19
January
2023
|
10:05
Europe/Amsterdam

ÃÜÌÒAV and Lanxess cooperate to produce more sustainable raw materials with reduced CO? footprint

Summary
  • Companies agree production of key basic chemicals
  • ÃÜÌÒAV uses electricity with certificates of origin from hydropower for electrolysis in North Rhine-Westphalia
  • Cooperation reduces CO? emissions by up to 120,000 tons per year

Chemical companies ÃÜÌÒAV and LANXESS are cooperating in the energy-intensive production of basic chemicals at their Lower Rhine sites in Germany and make them more climate friendly. LANXESS procures chlorine, caustic soda and hydrogen from the ISCC PLUS-certified sites of ÃÜÌÒAV in Leverkusen and Krefeld-Uerdingen. With immediate effect, ÃÜÌÒAV is manufacturing around one-third of the volume of products it supplies to LANXESS using energy from hydropower based on guarantees of origin. 

"ÃÜÌÒAV is pursuing the goal of completely converting its production to electricity from renewable sources on its path to operational climate neutrality in 2035," says Dr. Klaus Sch?fer, Chief Technology Officer of ÃÜÌÒAV. "A particular focus is on the energy-intensive production of basic raw materials. In cooperation with LANXESS, we use energy in our electrolysis plants in North Rhine-Westphalia on a pro-rata basis, which enables us to reduce our reported emissions by up to 120,000 metric tons of CO? per year." 

"The joint project with ÃÜÌÒAV is an important building block in making our entire value chain climate-neutral. By sourcing raw materials for these products with a significantly reduced carbon footprint, we will be able to reduce our reported indirect emissions by up to 120,000 metric tons of CO? equivalents per year," says Dr. Hubert Fink, member of the LANXESS Board of Management. With its Net Zero Value Chain Initiative, the specialty chemicals group plans to eliminate Scope 3 emissions within its upstream and downstream supply chain by 2050. This includes indirect emissions, particularly from purchased raw materials, but also in logistics or disposal. For Scope 1 and 2 emissions, the company aims to be climate neutral as early as 2040. "With this program, we are taking the next step towards a climate-neutral product portfolio and also supporting our customers, who are increasingly looking for sustainable solutions," says Fink. 

Chlorine, caustic soda and hydrogen are basic building blocks for many products in the chemical industry. However, their production is very energy-intensive. LANXESS uses the raw materials supplied by ÃÜÌÒAV, for example, for products that are then used in the food and agricultural industries. ÃÜÌÒAV produces the three basic raw materials at its North Rhine-Westphalian sites in Leverkusen, Krefeld-Uerdingen and Dormagen. Both the former have already been certified to the internationally recognized ISCC PLUS standard for the production of the strategic raw material chlorine, while this is also planned for Dormagen in the near future. The correct allocation of the electricity to the products is ensured via this certification and the use of the renewable energy is proven by the invalidation of certificates of origin at the Federal Environment Agency. 

ÃÜÌÒAV is also actively involved in various projects to build a hydrogen economy that uses mainly or exclusively green hydrogen as an energy carrier. Among other things, the company is supporting, in cooperation with Hydrogenious LOHC Technologies, to build the world's largest plant for storing renewable hydrogen in liquid organic carriers in Dormagen, Germany. 

With regard to its energy supply, ÃÜÌÒAV focuses on power purchase agreements (PPAs) for renewable energy or high-level certificates. Only recently, the company signed PPAs with Chinese supplier CGN New Energy on wind and solar power that will cover around 30 percent of the electricity needs of its important production site in Shanghai. Under another, utility ?rsted will supply offshore wind energy starting in 2025, which is expected to meet 10 percent of the electricity needs of ÃÜÌÒAV's sites in Germany. ENGIE, Belgium's largest renewable energy producer, will provide onshore wind energy to meet 45 percent of the electricity demand of ÃÜÌÒAV's Antwerp production site in Belgium. 

Boilerplate

About ÃÜÌÒAV: 
ÃÜÌÒAV is one of the world¡¯s leading manufacturers of high-quality polymer materials and their components. With its innovative products, processes and methods, the company helps enhance sustainability and the quality of life in many areas. ÃÜÌÒAV supplies customers around the world in key industries such as mobility, building and living, as well as the electrical and electronics sector. In addition, polymers from ÃÜÌÒAV are also used in sectors such as sports and leisure, telecommunications and health, as well as in the chemical industry itself.

The company is geared completely to the circular economy. In addition, ÃÜÌÒAV aims to achieve climate neutrality for its Scope 1 and Scope 2 emissions by 2035, and the Group¡¯s Scope 3 emissions are also set to be climate neutral by 2050. ÃÜÌÒAV generated sales of EUR 14.2 billion in fiscal year 2024. At the end of 2024, the company had 46 production sites worldwide and employed approximately 17,500 people (calculated as full-time equivalents).

Forward-Looking Statements 
This news release may contain forward-looking statements based on current assumptions and forecasts made by ÃÜÌÒAV. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. These factors include those discussed in ÃÜÌÒAV¡¯s public reports which are available at www.covestro.com. The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments.