Midland, MI - October 24, 2005
The Dow Chemical Company and BASF report that their cooperative efforts to commercialize the jointly-developed HPPO (hydrogen peroxide route to propylene oxide) technology are progressing as anticipated. Construction of the first world-scale plant utilizing the new technology is on-track to begin in 2006, with startup expected in 2008. The future plant will have an annual capacity of 300 kilotons (KT) and will be located at BASF's site near Antwerp, Belgium.
"The major benefits of the HPPO process include reduced capital investment and improved operating costs," said Earl Shipp, global business vice president, Dow Oxides & Glycols. "The new process requires less equipment, uses a smaller footprint, and produces no significant co-products."
With the completion of the joint development efforts, the HPPO technology is now available to both parties for joint or individual future investment opportunities.
"Development of additional projects using the HPPO technology, particularly in Asia, is a priority for Dow and we are studying the feasibility of various options and potential Asian locations for future PO investment," said Shipp. "Future joint efforts with BASF are under consideration."
Dow also indicated that it is studying its options for a world-scale addition of propylene glycols (PG) capacity in Europe for 2007. A decision based on the outcome of this study is expected to be available in 2006.
"The market continues to experience healthy demand growth for PG and we have several options that can be implemented quickly as needed," Shipp stated.
Dow is a leader in science and technology, providing innovative chemical, plastic and agricultural products and services to many essential consumer markets. With annual sales of $40 billion, Dow serves customers in 175 countries and a wide range of markets that are vital to human progress: food, transportation, health and medicine, personal and home care, and building and construction, among others. Committed to the principles of sustainable development, Dow and its 43,000 employees seek to balance economic, environmental and social responsibilities. References to "Dow" or the "Company" mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted.
For Editorial Information:
Amy Ahlich
The Dow Chemical Company
(989) 636-3587
Josiah McClellan
Gibbs & Soell, Inc.
(212) 697-2600
