Insulation industry news from Global Insulation

US: Carlisle Construction Materials has awarded a contract to Germany-based polymers producer Covestro to supply its 99%-reduced CO₂ bio-circular methylene diphenyl diisocyanate (MDI). Carlisle Construction Materials plans to use the materials in its polyisocyanurate (PIR) insulation boards. Covestro says that it will supply its Mondur CQ 489 product, which will be suitable for use across Carlisle Construction Materials’ Hunter Panels, SynTec, Versico and WeatherBond product ranges. The supplier says that switching to this MDI will save 2.4t of CO₂ emissions per tonne used.

Carlisle Construction Materials president Steve Schwar said "Carlisle Construction Materials has always been at the forefront of developing high-performance construction products that lead the way in sustainability. With our new bio-based rigid foam insulation, we are demonstrating our unwavering commitment to environmental responsibility, while ensuring that our customers have access to the most advanced building materials available. Our partners play a pivotal role in the realisation of our bio-based isolation."

Covestro’s head of performance materials Hermann-Josef Doerholt said "Covestro’s vision to become fully circular requires research and development advancements that directly support the Scope 3 goals of our customers like Carlisle. Covestro has some of the most aggressive sustainability and climate targets in the chemical industry, and the further we progress in developing solutions to achieve them, the more the effects resonate along the supply chain.”

Belgium: Germany-based Covestro has broken ground on the construction of a new Euro300m aniline plant in Antwerp. The plant will supply aniline for methyl diphenyl diisocyanate (MDI) production in the region. Forecasts cited by the chemicals producer posit global annual MDI demand growth of 6% into the medium-term future.

Covestro's chief technology officer Klaus Schafer said “Even in challenging times, we must not lose sight of our goals. With the expansion of our aniline production, we are addressing the further increase in demand from our customers for energy-efficient insulation." He added “By using state-of-the-art technology, we are increasing the energy efficiency of production, and thereby the competitiveness, of the Antwerp site.”

Australia/Germany: Australia-based Fortescue Future Industries (FFI) and Germany-based Covestro plan to start a long-term agreement for the supply of green hydrogen and its derivatives, including ammonia. According to the memorandum of understanding, FFI and Covestro will formalise an agreement under which FFI will supply Covestro with the equivalent of up to 100,000t/yr of hydrogen. The deal will enable Covestro to reduce its greenhouse gas emissions, from using grey hydrogen, by up to 900,000t/yr of CO₂ per year. The deliveries are earmarked for three potential locations – in Asia, North America and Europe - and could commence by 2024.

Green hydrogen is hydrogen made using renewable energy sources. FFI’s ambition is to grow its green hydrogen production to 15Mt/yr of green hydrogen by 2030, accelerating to 50Mt/yr in the following decade.

Covestro uses hydrogen and its derivatives as feedstock in the production of polymers. It produces a wide range of products including those used for thermal insulation in construction.

UAE: Pearl Polyurethane has newly appointed Oliver Bruns, Michael Friede and Wilhelm Lamberts to its board. Chemical Industry Digest News has reported that the new board members’ experience collectively spans various sectors and industries, bringing broad and deep expertise to the polyurethane (PUR) producer’s strategic guidance and oversight as it expands internationally and into new verticals.

Bruns has over 10 years’ PUR industry experience with Germany-based Bayer AG and Covestro, formerly known as Bayer MaterialScience. This included a role as managing director of Bayer’s Czech Republic-based PUR system house for Eastern Europe. Bruns currently also holds a full-time CEO position at Neveon, a leading global integrated foam group that supplies PUR flexible and composite foams for a wide range of applications.

Friede started his career at Bayer AG in 2001 and held various senior executive roles at Bayer MaterialScience and then Covestro, including global head of coatings, adhesives and specialities. He then moved to Netherlands-based AkzoNobel, where he worked as chief commercial officer (CCO) of performance coatings.

Lamberts’ career also spans multiple executive roles at Bayer AG and Covestro, most recently as the former’s strategy project manager and senior vice president, head of elastometers and the latter’s innovation project manager.

Germany: Covestro has signed an agreement with HIG Capital, a private equity company, for the sale of its European Systems Houses business. HIG Capital aims to position the business towards mid-sized customers. Covestro will retain its polyurethane markets in Asia where it will continue to serve its customers. The sale is part of Covestro’s ongoing portfolio optimization process that includes the sale of Covestro’s North American spray polyurethane foam systems home business in 2017.

The systems houses businesses are part of the Covestro’s Polyurethanes segment and sell tailor-made polyurethanes systems. The European Systems Houses business comprises facilities in the Netherlands, Denmark, Spain, Germany and further businesses in Italy. Operations will continue at the current facilities while Covestro will continue to have strong ties with the systems houses business as a key polyurethanes supplier.

The closing of the transaction is expected for the second half of 2019 after the required antitrust clearance. No value for the sale has been disclosed.

US: Germany’s Covestro plans to spend Euro1.5bn on building a new methylene diphenyl diisocyanate (MDI) plant at Baytown in Texas. The new plant will have a production capacity of 0.5Mt/yr and production is expected to start in 2024. The investment at the existing site in Baytown is the largest single investment in the history of the company. It will replace the 90,000t/yr MDI unit at the site.

“Demand for innovative MDI materials will continue to grow for the foreseeable future and likewise promises attractive capacity utilisation rates. We have already announced a significant increase in capital expenditures, now it’s time to put it into action”, said Markus Steilemann, chief executive officer (CEO) of Covestro. He added that the investment would strengthen the company’s ‘leading position’ in polyurethanes.

Covestro is also running a global investment programme in MDI production capacity, including plans to double its MDI production at Brunsbuettel, Germany to 0.4Mt/yr from 0.2Mt/yr by the second half of 2019. Other parts of this initiative include the continuation and expansion of plants in Tarragona in Spain, Caojing in China and Antwerp in Belgium.

Germany/Japan: Covestro and Nanodax have signed an agreement on the development of new polycarbonate composites reinforced with mineral wool. Nanodax has developed a special process for the manufacture of these products that uses mineral wool as reinforcing filler for plastics. It has a small diameter and is more flexible than glass fibres.

“Our development cooperation is targeting diverse application areas for polycarbonates reinforced with mineral wool, and will open up new prospects for both companies. In particular, we are aiming at advantages in surface appearance and material processing. Cost reductions for customers are expected through an optimised injection moulding manufacturing process,” said Michael Schmidt, Head of Business Development for Polycarbonates Asia Pacific at Covestro.

The joint development work will be performed primarily at Covestro’s Polymer Research & Development Center (PRDC) in Shanghai, China.

Covestro, formerly Bayer MaterialScience, is a global supplier of polycarbonates and has expertise in their processing and application. Nanodax is a venture company with a portfolio including heating-style glass wool charging system technology, a special additive on the nano level, incombustible, ultra lightweight glass wool board with very good thermal insulation properties, and sound isolation.