Reports related to this article:
Project(s): View 5 related projects in PECWeb
Plant(s): View 5 related plants in PECWeb
Released February 26, 2024 | SUGAR LAND
en
Researched by Industrial Info Resources (Sugar Land, Texas)--Executives at BASF SE (Ludwigshafen, Germany) plan to implement a series of cost-saving measures this year, but are upbeat about the company's prospects in the North American market, where it continues to dominate the Chemical Processing Industry and is making headway in the market for battery components. Industrial Info is tracking more than $2.4 billion worth of active and planned projects from BASF across North America, more than 80% of which is attributed to the production of petrochemicals or agricultural chemicals.
Click on the image at right for a graph detailing BASF's active and planned projects across the U.S., by industrial sector.
In a quarterly earnings-related presentation, BASF executives pointed to the company's $780 million expansion of its methylene diphenyl diisocyanate (MDI) plant in Geismar, Louisiana, as a significant step forward in its North American operations. The third and final expansion phase is designed to double the facility's production capacity to about 600,000 metric tons per year, to support the growth of BASF's North American MDI customers. The first two expansions wrapped up at the end of 2020 and in early 2022.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Chemical Processing Project and Plant databases can learn more from a detailed project report and plant profile.
"Our strategy is to produce locally for local markets. We want to be close to our customers, and we focus on innovation-driven growth areas," BASF said in the presentation. "In Geismar, Louisiana, the expansion of our MDI plant is well underway. This enables us to serve the growing demand from our North American customers in industries such as construction, automotive and furniture."
BASF is at work on a series of smaller-scale expansions and upgrades at its chemical-production plants across the U.S., including a $40 million expansion at its specialty chemical plant in Cincinnati, Ohio, which is set to kick off in the third quarter, and $2 million in upgrades at its herbicides plant in Beaumont, Texas, which is set to begin this summer. The projects will bolster BASF's production of alkyl polyglucoside, a surfactant used in a variety of home-cleaning products, and dicamba, which is used to combat weeds. Subscribers can read detailed reports on the specialty chemical and herbicide projects.
"We expect another good year from our agricultural division," said Dirk Elvermann, the chief financial officer of BASF, in a quarterly conference call with analysts. He acknowledged the business was facing near-term challenges, including pricing pressure, higher financing costs and destocking on the distributor level, "but fundamentally, we see also in 2024 demand from the farmers, and this is what ultimately counts."
In the fuels market, BASF is at work on the $15 million rebuild of its pyrolysis gasoline production area at its petrochemical plant in Port Arthur, Texas, after a fire in September. Often called "pygas," pyrolysis gasoline is a highly aromatic by-product of the ethylene production process that can be used as a high-octane gasoline blend stock. The fire, which caused an extractive dissolution tower to collapse, forced the entire petrochemical plant to shut down for more than a week, although no person was injured. The rebuild, which started in October, is set to wrap up in the third quarter. Subscribers can learn more from Industrial Info's project report.
In the rapidly growing global market for battery materials, BASF is proposing to build a cathode active materials (CAM) plant in Becancour, Quebec, which is designed to produce up to 100,000 tons per year of CAM for the electric vehicle (EV) market. BASF hopes to include a base metal refinery and a facility to recycle battery materials in the project. Subscribers can learn more from a detailed project report.
"For the BASF Group, we planned capital expenditures of 19.5 billion (US$21.11 billion) between 2024 and 2027, of which 6.8 billion (US$7.36 billion) is related to our growth projects--the new Verbund site in Zhanjiang, China and the expansion of the battery materials business," Elvermann said in the earnings call. "The total capital expenditures for this current planning period compares with 24.5 billion (US$26.52 billion) for the prior planning period from 2023 to 2026."
Subscribers to Industrial Info's GMI Project and Plant databases can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Subscribers can click here for a full list of reports for active and planned projects across North America from BASF.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
Click on the image at right for a graph detailing BASF's active and planned projects across the U.S., by industrial sector.In a quarterly earnings-related presentation, BASF executives pointed to the company's $780 million expansion of its methylene diphenyl diisocyanate (MDI) plant in Geismar, Louisiana, as a significant step forward in its North American operations. The third and final expansion phase is designed to double the facility's production capacity to about 600,000 metric tons per year, to support the growth of BASF's North American MDI customers. The first two expansions wrapped up at the end of 2020 and in early 2022.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Chemical Processing Project and Plant databases can learn more from a detailed project report and plant profile.
"Our strategy is to produce locally for local markets. We want to be close to our customers, and we focus on innovation-driven growth areas," BASF said in the presentation. "In Geismar, Louisiana, the expansion of our MDI plant is well underway. This enables us to serve the growing demand from our North American customers in industries such as construction, automotive and furniture."
BASF is at work on a series of smaller-scale expansions and upgrades at its chemical-production plants across the U.S., including a $40 million expansion at its specialty chemical plant in Cincinnati, Ohio, which is set to kick off in the third quarter, and $2 million in upgrades at its herbicides plant in Beaumont, Texas, which is set to begin this summer. The projects will bolster BASF's production of alkyl polyglucoside, a surfactant used in a variety of home-cleaning products, and dicamba, which is used to combat weeds. Subscribers can read detailed reports on the specialty chemical and herbicide projects.
"We expect another good year from our agricultural division," said Dirk Elvermann, the chief financial officer of BASF, in a quarterly conference call with analysts. He acknowledged the business was facing near-term challenges, including pricing pressure, higher financing costs and destocking on the distributor level, "but fundamentally, we see also in 2024 demand from the farmers, and this is what ultimately counts."
In the fuels market, BASF is at work on the $15 million rebuild of its pyrolysis gasoline production area at its petrochemical plant in Port Arthur, Texas, after a fire in September. Often called "pygas," pyrolysis gasoline is a highly aromatic by-product of the ethylene production process that can be used as a high-octane gasoline blend stock. The fire, which caused an extractive dissolution tower to collapse, forced the entire petrochemical plant to shut down for more than a week, although no person was injured. The rebuild, which started in October, is set to wrap up in the third quarter. Subscribers can learn more from Industrial Info's project report.
In the rapidly growing global market for battery materials, BASF is proposing to build a cathode active materials (CAM) plant in Becancour, Quebec, which is designed to produce up to 100,000 tons per year of CAM for the electric vehicle (EV) market. BASF hopes to include a base metal refinery and a facility to recycle battery materials in the project. Subscribers can learn more from a detailed project report.
"For the BASF Group, we planned capital expenditures of 19.5 billion (US$21.11 billion) between 2024 and 2027, of which 6.8 billion (US$7.36 billion) is related to our growth projects--the new Verbund site in Zhanjiang, China and the expansion of the battery materials business," Elvermann said in the earnings call. "The total capital expenditures for this current planning period compares with 24.5 billion (US$26.52 billion) for the prior planning period from 2023 to 2026."
Subscribers to Industrial Info's GMI Project and Plant databases can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Subscribers can click here for a full list of reports for active and planned projects across North America from BASF.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
