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Working together on a mercury-free VCM catalyst

Working together on a mercury-free VCM catalyst. INC3 . Nairobi . 30 October 2011. Agenda. Jacobs and Johnson Matthey Background History of catalyst development Key features of mercury-free VCM catalyst Current achievements Future milestones Estimated catalyst cost Conclusions.

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Working together on a mercury-free VCM catalyst

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  1. Working together on a mercury-free VCM catalyst INC3 . Nairobi . 30 October 2011

  2. Agenda • Jacobs and Johnson Matthey • Background • History of catalyst development • Key features of mercury-free VCM catalyst • Current achievements • Future milestones • Estimated catalyst cost • Conclusions

  3. Jacobs and Johnson Matthey • Jacobs • Founded in 1947 • Publicly traded company • Leading provider of professional, technical and construction services • Acquired part of Aker Solutions in 2011 • Revenues [2010] of $ 9.9 billion • Johnson Matthey • Founded in 1817 • Publicly traded company • Speciality chemicals company; core skills in catalysis, precious metals • Sales (excluding precious metals) [2010] of £ 2.3 billion

  4. Background • In the acetylene based PVC process, acetylene and hydrogen chloride (HCl) are reacted over mercury based catalysts to form Vinyl Chloride Monomer (VCM) which is polymerised to PVC • The production, use and recycling of mercury catalysts causes significant mercury emissions to the environment • Jacobs and Johnson Matthey have jointly developed a novel mercury-free catalyst for this process • Being tested in a pilot plant at a leading Chinese VCM manufacturer calcium carbide coal acetylene + HCl VCM PVC catalyst: mercury on carbon

  5. History of catalyst development • In 1995, Jacobs developed a mercury-free VCM catalyst and tested it successfully on pilot plant scale • Longer catalyst life (vs mercury catalyst) confirmed • Catalyst was never commercialized because Middle East project was terminated • In 2006, Jacobs and Johnson Matthey started cooperation to further develop and commercialize a mercury-free catalyst • Customized to Chinese process conditions

  6. Key features of mercury-free VCM catalyst • Non toxic and non hazardous for environment • Precious metal on carbon • Can be used with no or minimal changes to existing process • Better performance than mercury catalyst • Longer life time • Less catalyst required

  7. Current achievements • 2006Start catalyst design phase • 2007Start laboratory phase • 2009Achieved laboratory phase targets Catalyst ready for pilot plant • 2010 Cooperation agreement with leading Chinese PVC producer for industrial tests • Status October 2011 • Significant improvement in catalyst performance • Patent applications filed • Started pilot test in VCM plant of Chinese partner • Running since end of June • Excellent performance • Preparations for commercial test in progress • Finished design for new catalyst plant in China • Catalyst cost model well defined

  8. Future milestones • Aim to start commercial test early 2012 • Test deemed successful after 6 months stable operation, meeting performance criteria (mid 2012) • Afterwards, reactor will continue to run on catalyst until end of life time • If commercial test is successful, initial small quantities of catalyst can be available within one year (mid 2013 earliest), for further evaluation • Start building new catalyst plant in China • Development complete delivery model including catalyst loading and unloading, start-up and recycling services Time line visualisation

  9. Estimated catalyst cost • Current mercury catalyst cost • <1% of total PVC production costs* • costs to minimize mercury emissions not included • Estimated mercury-free catalyst costs • <2% of total PVC production costs* Graph • Precious metal can be either purchased or leased • Precious metal recycling included in cost estimates Life cycle visualisation

  10. Conclusions • Novel mercury-free VCM catalyst under development • Non toxic and non hazardous for the environment • Development started in 1995 • Started customization to Chinese process conditions in 2006 • Excellent pilot plant performance at leading Chinese VCM manufacturer • Aim to start commercial test early 2012 • Minimal impact on total PVC production costs expected Our target is to provide an environmentally and economically sustainable mercury-free catalyst to the Chinese PVC manufacturing industry

  11. Contact us For any questions regarding this development program please contact: Bas van Haandel Jacobs The Netherlands phone: +31 71 5827992 email: bas.vanhaandel@jacobs.com Erwin Teirlinck Johnson Matthey United Kingdom phone: +44 1763 253019 email: erwin.teirlinck@matthey.com Pic Pic

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