<b>Petrochemical companies formed the “Future Cracking Unit” alliance and signed a research and development agreement</b>

<b>Petrochemical companies formed the "Future Cracking Unit" alliance and signed a research and development agreement</b>

On August 26, six petrochemical companies in Flanders, Belgium, North Rhine-Westphalia, Germany, and the Netherlands (triangular region) announced the formation of an alliance to jointly study How to operate a naphtha or gas-fired steam cracker using renewable electricity instead of fossil fuels. The Cracker of the Future consortium, which includes BASF, Borealis, BP, LyondellBasell, SABIC and Total, aims to produce basic chemicals while drastically reducing carbon emissions. Companies have assessed the feasibility of using renewable energy to produce basic chemicals and have agreed to invest in technology research and development and knowledge sharing.

Basic chemicals including ethylene, propylene, butadiene and xylene are produced using steam cracking units and are mainly used as raw materials for the production of plastics. These plastics are used in lightweight components in vehicles, improving passenger safety and comfort, and reducing fuel consumption and emissions. Plastic packaging is used for food preservation "from field to fork". Overall, polymers make a significant contribution to resource and energy efficiency and have a positive impact on society.

There has been a great demand for polymers. Especially in emerging technologies related to renewable energy, such as wind turbines, solar panels and batteries, polymers play a crucial role. The chemical industry has been at the forefront of these innovations and continues to provide solutions for a more sustainable future.

Steam crackers are a breakthrough in reducing greenhouse gas emissions in the chemical industry. One option currently being considered is to electrically heat the cracking furnace, rather than relying on traditional fossil fuels.

Using electricity generated from renewable sources will significantly reduce cracker greenhouse gas emissions. The main challenge in developing cracker technology using electricity is to ensure that the selected abatement options are technically and economically feasible compared to current implemented to achieve policy objectives. If these challenges can be overcome, the development and implementation of cracker technologies that run on electricity will help the chemical industry maintain sustainable operations while reducing the carbon footprint of products.

After the signing of the agreement, members of the alliance have begun to explore and select technical solutions. If potential technical solutions are identified, the parties will decide whether to implement a joint development project, including various research and development activities, including a demonstrator for proof-of-concept, basic chemicals.

Trilateral Strategy

Developed by the Ministry of Economic Affairs of North Rhine-Westphalia, Flanders and the Netherlands and industry organizations such as the German Chemical Industry Association, the Belgian Chemical Industry Association and the Dutch Chemical Industry Association to promote the sustainable development of the chemical industry " The "trilateral strategy" directly contributed to this cooperation. At the end of 2017, the "trilateral strategy" to "become an engine to promote the construction of a sustainable and competitive chemical industry cluster on a global scale" was submitted to the European Commission. The strategy consists of three major components, namely energy, infrastructure and innovation.

Among them, there are three key success factors for innovation, including technological innovation that enables energy and raw material transformation, digital transformation that enhances competitiveness, and framework conditions that strengthen innovation through cross-border cooperation.

Chemical Industry Cluster

It is reasonable to use the trilateral region of the Netherlands, North Rhine-Westphalia and Flanders as the starting point for the integration of the chemical industry in Europe, since this integrated region will be the largest chemical industry in the world The cluster, with an annual revenue of up to 180 billion euros, provides a total of 350,000 jobs.

The Cracker of the Future consortium, led by the Brightlands Chemelot Campus, will see its six member companies create new value propositions in co-development of sustainable technologies within competition law.

Bert Kip, Chairman and CEO of Trilateral Innovation, Brightlands Chemelot Campus, said: "This is a unique collaboration that aims to reduce the chemical industry's carbon footprint for the benefit of society as a whole. We have been working together to find technological solutions that minimize greenhouse gas emissions from our business operations. We are extremely proud of the first steps we have taken and look forward to future successes.”