister Anthony Albanese to support Liberty Bell, state premier Jeremy Rockcliff said on 20 May. Liberty Bell Bay is Australia's only ferroalloy plant and is permitted to produce a combined total of 290,000 t/yr of ferromanganese and silicomanganese. GFG sources Liberty Bell Bay's manganese ore from Australian metal producer South32's Australian Gemco mine and South African sites, which have faced recent production disruptions because of bad weather and maintenance shutdowns. Cyclone Megan flooded and damaged parts of Gemco in March 2024, taking it off line for four months. South32 closed the mine again in January-March 2025 to complete mine dewatering work. South32 also cut manganese production at its South African operations by 10pc on the year in January-March because of scheduled maintenance work and an unplanned shutdown at its Wessels mine. Gemco's manganese production is forecast to reach approximately 5mn t in the 2025-26 financial year ending 30 June, the Northern Territory state government said in a budget announcement. South32 has not released its Gemco production guidance for 2025-26. Liberty Bell Bay's production pause comes after the South Australian state government placed GFG's 1.2mn t/yr Whyalla steelworks into administration in February. The state government later announced plans to transfer control of the Whyalla port from GFG to the steelwork's administrators. Liberty Bell Bay is one of only six facilities in Tasmania covered under Australia's federal safeguard mechanism. It received 8,762 safeguard mechanism credits (SMCs) for the July 2023-June 2024 compliance year as its covered scope 1 emissions of 196,125t of CO2 equivalent (CO2e) were below its baseline of 204,887t of CO2e. Two facilities operated by GFG — the Whyalla steelworks and the Middleback Range iron ore mine — ended the compliance year in an excess emissions situation because they were in administration, according to the Clean Energy Regulator (CER). By Avinash Govind and Juan Weik Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

Phillips 66 vote could change company's course


19/05/25
News
19/05/25

Phillips 66 vote could change company's course

Houston, 19 May (Argus) — Just four of Phillips 66's 14 board members are up for election at its annual meeting this week, but the outcome could shape the future direction of the US refiner and midstream operator. Activist hedge fund Elliott Investment Management has named four of its own candidates for the vote which will come to a conclusion on 21 May, part of its multi-year effort to push the company to sell assets and focus on core businesses. Elliott, which has amassed a $2.5bn stake in Phillips 66, contends that the company has consistently trailed its industry peers and needs to streamline operations, including spinning off or selling its midstream business, selling its stake in Chevron Phillips Chemical (CPChem), and possibly other assets. Phillips 66 has told shareholders that Elliot is pushing "an aggressive short-term agenda" that would cause disruption, slow momentum and jeopardize shareholders' investments. It says the Phillips 66 board and management team are implementing a "transformative strategy" that has delivered results, expanded its NGL business, improved its refining cost structure and continues to position CPChem as the lowest cost producer of ethylene. "We don't act out of fear or short-term trends," Phillips 66 chief executive office Mark Lashier said in a first quarter earnings call last month. "We act on what we believe will create the most long-term value for our shareholders each and every time." Turning up the heat Elliott alleges that Phillips 66 suffers from "continuous poor corporate governance" and "disingenuous shareholder engagement." Elliott said its proposals could push Phillips 66 stock to more than $200 per share. The stock was trading near $124 per share Monday morning. Elliott's campaign has grown more aggressive in the months leading up to this week's shareholder meeting. It includes launching a website dubbed "Streamline 66" with slide shows, podcasts, biographies of its dissident board nominees, press releases and information on how shareholders can vote by mail, phone or online. Elliott nominees include Brian Coffman, former chief executive at Motiva; Sigmund Cornelius, former chief financial officer of ConocoPhillips; Michael Heim, former chief operating officer of Targa Resources; and Stacy Nieuwoudt, former energy analyst at Citadel. Three top shareholder advisory firms are backing the Elliott nominees in the proxy fight. Institutional Shareholder Services (ISS) and Egan-Jones are recommending all four of Elliot's dissident nominees, while Glass Lewis is backing three of the four — and supporting Phillips 66 nominee Nigel Hearne, a 35-year veteran of Chevron, because his experience "is more critical at this juncture". Phillips 66 pushback Phillips 66 has made some adjustments since Elliot started to agitate for change. In February 2024 it appointed former Motiva and Cenovus downstream executive Robert Pease to the board to address Elliott's concerns about a shift in focus from refining to midstream. And this year it agreed to sell off some of its European retail business , and expects about $1.6bn in pre-tax cash proceeds from the sale that it will use toward debt reduction and shareholder returns. But for the other Elliott recommendations to divest from midstream and sell its 50pc share of CPChem, Phillips 66 said the board has evaluated them and "came to the conclusion that neither action is in the best interest of long-term shareholders at this time". In additon to Hearne, Phillips 66's slate for the open board seats includes putting up Pease and current director John Lowe for re-election and nominating Howard Ungerleider, a former Dow president and chief financial officer. Current board members Gary Adams and Denise Ramos will not stand for re-election. Analysts with US bank TD Cowen said they "suspect Elliott could get some or all of its board members elected" and there could be larger board turnover next year if shareholders approve an Elliott proposal to require each director to submit a resignation to the board every year. The most likely outcome of an Elliott win is that the board "more deeply examines a midstream restructuring", TD Cowen said. By Eunice Bridges Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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