Hungary: Polyol Project Mol Group Purchases Licences from Thyssenkrupp for Key Strategic Investment
Following the announcement made in July about entering into contracts with Evonik and Thyssenkrupp to produce propylene oxide, Mol Group has now reached an additional agreement with Thyssenkrupp Industrial Solutions (Thailand) that will cover technological steps to convert propylene-oxide into polyether polyols and propylene glycols.
Budapest/Hungary — The contract concerns the purchase of technology licenses, process design packages and front-end engineering design of the production units that convert propylene-oxide into polyether polyols and propylene glycols. Upon completion of the investment the group is expected to become the main polyether polyol and propylene glycol producer in Central Europe.
The purchased Polyol technology is based on modern Jet Reactor design. Front-end Engineering including product testing will be delivered from Thyssenkrupp’s technology and R&D centre for Oleochemicals in Thailand. The contract also contains a pre-agreement for the supply and installation of the Polyether Polyol plant.
By signing this contract, the company has secured all technology licenses and engineering resources for each production unit of the Polyol Project. The contracts previously signed in July concerned the purchase of technology licenses and process design packages for the HPPO (hydrogen peroxide to propylene oxide) technology of propylene oxide production.
In line with its 2030 strategy, the Hungarian Group intends to move further along the petrochemical value chain towards semi-commodity and specialty chemicals products, with the aim of transforming the company into a leading chemical group in Eastern Europe.
Polyether polyols, which serve as feedstock for polyurethane foam, were identified as the main direction in the company’s petrochemical expansion due to their wide applications in the automotive, construction, packaging and furniture industries. Through this key investment the group will become the only integrated polyol producer in the region.
Propylene glycols, which constitute an additional product line in the project scope, are propylene oxide derivatives produced by most of the major forward integrated propylene oxide producers. Propylene glycols have a wide range of applications including the production of unsaturated polyester resins (UPR), personal care and pharmaceutical additives and other industrial applications.