The Urethane Blog
Everchem Updates
VOLUME XXI
September 14, 2023
Everchem’s exclusive Closers Only Club is reserved for only the highest caliber brass-baller salesmen in the chemical industry. Watch the hype video and be introduced to the top of the league: — read more
March 19, 2021
Recticel expands its Insulation activities with the acquisition of the thermal insulation board business of Gór-Stal
Regulated information, Brussels, 19/03/2021 — 06:57 CET, 19.03.2021
Recticel announces that it has entered into preliminary agreements with the owners of the private Polish company Gór-Stal Sp. z o.o. (“Gór-Stal”) to acquire Gór-Stal’s thermal polyisocyanurate-based (PIR) insulation board business.
The acquisition will be made in cash for an enterprise value of EUR 30 million, of which EUR 27.25 million will be payable at closing and EUR 2.75 million payable in two equal tranches in 2022 and 2023. The transaction is subject to confirmatory due diligence and customary conditions precedent.
In 2015, Gór-Stal started its PIR insulation board business and built a new plant in Bochnia, focused on the production of high-value-added termPIR® thermal insulation boards for the construction sector. In 2020, the Bochnia plant employed 66 people and generated EUR 16.7 million net sales and EUR 2.5 million normalized EBITDA at a capacity utilization rate of about 40%.
The acquisition of the Gór-Stal insulation board business will lead to accelerated expansion into the Central and Eastern European markets, where Recticel was so far not present.
Closing of the transaction is expected to be completed by July 2021.
Olivier Chapelle (CEO) : “The acquisition of the Gór-Stal PIR-based insulation board activities marks an important step in the development of our Insulation business. This acquisition perfectly fits our ambition to further expand in the growing thermal insulation markets of Central and Eastern Europe. It meets three fundamental prerequisites: a state-of-the-art asset, a perfect geographical complementarity, and a focus on high performance PIR insulation solutions. We look forward to welcoming our new and highly skilled colleagues from Gór-Stal.”
March 19, 2021
Repsol’s new PU foam recycling plant will be capable of processing over 2,000 t of waste per year. (Source: Repsol) 18. March 2021
Repsol: Construction of Spain’s first PU foam recycling plant
Repsol announced that it plans to build Spain’s first plant for chemical recycling of polyurethane foam at its Puertollano Industrial Complex. According to the company, the new recycling facility is expected to be completed by the end of 2022 and will entail an investment of approximately EUR 12 million. Once operational, the plant will be capable of processing around 2,000 metric tons of polyurethane foam per year, the equivalent of 380 linear kilometers of mattresses placed side by side. Repsol plans on using this circular economy project to produce circular polyols from recycled polyurethane foam.
The company said that integrating this new recycling plant into the Puertollano petrochemical complex will ensure the quality of this circular product by allowing the maximisation of synergies with the facility’s standard processes. This investment marks yet another step forward in Repsol’s commitment to the transformation of its industrial area. It involves turning production centres into multi-energy hubs capable of generating products with a low, zero, or even negative carbon footprint. Repsol has already announced investments totalling EUR 700 million in decarbonisation and circular economy projects to be carried out through 2025 at the Puertollano Industrial Complex alone. This helps ensure a competitive future for the industrial facility, said the company.
In the words of José Luis Bernal, executive director of Repsol Chemicals: “The polyurethane foam recycling plant represents a chance to create new business models that reflect Repsol’s environmental commitment while also helping our customers meet their sustainability objectives and respond to the growing need to recycle and extend the useful life of our products.”
Repsol said it has adopted the circular economy as a tool for using resources more efficiently, thus, enabling the company to reduce CO2 emissions. In December 2019, Repsol became the first company in its sector to announce it was reorienting its strategy to reach carbon neutrality by 2050. The company’s circular economy strategy dates back to 2016. Today, it includes over 200 initiatives applied throughout the value chain, from obtaining raw materials to marketing of products and services. All industrial complexes are being adapted to use waste from a variety of sources as raw materials in new products, with the aim of using a total of 2 million t of waste by 2030. With this strategy based on new recycling processes, Repsol said it has positioned itself as one of the petrochemical companies with the strongest commitments to sustainability and with one of the most extensive catalogs of circular products, ranging from polyolefins recovered through mechanical recycling processes to polyolefins, styrene, and other chemically recycled products.
March 19, 2021
Repsol’s new PU foam recycling plant will be capable of processing over 2,000 t of waste per year. (Source: Repsol) 18. March 2021
Repsol: Construction of Spain’s first PU foam recycling plant
Repsol announced that it plans to build Spain’s first plant for chemical recycling of polyurethane foam at its Puertollano Industrial Complex. According to the company, the new recycling facility is expected to be completed by the end of 2022 and will entail an investment of approximately EUR 12 million. Once operational, the plant will be capable of processing around 2,000 metric tons of polyurethane foam per year, the equivalent of 380 linear kilometers of mattresses placed side by side. Repsol plans on using this circular economy project to produce circular polyols from recycled polyurethane foam.
The company said that integrating this new recycling plant into the Puertollano petrochemical complex will ensure the quality of this circular product by allowing the maximisation of synergies with the facility’s standard processes. This investment marks yet another step forward in Repsol’s commitment to the transformation of its industrial area. It involves turning production centres into multi-energy hubs capable of generating products with a low, zero, or even negative carbon footprint. Repsol has already announced investments totalling EUR 700 million in decarbonisation and circular economy projects to be carried out through 2025 at the Puertollano Industrial Complex alone. This helps ensure a competitive future for the industrial facility, said the company.
In the words of José Luis Bernal, executive director of Repsol Chemicals: “The polyurethane foam recycling plant represents a chance to create new business models that reflect Repsol’s environmental commitment while also helping our customers meet their sustainability objectives and respond to the growing need to recycle and extend the useful life of our products.”
Repsol said it has adopted the circular economy as a tool for using resources more efficiently, thus, enabling the company to reduce CO2 emissions. In December 2019, Repsol became the first company in its sector to announce it was reorienting its strategy to reach carbon neutrality by 2050. The company’s circular economy strategy dates back to 2016. Today, it includes over 200 initiatives applied throughout the value chain, from obtaining raw materials to marketing of products and services. All industrial complexes are being adapted to use waste from a variety of sources as raw materials in new products, with the aim of using a total of 2 million t of waste by 2030. With this strategy based on new recycling processes, Repsol said it has positioned itself as one of the petrochemical companies with the strongest commitments to sustainability and with one of the most extensive catalogs of circular products, ranging from polyolefins recovered through mechanical recycling processes to polyolefins, styrene, and other chemically recycled products.
March 18, 2021
Freight costs likely to keep rising amid increased demand, driver shortage
Author: Adam Yanelli
2021/03/16
HOUSTON (ICIS)–The trends of rising freight costs and longer lead times for trucks are likely to continue as the trucking industry faces familiar obstacles – plenty of material to be moved and a shortage of drivers to move it.
Bob Costello, chief economist for the American Trucking Associations (ATA), said he expects demand to soar in 2021 due to lean inventories and pent-up demand and a broad economic recovery following the downturn caused by the coronavirus pandemic.
Costello, who made his comments on Tuesday in a webinar put on by the National Association of Chemical Distributors (NACD), said he expects US GDP to grow by almost 5% in the first and fourth quarters, and by around 7% in the second and third quarters driven by the increased rate of vaccinations and the $1.9tr stimulus package.
“This economy can typically grow at 1.9% on average, so we are in for some very strong growth this year, at least in terms of GDP,” Costello said.
Costello also said pent-up demand should boost the economy as household savings has risen by $1.7tr during the pandemic.
DRIVER SHORTAGE
But, Costello said, there is still a driver shortage.
“Everybody is struggling with drivers now, and I think it is going to take a while to work itself out,” he said.
Reasons for the shortage vary, but the traditional causes of demographics and lifestyle have not changed.
Demographically, Costello said only 6% of drivers are female, which greatly reduces the pool of available candidates. From a lifestyle perspective, the job often keeps long-haul truck drivers away from home and their families.
Some drivers are prevented from being employed because of the Drug and Alcohol Clearing House, an online database that gives employers and government agencies real-time access to information about CDL driver drug and alcohol program violations.
Costello said that out of the 48,000 drivers in prohibited status because of at least one violation, about 75% have not even started the process to regain driving privileges.
Costello said the ATA supports the DRIVE-Safe Act, (Developing Responsible Individuals for a Vibrant Economy) a piece of proposed legislation that would lower the interstate commercial driving age to 18, open jobs to a new segment of the workforce while strengthening safety training programs.
INCREASED RATES
Costello touched on rising rates for freight and said the reason is pretty clear.
“When you have a situation where demand outpaces supply, rates go up,” he said.
A market participant told ICIS that freight costs have been rising steadily.
“Freight cost has gone through the roof. What was $3.50/mile per shipment is now $7/mile and I even saw $15/mile and above,” the market participant said. “It is crazy, and that is if you can get trucks.”
Other contributors to higher freight rates are rising fuel prices and higher insurance rates.
“Diesel has increased quite a bit from a host of factors, including production being down,” Costello said.
Costello shared an anecdote from an ATA member who said their liability insurance premiums had risen by 50% year over year.
The driver shortage has also contributed to higher wages for drivers, which are often passed on to the customers.
“As long as demand for drivers outpaces supply, you are going to keep seeing wages go up,” he said.
Focus article by Adam Yanelli
March 18, 2021
Freight costs likely to keep rising amid increased demand, driver shortage
Author: Adam Yanelli
2021/03/16
HOUSTON (ICIS)–The trends of rising freight costs and longer lead times for trucks are likely to continue as the trucking industry faces familiar obstacles – plenty of material to be moved and a shortage of drivers to move it.
Bob Costello, chief economist for the American Trucking Associations (ATA), said he expects demand to soar in 2021 due to lean inventories and pent-up demand and a broad economic recovery following the downturn caused by the coronavirus pandemic.
Costello, who made his comments on Tuesday in a webinar put on by the National Association of Chemical Distributors (NACD), said he expects US GDP to grow by almost 5% in the first and fourth quarters, and by around 7% in the second and third quarters driven by the increased rate of vaccinations and the $1.9tr stimulus package.
“This economy can typically grow at 1.9% on average, so we are in for some very strong growth this year, at least in terms of GDP,” Costello said.
Costello also said pent-up demand should boost the economy as household savings has risen by $1.7tr during the pandemic.
DRIVER SHORTAGE
But, Costello said, there is still a driver shortage.
“Everybody is struggling with drivers now, and I think it is going to take a while to work itself out,” he said.
Reasons for the shortage vary, but the traditional causes of demographics and lifestyle have not changed.
Demographically, Costello said only 6% of drivers are female, which greatly reduces the pool of available candidates. From a lifestyle perspective, the job often keeps long-haul truck drivers away from home and their families.
Some drivers are prevented from being employed because of the Drug and Alcohol Clearing House, an online database that gives employers and government agencies real-time access to information about CDL driver drug and alcohol program violations.
Costello said that out of the 48,000 drivers in prohibited status because of at least one violation, about 75% have not even started the process to regain driving privileges.
Costello said the ATA supports the DRIVE-Safe Act, (Developing Responsible Individuals for a Vibrant Economy) a piece of proposed legislation that would lower the interstate commercial driving age to 18, open jobs to a new segment of the workforce while strengthening safety training programs.
INCREASED RATES
Costello touched on rising rates for freight and said the reason is pretty clear.
“When you have a situation where demand outpaces supply, rates go up,” he said.
A market participant told ICIS that freight costs have been rising steadily.
“Freight cost has gone through the roof. What was $3.50/mile per shipment is now $7/mile and I even saw $15/mile and above,” the market participant said. “It is crazy, and that is if you can get trucks.”
Other contributors to higher freight rates are rising fuel prices and higher insurance rates.
“Diesel has increased quite a bit from a host of factors, including production being down,” Costello said.
Costello shared an anecdote from an ATA member who said their liability insurance premiums had risen by 50% year over year.
The driver shortage has also contributed to higher wages for drivers, which are often passed on to the customers.
“As long as demand for drivers outpaces supply, you are going to keep seeing wages go up,” he said.
Focus article by Adam Yanelli
Everchem Updates Archive 
Sign Up for Email Updates