LP Oxo Technology licensed to Tianjin Soda Plant

Dow Chemicals and Davy Process Technology have licensed LP Oxo Technology to the Tianjin Soda Plant in China, for a new 2-ethylhexanol (2EH) and butanol plant - used for PVC plasticisers and solvents

Dow Technology Licensing, a business unit of the Dow Chemical Company and its consolidated affiliates, and Davy Process Technology, a Johnson Matthey company, announce that the Tianjin Soda Plant of the Tianjin Bohai Chemical Industry Company has selected LP Oxo Selector 10 Technology for its new facility in the Lingang Industrial Area, Tianjin, in the People's Republic of China.

The LP Oxo technology is cooperatively offered by DPT and Dow Technology Licensing.

The new global scale LP Oxo plant, which will be the largest of its kind in China, is slated to produce 250 KTA of 2-ethylhexanol (2EH) and butanols.

Design and engineering is scheduled to begin in March 2007 and start-up is expected to occur in June of 2009.

The new LP Oxo facility is part of the Tianjin Soda strategic plans to relocate to the new Lingang Industrial Area from its existing site in the Tanggu District of Tianjin, and expand its production capabilities to include petrochemical products.

2EH and butanols are used as plasticisers for PVC, and as solvents for coatings and adhesives, respectively.

Demand for these products is expected to increase by seven percent over the next several years, driven by a robust Chinese economy.

"Davy and Dow have the leading oxo alcohols technology as well as a long history of cooperative projects in China," said Mr Lai Zhenguo, vice president of Tianjin Bohai Chemical Industry and president of Tianjin Soda: "We have great expectations of this project and hope to cooperate in many fields in the future".

At the contract signing ceremony in Tianjin on January 30th, David Tomlinson, president of DPT said "This will be the largest LP Oxo alcohols plant to be built in China, and it is particularly prestigious given its location within a completely new complex.

We licensed our oxo alcohol technology in China first in 1978, and Tianjin Soda will be the fourth Chinese company to operate this technology, as well as the twenty-second licensee worldwide.

We are very pleased to welcome Tianjin Soda into the oxo alcohols family".

Joseph Bromley, global business director for LP Oxo Alcohols at Dow commented: "For nearly a century, the Tianjin Soda Plant has upheld a solid reputation for high quality and service in the chemical industry.

So when they decided to expand into the petrochemical area, they went through a very stringent evaluation process before choosing a preferred oxo process technology.

We are honored that Tianjin Soda Plant has chosen LP Oxo Technology, which enables the licensed plant to enjoy low feedstock and energy requirements as well as low environmental impact.

We are also pleased to contribute to sustainable development of China".

LP Oxo Technology is a low-pressure hydroformylation process that uses propylene and synthesis gas (a mixture of hydrogen and carbon monoxide) to produce normal and iso-butyraldehydes.

These butyraldehydes are then converted into 2-ethylhexanol (2EH) and normal and iso-butanol.

For more than 30 years, DPT and UCC have co-marketed and delivered LP Oxo Technology licenses and services.

To date, 31 projects have been implemented in 15 countries, on four continents.

LP Oxo Technology is recognized as the world's leading licensed oxo technology, contributing to more than 85 percent of the world's licensed propylene based oxo capacity.

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