Dow to Optimize Its Ownership in Kuwaiti Joint Ventures, Expands Relationship with Greater EQUATE on U.S. Gulf Coast
MIDLAND, Mich.- The Dow Chemical Company (NYSE:DOW) today announced it intends to restructure its participation in its group of Kuwaiti Joint Ventures with the objective of optimizing its investment and expanding its relationship with Greater EQUATE on the U.S. Gulf Coast. This announcement aligns with Dow’s prior stated commitments to optimize its investments in certain joint ventures.
The optimization is expected to occur in two phases. Under the first phase, EQUATE would acquire MEGlobal for a total equity consideration of $3.2 billion. The transaction will result in Dow receiving $1.5 billion in pre-tax proceeds. Following completion of this acquisition, which is expected to close by year-end 2015, Dow will retain a 42.5 percent ownership stake in MEGlobal through its ownership of Greater EQUATE. This acquisition is also expected to drive efficiencies and cost savings due to existing synergies between MEGlobal and EQUATE.
In the second phase, Dow and PIC have agreed that Dow will further reduce its overall ownership interest in Greater EQUATE. The target to complete this second phase of the transaction is mid-2016.
In a related move, MEGlobal will build an MEG plant on the U.S. Gulf Coast – enabling MEGlobal and its parent companies to enjoy growth in a highly strategic region of the world and drive significant expansion of MEGlobal’s geographic footprint and capacity. Final location of the asset is contingent upon pending incentives.
“This announcement demonstrates Dow’s commitment to evaluate our joint venture portfolio to unlock value for shareholders and simultaneously expand our relationship with a key strategic partner,” said Andrew N. Liveris, Dow’s chairman and chief executive officer. “This transaction allows Dow to maximize shareholder value, while maintaining our commitment to these industry-leading joint ventures.”
MEGlobal is a world leader in the manufacture and marketing of monoethylene glycol and diethylene glycol (EG), and is headquartered in Dubai, UAE. Established in July 2004, MEGlobal currently markets over 2.5 million metric tons of EG per year globally. EG is used as a raw material in the manufacture of polyester fibers (clothing and other textiles), polyethylene terephthalate (PET) resins, antifreeze formulations and other industrial products. MEGlobal is a joint venture between Dow and Petrochemical Industries Company (PIC) of Kuwait.
Established in 1995, EQUATE is the operator of an integrated world-scale manufacturing facility producing more than 5 million tons annually of high-quality petrochemical products, including polyethylene, ethylene, and EG, that are marketed throughout the Middle East, Asia, Africa and Europe. Formed in 2004, The Kuwait Olefins Company (TKOC) is an international joint venture among Dow, Petrochemical Industries Company (PIC), Boubyan Petrochemical Company (BPC) and Qurain Petrochemical Industries Company (QPIC). EQUATE is the single operator of Greater EQUATE, which includes TKOC, The Kuwait Styrene Company (TKSC), and Kuwait Paraxylene Production Company (KPPC) under one fully integrated operational umbrella at Kuwait’s Shuaiba Industrial Area.
These transactions are subject to negotiation of definitive agreements and satisfaction of certain conditions, including obtaining and maintaining of certain customary regulatory approvals.
About Dow
Dow (NYSE: DOW) combines the power of science and technology to passionately innovate what is essential to human progress. The Company is driving innovations that extract value from the intersection of chemical, physical and biological sciences to help address many of the world’s most challenging problems such as the need for clean water, clean energy generation and conservation, and increasing agricultural productivity. Dow’s integrated, market-driven, industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 180 countries and in high-growth sectors such as packaging, electronics, water, coatings and agriculture. In 2014, Dow had annual sales of more than $58 billion and employed approximately 53,000 people worldwide. The Company’s more than 6,000 product families are manufactured at 201 sites in 35 countries across the globe. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.
Dow Employees Help Indonesia to Develop Sustainable, Community-Driven Solutions while Enhancing Leadership Skills
For the third consecutive year, The Dow Chemical Company (NYSE: DOW) has committed to combining leadership and business development while simultaneously addressing some of the world’s most pressing challenges. From September 26 – October 3, 2015, Dow will send 42 employees from 24 global locations to Surabaya, Indonesia to work with nonprofit organizations and address long-standing challenges in a key growth market for the Company. The program, Leadership in Action (LIA), is being held for the first time in Asia and in one of Dow’s focused growth geographies. The company recently opened its first sales office in Surabaya, the capital of East Java province.
Pairing talent development with global citizenship, LIA offers Dow employees the opportunity to partner with on-the-ground, local organizations in emerging geographies to develop sustainable community-driven solutions. In Indonesia this year, employees will work with three universities and four non-governmental organizations (NGOs) to address challenges related to education, agriculture, water and community development. The Dow employees have been working virtually with their colleagues since April 2015 on various projects, and will travel to Surabaya in September to work side-by-side with their Indonesian counterparts to present their proposals. The Dow teams and their local partners will then work together to reach the most suitable solutions and by the end of October, Dow will present the final solutions.
“Leadership in Action exposes our employees to real-world challenges in emerging economies,” said Johanna Söderström, Dow’s corporate vice president of human resources and aviation. “These projects serve as exceptional development opportunities for our employees, who become visionaries for new business development opportunities while learning first-hand the realities of working in unknown situations that test their leadership, decision-making and problem-solving skills.”
“As part of Dow’s 2025 Sustainability Goals, we have committed to positively impacting the lives of one billion people over the next 10 years,” said Rob Vallentine, Dow’s director of global citizenship and president of The Dow Chemical Company Foundation. “Leadership in Action is helping us accomplish this goal while leaving a lasting impact on both our employees and the strategic communities in which we see growth opportunities. This year in particular, our employees will be collaborating with NGOs, government agencies and civic groups on sustainable development projects, with the ultimate goal of creating sustainable communities.”
Dow’s LIA is a collaboration between Dow Sustainability Corps (DSC), the Company’s skills-based employee engagement program, and the Company’s human resources function. LIA leverages the goals of DSC and human resources to generate solutions to global challenges and exceptional leadership development opportunities.
For additional information and to learn more about Dow’s commitment to sustainability and global citizenship, please visit www.dow.com. This year’s program can be followed online or via Twitter at #DowLeads.
About Dow
Dow (NYSE: DOW) combines the power of science and technology to passionately innovate what is essential to human progress. The Company is driving innovations that extract value from the intersection of chemical, physical and biological sciences to help address many of the world’s most challenging problems such as the need for clean water, clean energy generation and conservation, and increasing agricultural productivity. Dow’s integrated, market-driven, industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 180 countries and in high-growth sectors such as packaging, electronics, water, coatings and agriculture. In 2014, Dow had annual sales of more than $58 billion and employed approximately 53,000 people worldwide. The Company’s more than 6,000 product families are manufactured at 201 sites in 35 countries across the globe. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.
Virgin Islands Water and Power Authority Agrees with EPA and Justice Department to Reduce Air Pollution at Two Power Plants
Under an agreement announced today by the Department of Justice and the Environmental Protection Agency, the Virgin Islands Water and Power Authority (VIWAPA) will come into compliance with the federal Clean Air Act at its Krum Bay facility on St. Thomas and Cruz Bay facility on St. John, U.S. Virgin Islands. The settlement resolves numerous violations of the Clean Air Act, including VIWAPA’s failure to properly operate pollution control equipment to reduce emissions of nitrogen oxides and particulate matter that can cause serious respiratory illness. These pollutants are linked to health problems, including asthma, lung and heart disease. VIWAPA will spend approximately $12.2 million to comply with the agreement’s requirements. VIWAPA will also pay a $1.3 million penalty.
Separate from the settlement, VIWAPA has been in the process of converting several of its oil-fired turbines at the St. Thomas facility to be capable of burning liquefied petroleum gas or liquefied natural gas. The settlement requires that at least 85 percent of the power VIWAPA generates from the converted units be from burning liquefied petroleum gas or liquefied natural gas at the converted units and renewable sources. The agreement will result in a reduction of nitrogen oxide emissions by approximately 1,300 tons per year and particulate matter emissions by approximately 185 tons per year. In addition, the conversion to LPG or LNG will reduce the amount of carbon dioxide, a greenhouse gas, from the St. Thomas facility by approximately 66,000 tons per year and sulfur dioxide by approximately 200 tons per year.
“Today’s settlement marks another milestone in our ongoing efforts to enforce the Clean Air Act and reduce air pollution from power plants,” said Assistant Attorney General John C. Cruden for the Justice Department’s Environment and Natural Resources Division. “This settlement will eliminate thousands of tons of harmful air pollution each year, significantly improving air quality in the Virgin Islands.”
“This settlement will drastically reduce the amount of air pollution in the Virgin Islands and bring the St. Thomas power plant, one of the most significant sources of air pollution in the U.S. Virgin Islands, into compliance with the Clean Air Act,” said Regional Administrator Judith A. Enck for EPA.
Under the Clean Air Act, large industrial facilities that make modifications that increase air pollution emissions must install best available control technology. VIWAPA operates with a permit that requires it to use the best available control technology to control emissions of nitrogen oxides and particulate matter. The complaint, which this settlement resolves, alleged numerous violations, including that VIWAPA had not properly operated nor maintained its water injection pollution control system during various times from October 2005 through December 2013. The complaint also alleged that the St. Thomas facility failed to meet the opacity (smoke) emission limits during normal operations and failed to conduct continuous monitoring to ensure compliance with its limits, and to keep proper records.
Under the agreement, at the St. Thomas facility, VIWAPA will:
Properly operate and maintain the water injection pollution control system;
Properly operate and maintain the continuous monitoring equipment;
Develop and maintain an inventory of spare parts for the St. Thomas facility’s water injection pollution control system and emission monitoring equipment;
Arrange for third-party audits and self-audits to ensure compliance with the water injection pollution control system requirements and emission monitoring requirements;
Install a pollution control device to reduce visible emissions from one unit; and
Install a video camera system to monitor visible emissions from the stacks and conduct visible emission monitoring when visible emissions are observed.
Under the agreement, at the St. John facility, VIWAPA will:
Use cleanerfuel; and
Submit a request to the Virgin Islands government to modify the permit to designate the unit as an emergency unit.
The EPA has worked with VIWAPA over the past several years to address its violations and operations at the St. Thomas facility and the St. John facility. As a result of that work, VIWAPA has already repaired and replaced pollution controls and monitoring equipment at the St. Thomas facility. It replaced its data acquisition system and installed an improved water system, which it now uses in its water injection pollution control system.
For more information on this settlement or to read the proposed consent decree, go to: http://www.justice.gov/enrd/consent-decrees
Oilfield Operator Increases Use of Recycled Produced Water to Nearly 100 Percent with Advanced Filtration
Edina, MN – An oilfield water service provider is helping a Colorado oilfield operator cut water sourcing and hauling costs for hydraulic fracturing by integrating self-cleaning TEQUATIC™ PLUS F-75 Filters into a water treatment plant, more than tripling the use of recycled produced water for its customer to nearly 100 percent.
The service provider, BNN Energy, assessed the ability of bag filters, dissolved air flotation (DAF), and TEQUATIC™ PLUS Filters to remove high, oily total suspended solids (TSS) in produced water prior to recycling. The 100-micron bag filters used in the customer’s existing system, however, required excessive maintenance and filter changes. In addition, only 30 percent of the produced water could be recycled due to microbial growth issues during storage. Continuing to treat the water with bleach was expensive and, consequently, most of the produced water was hauled away. Similarly, the operator determined that DAF was over-engineered for the application, requiring chemicals and continuous, cost-prohibitive monitoring.
TEQUATIC PLUS Filters were ultimately chosen due to their simple and economical operation, and their ability to consistently treat high-solids, oily water with minimal maintenance, filter changes and chemicals. BNN installed five TEQUATIC PLUS Filters into the new water treatment plant in December 2014 and, consequently, was able to recycle nearly 100 percent of produced water – more efficiently than traditional technologies can deliver for this application.
BNN expects to save about two dollars per barrel of water for its customer, ultimately reducing water-related operating costs by about 60 percent.1
Because TEQUATIC PLUS Filters can filter out very fine particles – in this case, down to 20 microns – the recycled water in storage tanks is much less susceptible to microbial growth,” said Rom Ginzburg, global strategic marketing manager for Oilfield Water, Dow Energy & Water Solutions. “Finer filtration also enables higher blend rates of recycled produced water used in additional fracking jobs, which reduces the cost of maintenance, consumables, water sourcing and water treatment. At the same time, it improves operator safety due to less handling and chemical exposure.”
BNN also looked to the operational flexibility of TEQUATIC PLUS filters, including their ability to be easily mounted on mobile platforms and remotely monitored off site. Remote monitoring enables staff to adjust the system to varying frack water conditions via mobile device —another source of convenience and savings. Furthermore, because more water can be recycled and reused than ever before, there are fewer issues related to securing fresh water, a growing concern as water becomes scarcer due to drought and population growth, among other considerations.
“To solve the growing issue of water scarcity, we need to reduce consumption, be more efficient and recycle water wherever possible,” said Larry Ryan, business president for Dow Energy and Water Solutions. “By re-evaluating current water treatment systems and implementing advanced technologies wherever possible, we all play a role in protecting and extending our water resources.”
BNN plans to continue to integrate TEQUATIC PLUS Filters into similar oilfield applications. According to Eric Gopsill, BNN’s director of Water Solutions, “There is no discussion to be had about TEQUATIC PLUS Filters versus bags and DAF, in terms of which is better for this type of application. For us, TEQUATIC PLUS Filters are proving to be generations ahead. It is my solids removal technology, period.”
TEQUATIC PLUS Filters are available as convenient, easy-to-install skids or as individual housings.
About Dow Water & Process Solutions
The global leader in sustainable separation and purification technology, Dow Water & Process Solutions is making real progress in the world. We’re helping to make water safer and more accessible, food taste better, pharmaceuticals more effective and industries more efficient and spearheading the development of sustainable technologies that integrate water and energy requirements. Dow Water & Process Solutions offers a broad portfolio of ion exchange resins, reverse osmosis membranes, ultrafiltration membranes, particle filters and electrodeionization products, with strong positions in a number of major application areas, including industrial and municipal water, industrial processes, pharmaceuticals, power, oil and gas, residential water and waste and water reuse. Follow Dow Water & Process Solutions on Twitter and LinkedIn, and visit our website for more information www.dowwaterandprocess.com
About Dow
Dow (NYSE: DOW) combines the power of science and technology to passionately innovate what is essential to human progress. The Company is driving innovations that extract value from the intersection of chemical, physical and biological sciences to help address many of the world’s most challenging problems such as the need for clean water, clean energy generation and conservation, and increasing agricultural productivity. Dow’s integrated, market-driven, industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 180 countries and in high-growth sectors such as packaging, electronics, water, coatings and agriculture. In 2014, Dow had annual sales of more than $58 billion and employed approximately 53,000 people worldwide. The Company’s more than 6,000 products are manufactured at 201 sites in 35 countries across the globe. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.
About BNN Energy
BNN Energy is a Denver-based company that specializes in water infrastructure and solutions for the oil and gas industry. BNN’s core business is executing reliable, efficient and cost effective water management programs for E&P companies. Its proven approach to water management consistently drives efficiency into client operations, leading to cost savings and environmental benefits. Visit http://www.bnn-energy.com/ for more information.
President Obama Announces our Biggest Step Yet in the Fight Against Global Climate Change
THE UNITED STATES IS LEADING GLOBAL EFFORTS TO ADDRESS THE THREAT OF CLIMATE CHANGE. PRESIDENT OBAMA IS TAKING THE BIGGEST STEP YET TO COMBAT CLIMATE CHANGE BY FINALIZING AMERICA’S CLEAN POWER PLAN, WHICH SETS THE FIRST-EVER CARBON POLLUTION STANDARDS FOR POWER PLANTS.
THE CLEAN POWER PLAN
The Clean Power Plan sets achievable standards to reduce carbon dioxide emissions by 32 percent from 2005 levels by 2030. By setting these goals and enabling states to create tailored plans to meet them, the Plan will:
PROTECT THE HEALTH OF AMERICAN FAMILIES. IN 2030, IT WILL:
Prevent up to 3,600 premature deaths
Prevent 1,700 non-fatal heart attacks
Prevent 90,000 asthma attacks in children
Prevent 300,000 missed workdays and schooldays
BOOST OUR ECONOMY BY:
Leading to 30 percent more renewable energy generation
in 2030
Creating tens of thousands of jobs
Continuing to lower the costs of renewable energy
SAVE THE AVERAGE AMERICAN FAMILY:
Nearly $85 a year on their energy bills in 2030
Save enough energy to power 30 million homes
in 2030
Save consumers $155 billion from 2020-2030
DUE TO CLIMATE CHANGE,
THE WEATHER IS GETTING MORE EXTREME
TEMPERATURES ARE RISING ACROSS THE U.S.
2014 was the hottest year on record globally, and 2015 is on track to break that record. Explore this interactive map from the National Climate Assessment to learn more.
GLOBALLY, THE 10 WARMEST YEARS ON RECORD ALL OCCURRED SINCE 1998.
SOURCE: NOAA
FOR THE CONTIGUOUS 48 STATES, 7 OF THE 10 WARMEST YEARS ON RECORD HAVE OCCURRED SINCE 1998.
SOURCE: NOAA
EXTREME WEATHER COMES AT A COST
CLIMATE AND WEATHER DISASTERS IN 2012 ALONE COST THE AMERICAN ECONOMY MORE THAN $100 BILLION
$30 BILLION U.S. DROUGHT/HEATWAVE ESTIMATED ACROSS THE U.S.
$65 BILLION
SUPERSTORM SANDY ESTIMATED
$11.1 BILLION COMBINED SEVERE WEATHER ESTIMATED FOR INCIDENTS ACROSS THE U.S.
$1 BILLION WESTERN WILDFIRES ESTIMATED
$2.3 BILLION HURRICANE ISAAC ESTIMATED
THERE ARE ALSO PUBLIC HEALTH THREATS ASSOCIATED WITH EXTREME WEATHER
Children, the elderly, and the poor are most vulnerable to a range of climate-related health effects, including those related to heat stress, air pollution, extreme weather events, and diseases carried by food, water, and insects.
“WE CAN CHOOSE TO BELIEVE THAT SUPERSTORM SANDY, AND THE MOST SEVERE DROUGHT IN DECADES, AND THE WORST WILDFIRES SOME STATES HAVE EVER SEEN WERE ALL JUST A FREAK COINCIDENCE. OR WE CAN CHOOSE TO BELIEVE IN THE OVERWHELMING JUDGMENT OF SCIENCE — AND ACT BEFORE IT’S TOO LATE.”
– PRESIDENT OBAMA
DuPont and New Tianlong Industry Co., Ltd. Sign Historic Deal to Bring Cellulosic Ethanol Technology to China
Changchun, Jilin Province, China, – DuPont and Jilin Province New Tianlong Industry Co., Ltd., (NTL) announced a licensing agreement to begin the development of China’s largest cellulosic ethanol manufacturing plant, located in Siping City, Jilin Province, China. The agreement allows NTL to license DuPont’s cellulosic ethanol technology and use DuPont™ Accellerase® enzymes, to produce renewable biofuel from the leftover biomass on Jilin Province’s highly productive corn farms. NTL is working to secure the necessary government approvals and support to implement this agreement.
Officials from DuPont, NTL, Siping City and Lishu County in Jilin Province praised the announcement as a milestone in the global renewable fuel marketplace. Combining NTL’s ethanol production expertise with processing technology, technical support and world-class enzymes supplied by DuPont, NTL will be able to produce cellulosic renewable fuel for the rapidly growing Chinese liquid biofuel market, which is projected to exceed 1.7 billion gallons per year by 2020. “As we bring online the largest and most sophisticated cellulosic facility in the world in the State of Iowa in the United States, we are simultaneously working with leaders who share the same vision of producing the next generation of clean renewable fuels in their region,” said Jan Koninckx, global biofuels leader for DuPont Industrial Biosciences. “We are honored to have found such a strong partner in NTL. The company’s reputation for producing world-class grain ethanol makes it a superior candidate to put DuPont’s advanced technology to work to realize the additional economic and environmental benefits of cellulosic biofuel in China.”
“With its history of scientific innovation, collaboration and commitment to the ethanol industry, DuPont is an ideal partner for New Tianlong in our quest to bring the cleanest renewable fuel on the planet to China,” said SUN Guojing, general manager of NTL. “We look forward to working with DuPont over the coming years as we develop the biomass supply chain, construct a world-class facility, and produce fuel that delivers on the promise of reduced pollution and greenhouse gases. This project will augment our current excellent grade ethanol offerings and business and will make NTL the preeminent biofuel product supplier in China.”
This announcement is particularly important in light of China’s aggressive goals for renewable energy, cutting its reliance on foreign oil and increasing employment opportunities for its large number of rural citizens.
An official signing ceremony took place in Changchun with representatives of both companies in attendance. Also in attendance at the ceremony were Siping City Secretary LIU Xijie and Lishu County Secretary SUN Yanjun. “This project is significant for local economic development and the launch of the clean-energy industry in the region and enjoys the full support from the local government,” said LIU Xijie.
Jilin Province New Tianlong Industry Co., Ltd. (NTL) was founded in 1988 and acquired by Ginsber Beer Group in 2003. NTL is one of the largest corn refinery plants in the northeast of China with the production and sale of potable alcohol, chemical reagent (absolute ethyl alcohol), corn oil (raw material), etc. For additional information about NTL, please visit: http://www.jlsxtl.com/En/aboutus.asp.
DuPont (NYSE: DD) has been bringing world-class science and engineering to the global marketplace in the form of innovative products, materials, and services since 1802. The company believes that by collaborating with customers, governments, NGOs, and thought leaders we can help find solutions to such global challenges as providing enough healthy food for people everywhere, decreasing dependence on fossil fuels, and protecting life and the environment. For additional information about DuPont and its commitment to inclusive innovation, please visit http://www.dupont.com/
Dow Implements Sustainable Agriculture in Brazil as Part of Carbon Mitigation Program for the Rio 2016 Olympic Games
BRASILIA, Brazil – Infográfico em inglês InfographicThe Dow Chemical Company (NYSE: DOW), the “Official Chemistry Company” of the Olympic Games and Official Carbon Partner of the Rio 2016 Organizing Committee today announced that Dow AgroSciences Brazil is working with Brazilian farmers from the state of Mato Grosso to implement more sustainable agricultural practices that will generate climate benefits for the mitigation of Rio 2016’s direct carbon footprint.
The Sustainable Agriculture project is a key element of Dow’s innovative “Sustainable Future” program being implemented across Brazil and Latin America, which utilizes energy-efficient technologies and low-carbon solutions to minimize greenhouse gas (GHG) emissions. Through the Sustainable Agriculture project, Dow, in collaboration with Farmers Edge, a world leader in precision agronomy, and Irriger, a Brazilian group specialized in irrigation management, will provide variable rate technology and expertise to farmers in Mato Grosso, one of Brazil’s main ‘breadbaskets’.
The project is designed to minimize environmental impact and optimize productivity in corn and soybean crops through higher yields, better varieties and more targeted pest control management. Implementation of the precision and variable rate technologies along with seeds and crop protection solutions from Dow is expected to result in lower rates of synthetic fertilizer application, leading to a reduction in emissions of nitrous oxide. Nitrous oxide is a greenhouse gas (GHG) and is produced as fertilizer decomposes. The reduced GHG emissions from this project will be applied towards Dow’s commitment to mitigate 500,000 tons of carbon dioxide equivalents (CO2eq) for the Rio 2016 Games.
“The objective is to help farmers produce more with less, and increase yield through advanced and more sustainable agricultural practices – all while contributing to one of Rio 2016’s most important sustainability goals,” said Welles Pascoal, president of Dow AgroSciences Brazil. “This project is fully aligned with Dow AgroSciences’ mission to put science at work to address the needs of an ever-growing world through innovative technologies for crop protection, seeds and biotechnology.”
Farmers participating in the project have access to services and technologies such as satellite imagery, precision harvest and profit maps, intensive soil sampling and laboratory analysis, weather monitoring, and detailed review of cropping plans and goals with variable rate technology experts. Seeds and crop protection solutions from Dow are also available to help optimize production and increase yields.
The climate benefits of the Sustainable Agriculture project will be realized over the next five years – far beyond the Olympic Games, creating a lasting legacy for farmers participating in the program. As reducing environmental impact continues to be an area of focus for agriculture in Brazil and globally, the Sustainable Agriculture announcement coincides with Dow AgroSciences Brazil’s support and participation in the World Congress on Integrated Crop-Livestock-Forest Systems (WCCLF), taking place in Brasilia, Brazil from July 12-17, 2015. During the conference, Dow AgroSciences Brazil will present case studies and contribute to discussions on this important topic.
Work with farmers started during preparation for the 2015 Brazilian soybean season, and will continue through the end of the 2016 corn harvest. Carbon emissions reductions will be tracked based on productivity increase and reductions in the use of fertilizers and fuel. The climate benefits generated by the Brazilian farms participating in the project will be measured, reviewed and verified by the third party Environmental Resource Management (ERM).
“Agriculture plays a key role in the Brazilian economy and is also one of the largest sources of GHG emissions, therefore the opportunities to implement more sustainable practices are countless,” commented Tânia Braga, head of Sustainability & Legacy for the Rio 2016 Organizing Committee, who spoke at the WCCFF about the Committee’s sustainability plans and goals. “The carbon mitigation program implemented by Dow and its partners is one of the key sustainability legacies of the Rio 2016 Olympic Games. The way we are collectively working to influence the entire value chain will bring great benefits for Brazil long after the Games are over.”
Following the successful execution of a similar “Sustainable Future” program in Sochi for the 2014 Olympic Games, Dow was selected as the Official Carbon Partner of Rio 2016 in September 2014. Dow designed a tailor-made program to address the technology needs for Brazil focused on farming, industrial processes and civil infrastructure to generate climate benefits for the mitigation of the direct carbon footprint of the Rio 2016 Organizing Committee. In addition to Dow’s commitment to mitigate 500,000 tons of CO2eq from the organizing and hosting of the Games, Dow and Rio 2016 will also work to generate an additional 1.5 million tons of CO2eq in climate benefits by 2026, to address other Games-related emissions.
About Dow
Dow (NYSE: DOW) combines the power of science and technology to passionately innovate what is essential to human progress. The Company is driving innovations that extract value from the intersection of chemical, physical and biological sciences to help address many of the world’s most challenging problems such as the need for clean water, clean energy generation and conservation, and increasing agricultural productivity. Dow’s integrated, market-driven, industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 180 countries and in high-growth sectors such as packaging, electronics, water, coatings and agriculture. In 2014, Dow had annual sales of more than $58 billion and employed approximately 53,000 people worldwide. The Company’s more than 6,000 product families are manufactured at 201 sites in 35 countries across the globe. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.
United Airlines is Purchasing a Stake in Fulcrum BioEnergy With a $30 million Investment
Today, we announced an historic agreement for a $30 million equity investment in U.S.-based sustainable biofuel developer Fulcrum BioEnergy, a pioneer in the development and commercialization of converting municipal solid waste into low-cost sustainable aviation biofuel. It is also the single largest investment by a U.S. airline in alternative fuels and sets us apart in the aviation industry in the advancement of aviation biofuels and carbon emissions reductions. In addition to the equity investment, we and Fulcrum have entered into an agreement that contemplates the joint development of up to five projects located near our hubs expected to produce up to 180 million gallons of fuel per year.
“We know developing alternative fuels is an emerging industry that is vital to the future of aviation and this is just one of our initiatives to help make these fuels saleable and scalable,” said Brett Hart, our executive vice president and general counsel. “Investing in alternative fuels is not only good for the environment, it’s a smart move for our company as biofuels have potential to hedge against future oil price volatility and carbon regulations.”
We have also negotiated a long-term supply agreement with Fulcrum and, subject to availability, will have the opportunity to purchase at least 90 million gallons of sustainable aviation fuel a year for a minimum of 10 years at a cost that is competitive with conventional jet fuel. This alternative fuel will be a drop-in fuel that meets all of the airline’s technical requirements and specifications, and will power the aircraft in the same way as conventional jet fuel. Fulcrum expects its first alternative fuels plant to begin commercial operation in 2017.
Fulcrum’s Waste-to-Biofuel Technology
Fulcrum’s technology converts household trash, known as municipal solid waste (MSW), into renewable jet fuel. Fulcrum’s renewable jet fuel is expected to provide a greater than 80 percent reduction in lifecycle carbon emissions when compared to conventional jet fuel. Fulcrum has successfully developed and proven its technology to convert MSW into low-cost, low-carbon transportation fuels in an innovative, clean and efficient thermochemical process. MSW is an attractive biofuel feedstock as it is low cost, has limited volatility and a virtually unlimited supply. United’s agreement with Fulcrum is expected to decrease the airline’s carbon footprint through the use of sustainable aviation biofuel, while also diverting waste from landfills and creating new jobs in those communities where new Fulcrum facilities are sited. Fulcrum’s projects have also received support and participation from the U.S. Air Force and U.S. Navy for the future production of fuel that meets military specifications.
“This partnership underscores United’s efforts to be a leader in alternative fuels as well as our efforts to lead commercial aviation as an environmentally responsible company,” said United’s Managing Director for Environmental Affairs and Sustainability Angela Foster-Rice. “From our carbon offset program, to our fuel saving winglet technology, this investment in Fulcrum represents yet another example of our Eco-Skies commitment to a more sustainable future.”
“United Airlines just demonstrated why they are one of the leaders in commercial aviation,” said E. James Macias, Fulcrum’s President and Chief Executive Officer. “United’s investment and participation in our projects is a tremendous boost to our program. Their support, commitment and backing accelerates our schedule to bring large volumes of competitively-priced, sustainable fuels to United and the rest of the aviation industry.”
Read more at https://hub.united.com/en-us/news/pages/united-airlines-purchases-stake-in-fulcrum.aspx#toB1QSPGyIiAWYlm.99
PPG to Acquire IVC Industrial Coatings to achieve High-quality Products and Industry Expertise
PITTSBURGH, – PPG Industries (NYSE:PPG) announced that it has reached a definitive agreement to acquire IVC Industrial Coatings, Inc., a U.S.-based specialty powder and liquid coatings manufacturer with 2014 sales of more than $100 million. The transaction is expected to close in the third quarter, subject to customary closing conditions. Financial terms were not disclosed.
IVC is a privately owned company founded in 1870 as the Indianapolis Varnish Company. The company, based in Brazil, Indiana, focuses on the development, manufacture and sale of powder and liquid coatings for the general industrial segment. Its industry-leading coatings are used on a wide variety of products such as metal office furniture, material handling and storage products, automotive parts, motorcycles, industrial containers, small appliances and electronics such as printers, servers and audio-visual equipment. IVC employs more than 300 people and operates five plants in the U.S. (two in Brazil, Indiana, and one each in Grand Haven, Michigan; Atlanta, Georgia; and Casa Grande, Arizona), one plant in Guangdong, China, and a small development lab in Manchester, England. The company also has operations in Malaysia through a joint venture.
“Acquiring IVC, which has a large, global distribution footprint, will strengthen our ability to serve a variety of end-use markets and enhance PPG’s supply positions in the U.S. and China,” said Shelley Bausch, PPG vice president, global industrial coatings. “The addition of IVC’s high-quality products and industry expertise will further enhance PPG’s ability to deliver a robust portfolio of industry-leading industrial coatings solutions.”
PPG: BRINGING INNOVATION TO THE SURFACE.™
PPG Industries’ vision is to be the world’s leading coatings company by consistently delivering high-quality, innovative and sustainable solutions that customers trust to protect and beautify their products and surroundings. Through leadership in innovation, sustainability and color, PPG provides added value to customers in construction, consumer products, industrial and transportation markets and aftermarkets to enhance more surfaces in more ways than does any other company. Founded in 1883, PPG has global headquarters in Pittsburgh and operates in more than 70 countries around the world. Reported net sales in 2014 were $15.4 billion. PPG shares are traded on the New York Stock Exchange (symbol:PPG). For more information, visit www.ppg.com and follow @PPGIndustries on Twitter.
– See more at: http://corporate.ppg.com/Media/Newsroom/2015/PPG-to-acquire-IVC-Industrial-Coatings#sthash.nAHScon5.dpuf
Mobilizing $4 Billion in Private-Sector Support for Homegrown Clean Energy Innovation
Ingenuity is one of our country’s greatest assets. America’s entrepreneurs and innovators have a legacy of unleashing their creativity, grit, and imagination to invent, discover, and build solutions that not only contribute to our growing economy, but also solve some of the toughest challenges facing the nation. Investing in homegrown innovation, including the development of new, clean-energy technologies, is a crucial part of the fight against climate change – and is key to keeping America on the leading edge of the world’s transition to a low-carbon economy.
That’s why today, we’re hosting a Clean Energy Investment Summit at the White House, where we’re announcing $4 billion in independent commitments by major foundations, institutional investors, and others to fund innovative solutions to help fight climate change, including technologies with breakthrough potential to reduce carbon pollution.
Taken together, these commitments far surpass the initial $2 billion goal set at the launch of the Administration’s Clean Energy Investment Initiative last February. And we look forward to seeing this initiative continue to build momentum in the months ahead.
In addition, as part of today’s Summit, the Administration is announcing a series of new executive actions to that will further encourage private-sector investment in clean-energy innovation. These include:
Launching a new Clean Energy Impact Investment Center at the U.S. Department of Energy (DOE) to make information about energy and climate programs at DOE and other government agencies accessible and more understandable to the public, including to mission-driven investors;
Facilitating Issuing guidance on impact investments by charitable foundations in clean energy technologies and other potentially mission-aligned sectors; and
Improving financing options from the U.S. Small Business Administration for private investment funds seeking long-term capital.
Thanks to past investments, consumers are already benefiting from breakthrough technologies developed by our nation’s world-class researchers and entrepreneurs. We’ve seen major advances in solar photovoltaics, wind power, advanced batteries, energy-efficient lighting, and fuel cells – and the cost of solar energy systems has plummeted by over 50 percent in the past five years alone.
We must continue investing in these kinds of innovations if we are to maintain our leadership in reducing carbon pollution while also growing the economy.
Today’s announcements will help ensure that even more American-made clean energy technologies can make the leap from an idea, to the laboratory, to the global marketplace. We look forward to continuing to unleash the power and potential of innovations that serve both our economy and our environment, and to the as-yet-unimagined breakthroughs still to come.
DuPont Polymers in New Tankless Water Heaters Help Homeowners Meet New Regulations
WILMINGTON, Del., – Seisco International is introducing the next generation Supercharger tankless water heater unit, which uses DuPont engineering polymers in several components. The units can help homeowners meet National Appliance Energy Conservation Act (NAECA) requirements, which were updated in April.
The new standards, according to Seisco President David Seitz, could drive up the cost and size of tank-type water heaters because efficiency technology will have to be added to tanks that are 55-gallon or larger. “A Seisco Supercharger coupled with a 40-gallon tank matches the performance of a 60 to 80 gallon tank with significantly lower energy use because you heat less water all day,” he said.
The unit, at 15 inches by 7 inches by 6 inches, is small enough to be placed near the use point. “Thousands of gallons of water are wasted each year waiting for hot water to travel through cold pipes,” he said. “Heating at the use point can significantly reduce water waste and save energy.” Click here to read more about the new unit.
The new tankless water heaters feature an internal heating chamber, which is injection molded of DuPont™ Zytel® nylon for high heat resistance, thermal stability and compliance with NSF and UL requirements. DuPont™ Crastin® PBT thermoplastic polyester delivers impact resistance and compliance with UL flammability requirements in a one-piece protective exterior housing.
A microprocessor control manages on/off when flow starts/stops. The water heater’s patented mixing chamber provides a small amount of heated water and the patented “Power-Sharing” technology helps ensure elements heat evenly. These innovations help protect against scalding, scaling and sediment build-up.
The single-chamber Seisco models can be used as a back-up for both new and existing hot water storage tanks in single-family homes. Multifamily water heaters allow building owners to eliminate storage tanks in each unit. More information is available at www.seisco.com.
DuPont Performance Polymers works with customers throughout the world to help improve the performance, sustainability and cost of components used in automotive, aerospace, consumer electronics, health care, medical and other diversified industries. DuPont supports product development efforts with more than 40 manufacturing, development and research centers and technical teams to help ensure ideas can go to market quickly and cost effectively.
Humanitarian Crisis and Disaster Response Robots – William Whittaker from Carnegie Mellon University
U.S.-CERN Agreement Paves Way for New Era of Scientific Discovery
A new agreement between the United States and the European Organization for Nuclear Research (CERN) signed today will pave the way for renewed collaboration in particle physics, promising to yield new insights into fundamental particles and the nature of matter and our universe.
The agreement, signed in a White House ceremony by the U.S. Department of Energy, U.S. National Science Foundation and CERN—the renowned European organization based in Geneva, Switzerland—will enable continued scientific discoveries in particle physics and advanced computing.
“Society and the global research community benefit greatly from productive scientific cooperation across borders,” said John P. Holdren, Director of the White House Office of Science and Technology Policy. “Today’s agreement is a model for the kinds of international scientific collaboration that can enable breakthrough insights and innovations in areas of mutual interest.”
“I am delighted to sign this agreement,” said CERN Director General Rolf Heuer. “It allows us to look forward to a fruitful long term collaboration with the United States, in particular in guiding the Large Hadron Collider to its full potential over many years through a series of planned upgrades. This agreement is also historic since it formalizes CERN’s participation in US-based programs such as prospective future neutrino facilities for the first time.”
The agreement aligns European and American long-term strategies for particle physics, which emphasize close international cooperation. This global relationship has already generated amazing results, through instruments such as the Large Hadron Collider (LHC) at CERN and the Tevatron particle collider at Fermilab. The LHC is best known for facilitating the discovery of the Nobel Prize-winning Higgs boson in 2012, and may reveal more information about this subatomic particle while providing the opportunity to discover other subatomic particles and learn more about the universe’s composition.
“Today’s agreement not only enables U.S. scientists to continue their vital contribution to the important work at CERN, but it also opens the way to CERN’s participation in experiments hosted in the United States,” said Energy Secretary Ernest Moniz. “As we’ve seen, international collaboration between the United States and CERN helps provide a foundation for groundbreaking discoveries that push crucial scientific frontiers and expand our understanding of the universe.”
CERN and the United States have a long history of collaboration: American physicist Isidor Rabi was one of CERN’s founders, and American scientists have been involved in CERN projects since the institution’s creation in the early 1950s. CERN provided equipment for U.S. projects, such as Brookhaven National Lab’s Relativistic Heavy Ion Collider – used for nuclear physics research – and European scientists were critical to the success of U.S.-based particle colliders, like Tevatron.
“CERN is a place for explorers, in the truest sense of the word,” said NSF Director France A. Córdova. “The discoveries enabled by this world-class laboratory – insights into the Standard Model, into the fundamental nature of our universe – have yielded answers to some questions and produced new questions. This agreement renews NSF’s commitment to CERN and sets the stage for future scientific discoveries.”
This agreement will automatically renew every five years unless one of the signatories indicates a need to modify or end the agreement.
Streamlining and Removing Stranded Costs In Advance of Dow Chlorine Products Transaction
The Dow Chemical Company (NYSE: DOW) today announced a series of actions to further streamline the organization and optimize its footprint as a result of the Company’s pending separation of a significant portion of its chlorine value chain.
Dow has shifted its portfolio toward targeted, integrated high-value markets, and as a result the Company is taking additional actions to further enhance its organizational effectiveness – with a focus on driving geographic market engagement coupled with global efficiency – to deliver maximum value from its growth investments.
The actions will further accelerate Dow’s value growth and productivity targets, and will result in a reduction of approximately 1,500 – 1,750 positions, or approximately 3 percent of the global workforce. In parallel, the Company is also announcing additional minor adjustments to its asset footprint to enhance competitiveness.
The Company will take charges totaling approximately $330 million – $380 million in the second quarter of 2015 for asset impairments, severance and other costs related to these measures, which are expected to be completed during the next two years. Once fully implemented, these actions are expected to result in approximately $300 million of annual operating cost savings.
“At our Investor Day last fall, we committed to a new, three-year $1 billion productivity drive. Our productivity efforts continue to center on cost-out actions and doing more with the resources we have in place, all to enable higher earnings,” said Howard Ungerleider, Dow’s chief financial officer. “We executed against each of our financial, operational and strategic objectives again in the first quarter, and today’s announcement illustrates our ongoing commitment to the consistent implementation of our strategy moving forward and proactively addresses any stranded costs from the divestment of Dow Chlorine Products.”
In parallel, minor asset footprint adjustments will be made to select manufacturing facilities. The facilities impacted represent less than one percent of the Company’s net property value and include minor consolidation and shut downs in response to changing market dynamics and to position the relevant businesses for long-term growth.
The Company will involve local stakeholders as defined in each country and in compliance with relevant information and consultation processes.
About Dow
Dow (NYSE: DOW) combines the power of science and technology to passionately innovate what is essential to human progress. The Company is driving innovations that extract value from the intersection of chemical, physical and biological sciences to help address many of the world’s most challenging problems such as the need for clean water, clean energy generation and conservation, and increasing agricultural productivity. Dow’s integrated, market-driven, industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 180 countries and in high-growth sectors such as packaging, electronics, water, coatings and agriculture. In 2014, Dow had annual sales of more than $58 billion and employed approximately 53,000 people worldwide. The Company’s more than 6,000 product families are manufactured at 201 sites in 35 countries across the globe. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.
Dow Advances Portfolio Management Drive with Divestment of AgroFresh
The Dow Chemical Company (NYSE: DOW) announced today that it has signed a definitive agreement under which AgroFresh, its post-harvest specialty chemical business, will be acquired by Boulevard Acquisition Corp. (NASDAQ: BLVD, BLVDU, BLVDW), a public investment vehicle, formed by Avenue Capital Group, for $860 million, or 9.2x EBITDA multiple based on 2014 earnings.
The transaction has been unanimously approved by the boards of directors of both companies, and is expected to close in the third quarter of 2015, subject to approval by Boulevard’s shareholders and other closing conditions, including regulatory filings and local employment law and governance obligations in Europe. An affiliate of Avenue has provided incremental capital commitments and Boulevard expects to take certain steps to help ensure both the successful closing and the future growth of AgroFresh.
“In line with recently announced portfolio moves, this transaction demonstrates Dow’s focus on selectively shifting our portfolio away from businesses that are no longer a strategic fit, allowing Dow to release cash and focus on advancing our strategic growth agenda and remunerating shareholders,” said Howard Ungerleider, Dow’s chief financial officer. “AgroFresh is focused on the post-harvest market segment, which is not aligned to the rest of the Dow AgroSciences’ portfolio. The retention of a minority interest in AgroFresh, however, allows Dow to participate in the growth prospects of the business while unlocking a majority share of value for our shareholders.”
Upon closing, AgroFresh will become a subsidiary of Boulevard, a stand-alone public company in which Dow will retain a non-consolidated minority ownership position. It will be positioned to grow both through its existing innovative processes and through future investments and acquisitions. Thomas Macphee, vice president and corporate director for Dow, who had formerly been responsible for AgroFresh in the Company’s early development, has been named Chief Executive Officer of AgroFresh, pending official closure of the transaction.
AgroFresh is a global industry leader in advanced proprietary technologies for the horticultural and agronomic markets. It offers an innovative portfolio of products and services that enhance the freshness, quality and value of fresh produce. Its flagship product is the SmartFresh℠ Quality System, a freshness protection technology proven to maintain firmness, texture and appearance of fruits during storage and transport. SmartFresh is currently commercialized in 45 countries worldwide.
Dow had previously announced its intent to divest AgroFresh on Oct. 2, 2014. The signing of this transaction represents yet another milestone against the Company’s stated target of $7 billion to $8.5 billion in proceeds from divestitures by mid-2016. Since 2013, the Company has signed or completed transactions that are expected to exceed $12 billion in pre-tax proceeds.
Dow is committed to working with Boulevard to ensure a seamless transition of this business for all stakeholders.
About Dow
Dow (NYSE: DOW) combines the power of science and technology to passionately innovate what is essential to human progress. The Company is driving innovations that extract value from the intersection of chemical, physical and biological sciences to help address many of the world’s most challenging problems such as the need for clean water, clean energy generation and conservation, and increasing agricultural productivity. Dow’s integrated, market-driven, industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 180 countries and in high-growth sectors such as packaging, electronics, water, coatings and agriculture. In 2014, Dow had annual sales of more than $58 billion and employed approximately 53,000 people worldwide. The Company’s more than 6,000 product families are manufactured at 201 sites in 35 countries across the globe. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.
Waste Management Completes Acquisition of Deffenbaugh Disposal, Inc.
HOUSTON– Waste Management, Inc. (NYSE: WM) today announced that it has received all required approvals for and has now closed on the previously announced acquisition of the outstanding stock of Deffenbaugh Disposal, Inc. (“Deffenbaugh”).
“The acquisition of the Deffenbaugh assets aligns perfectly with our stated goal of driving shareholder value by maximizing our focus on our core business,” said David P. Steiner, President and Chief Executive Officer of Waste Management. “It also achieves one other important objective: replacing a portion of the divested 2014 Wheelabrator earnings at an attractive price.”
“These are great assets operated by great people, who care deeply about their customers and their communities and we’re excited to welcome Deffenbaugh’s employees to our Waste Management team,” continued Steiner. “We look forward to a successful integration and continuing Deffenbaugh’s long history of community involvement, strong record of excellent customer service and ultimately expanding our service offerings to our new customers.”
After divesting the operations required by the U.S. Department of Justice, Deffenbaugh generates approximately $176 million of third party revenue and $52 million of operating EBITDA annually.
Deffenbaugh’s assets include five collection operations, seven transfer stations, two recycling facilities, one subtitle-D landfill, and one construction and demolition landfill.
Today’s closing follows the announcement on October 6, 2014 that Waste Management had entered into an agreement to acquire Deffenbaugh Disposal.
ABOUT WASTE MANAGEMENT
Waste Management, based in Houston, Texas, is the leading provider of comprehensive waste management services in North America. Through its subsidiaries, the company provides collection, transfer, recycling and resource recovery, and disposal services. It is also a leading developer, operator and owner of landfill gas-to-energy facilities in the United States. The company’s customers include residential, commercial, industrial, and municipal customers throughout North America. To learn more information about Waste Management, visit www.wm.com or www.thinkgreen.com.
Pulcra Chemicals Joins Roster of SILVADUR™ Antimicrobial Distributors
Dow Microbial Control, a business unit of The Dow Chemical Company (NYSE:DOW) and the manufacturer of SILVADUR™ Antimicrobial, has announced that Pulcra Chemicals has been added to its global distributor network for SILVADUR Antimicrobial. Pulcra Chemicals, headquartered in Geretsried, Germany, is a leading global supplier of innovative specialty chemicals and systems solutions for increasing the productivity of manufacturing processes in the fiber, textile and leather industries. The company has extensive experience working with antimicrobial technology.
“The SILVADUR distributor network is a critical element in bringing our product to market, providing a vital link to our mill customers,” said Karel Williams, global strategic marketing associate director, Dow Microbial Control. “Because they represent our business in the marketplace, our goal is to partner with companies like Pulcra Chemicals, which are recognized for excellence in terms of marketplace knowledge, establishing and maintaining customer relationships over the long term, technical know-how and a strong desire to invest for growth. Pulcra, which shares Dow’s standards, values and objectives for SILVADUR, is a tremendous addition to our network. Equally important, we’re confident that SILVADUR technology will be a key driver of business growth for Pulcra.”
Dow supports its SILVADUR distributor partners in a number of ways. They include technical service, including antimicrobial testing at approved labs around the world, assistance in running in-plant trials, lead referrals and comprehensive sales, regulatory and merchandising support to customers throughout the value chain.
SILVADUR’s patented Intelligent Freshness technology offers reliable odor control in apparel and home textiles at a time when more and more consumers are embracing a healthier, more hygienic lifestyle. When odor-causing bacteria land on the surface of treated fabrics, they are neutralized on contact by SILVADUR’s invisible freshness protection ingredient, so treated articles stay fresher longer. Extensive testing has shown that SILVADUR Antimicrobial has a high degree of efficacy against a wide range of undesirable bacteria, is highly durable over 50 washings and its application process is efficient and cost effective.
About Dow Microbial Control
Dow Microbial Control innovates with science and technology to provide long-term viable and sustainable microbial control. Our comprehensive global offering provides customers with solutions to optimize formulations, including a high performing and technically supported selection of registered actives and products. With world-class people organization-wide and a broad portfolio of microbial control technologies, Dow Microbial Control can help solve most any microbial control problem. From specialty and highly regulated to non-regulated, the company has the experience and the essentials for more sustainable microbial control protection for products and processes. Visit www.DowMicrobialControl.com.
About Dow
Dow (NYSE: DOW) combines the power of science and technology to passionately innovate what is essential to human progress. The Company is driving innovations that extract value from the intersection of chemical, physical and biological sciences to help address many of the world’s most challenging problems such as the need for clean water, clean energy generation and conservation, and increasing agricultural productivity. Dow’s integrated, market-driven, industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 180 countries and in high-growth sectors such as packaging, electronics, water, coatings and agriculture. In 2014, Dow had annual sales of more than $58 billion and employed approximately 53,000 people worldwide. The Company’s more than 6,000 product families are manufactured at 201 sites in 35 countries across the globe. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.
About Pulcra Chemicals
Pulcra Chemicals is a global supplier of innovative specialty chemicals and has profound process and engineering know-how. The company operates production facilities, service centers and sales offices in 14 countries to provide comprehensive service to its customers around the world. More information about Pulcra Chemicals can be found at www.pulcra-chemicals.com.
Dow and Olin Corporation Create an Industry Leader in Chlor-Alkali and Derivatives with Revenues Approaching $7 Billion
MIDLAND, Mich. & CLAYTON, Mo. -The Dow Chemical Company (NYSE: DOW): Dow to separate a significant portion of its chlor-alkali and downstream derivatives businesses and merge them with Olin in a tax-efficient Reverse Morris Trust transaction that creates an industry leader with revenues approaching $7 billion; Dow shareholder value will be further enhanced through the ownership of shares in the combined company.
Transaction is highly complementary to the strategic objectives of both companies, with substantial synergies and significant potential to enhance value for both sets of shareholders.
Represents highly synergistic transaction with significant growth opportunities; Olin expects to achieve annualized cost synergies of a minimum of $200 million, which are anticipated to be fully realized within 36 months.
Transaction is highly accretive to Dow and Dow shareholders, with a tax efficient consideration of $5 billion, and a taxable equivalent value of $8 billion.
Transaction is a significant achievement in executing Dow’s strategic transformation to a focused provider of high value, differentiated products based on key integrated and innovative value chains, such as Dow’s advantaged ethylene and propylene derivatives.
The strategic relationship between Dow and Olin resulting from this transaction will enable Dow to continue to benefit from its integration efficiencies in chlorine for key downstream applications; Olin will expand its downstream portfolio of chlorinated products and benefit from the opportunity provided by low-cost ECU production on the U.S. Gulf Coast.
Olin will become a leading, low-cost global player in chlor-alkali and derivatives while enhancing its existing presence in key geographies; Olin will more than double its scale and drive incremental growth as a result of the combined companies’ product and process technologies, networks, logistics, creating substantial customer value.
The Dow Chemical Company (NYSE: DOW) and Olin Corporation (NYSE: OLN) announced today that the boards of directors of both companies unanimously approved a definitive agreement under which Dow will separate a significant portion of its chlorine value chain and merge that new entity with Olin in a transaction that will create an industry leader with revenues approaching $7 billion. The transaction has a tax efficient consideration of $5 billion, and a taxable equivalent value of $8 billion to Dow and Dow shareholders. It is highly complementary to the strategic objectives of both companies, with significant potential to enhance value for both Dow and Olin shareholders, and create substantial benefits for customers.
The terms of the agreement call for Dow to separate its U.S. Gulf Coast Chlor-Alkali and Vinyl, Global Chlorinated Organics and Global Epoxy businesses, and then merge these businesses with Olin in a Reverse Morris Trust transaction. The merger will result in Dow shareholders receiving approximately 50.5 percent of the shares of Olin, with existing Olin shareholders owning approximately 49.5 percent.
The transaction is valued at $5 billion, and includes $2.0 billion of cash and cash equivalents to be paid to Dow; an estimated $2.2 billion in Olin common stock using the Olin stock value as of close on March 25, 2015; and approximately $800 million of assumption of pension and other liabilities. In addition, by virtue of the joint share ownership, both sets of shareholders will benefit from a minimum of $200 million in projected annual synergies and cost savings.
Following the completion of the transaction, Olin will be an industry leader in chlor-alkali and derivatives – benefiting from the combination of complementary businesses, significant scale, integration, cost-advantaged feedstocks, and a broad and diverse end-uses portfolio. Expected cost synergies of the transaction include network optimization which will facilitate output expansion, significant logistics savings and benefits, and the potential for expansion of existing products produced by Olin and Dow into additional geographies and to additional customers. Annual revenues of the combined business are anticipated to be approximately $7 billion and EBITDA is expected to be $1 billion on a 2014 pro forma basis, excluding synergies. The transaction is subject to a vote by Olin shareholders and is expected to close by year-end 2015.
In a separate, arms-length transaction, Dow and Olin agreed to a 20-year long-term capacity rights agreement for the supply of ethylene by Dow to Olin, in which Dow will receive up-front payments and, in return, Olin will receive ethylene at co-investor, integrated producer economics. The agreement is additive to the financials outlined above for the chlorine value chain transaction. The combined company will utilize an integrated supply of ethylene from Dow’s production grid on the U.S. Gulf Coast to be a sustainable, integrated chlor-vinyl producer. It will create scale benefits to Dow, and Olin will contribute significant capital for these rights. Together, both Dow and Olin will benefit from long-term, sustainable physical integration, which is key to the ongoing sustainable growth of both companies.
“By combining Dow’s world-class assets and people with Olin, we are creating a premier company with the scope and capabilities to optimally leverage long-term growth opportunities in the marketplace and generate significant shareholder value,” said Andrew N. Liveris, Dow’s chairman and chief executive officer. “We have jointly created a solid foundation for success for Olin, driven by the benefits of greater scale, an enhanced ability to capitalize on globally advantaged cost positions backed by U.S. shale gas economics, technology advantages, broader market access and significant envelope integration.”
Liveris added, “This milestone is a powerful shift in our portfolio towards targeted, integrated high performance sectors and end-markets that will drive further margin expansion, earnings growth, and return on capital – with a deal structure designed to maximize total shareholder return. With this transaction we will exceed our target to divest $7 billion to $8.5 billion of non-strategic businesses and assets. This achievement will allow us to have an ongoing focus to continue to enhance shareholder remuneration, reduce debt and continue to invest in future growth in our high priority and high margin businesses.”
“This transaction is a natural fit to our strategic objectives – creating a sustainable, long-term growth platform and enhanced shareholder and customer value,” said Joseph D. Rupp, Olin’s chairman and chief executive officer. “Supported by significant integration and scale, premier low-cost assets, an upgraded and diversified product mix, and valuable network and other synergies, we will be able to better serve and grow with our customers. We are excited to combine the strengths of our businesses and capitalize on the significant opportunities inherent in this transaction.”
Dow and Olin will have a strong, ongoing operational and commercial relationship including several long-term supply, service and purchase agreements which will support downstream products aligned with Dow’s strategic market focus. Dow will be an important anchor customer of Olin as it works to grow the acquired business. Olin will have a strong capital structure and cash flow to support growth and return of capital to shareholders. It will employ approximately 6,000 employees at 29 operating sites in 9 countries.
Olin will continue to be led by Rupp and a senior management team comprised of both Dow and Olin current employees. Olin’s Board of Directors will consist of the existing nine Olin Company directors and three new members to be designated by Dow.
The transaction is subject to approval by Olin shareholders and completion of customary closing conditions, including relevant tax authority rulings and regulatory approvals.
Dow and Olin will host a live Webcast to discuss this announcement today at 9:00 a.m. ET on www.dow.com and www.olin.com.
About Dow
Dow (NYSE: DOW) combines the power of science and technology to passionately innovate what is essential to human progress. The Company is driving innovations that extract value from the intersection of chemical, physical and biological sciences to help address many of the world’s most challenging problems such as the need for clean water, clean energy generation and conservation, and increasing agricultural productivity. Dow’s integrated, market-driven, industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 180 countries and in high-growth sectors such as packaging, electronics, water, coatings and agriculture. In 2014, Dow had annual sales of more than $58 billion and employed approximately 53,000 people worldwide. The Company’s more than 6,000 products are manufactured at 201 sites in 35 countries across the globe. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.
About Olin Corporation
Olin Corporation is a manufacturer concentrated in three business segments: Chlor Alkali Products, Chemical Distribution and Winchester. Chlor Alkali Products, with eight U.S. manufacturing facilities and one Canadian manufacturing facility, produces chlorine and caustic soda, hydrochloric acid, hydrogen, bleach products and potassium hydroxide. Chemical Distribution manufactures bleach products and distributes caustic soda, bleach products, potassium hydroxide and hydrochloric acid. Winchester, with its principal manufacturing facilities in East Alton, IL and Oxford, MS, produces and distributes sporting ammunition, law enforcement ammunition, reloading components, small caliber military ammunition and components, and industrial cartridges.
NASA Research Suggests Mars Once Had More Water than Earth’s Arctic Ocean
A primitive ocean on Mars held more water than Earth’s Arctic Ocean, according to NASA scientists who, using ground-based observatories, measured water signatures in the Red Planet’s atmosphere.
Scientists have been searching for answers to why this vast water supply left the surface. Details of the observations and computations appear in Thursday’s edition of Science magazine.
“Our study provides a solid estimate of how much water Mars once had, by determining how much water was lost to space,” said Geronimo Villanueva, a scientist at NASA’s Goddard Space Flight Center in Greenbelt, Maryland, and lead author of the new paper. “With this work, we can better understand the history of water on Mars.”
Perhaps about 4.3 billion years ago, Mars would have had enough water to cover its entire surface in a liquid layer about 450 feet (137 meters) deep. More likely, the water would have formed an ocean occupying almost half of Mars’ northern hemisphere, in some regions reaching depths greater than a mile (1.6 kilometers).
The new estimate is based on detailed observations made at the European Southern Observatory’s Very Large Telescope in Chile, and the W.M. Keck Observatory and NASA Infrared Telescope Facility in Hawaii. With these powerful instruments, the researchers distinguished the chemical signatures of two slightly different forms of water in Mars’ atmosphere. One is the familiar H2O. The other is HDO, a naturally occurring variation in which one hydrogen is replaced by a heavier form, called deuterium.
By comparing the ratio of HDO to H2O in water on Mars today and comparing it with the ratio in water trapped in a Mars meteorite dating from about 4.5 billion years ago, scientists can measure the subsequent atmospheric changes and determine how much water has escaped into space.
The team mapped H2O and HDO levels several times over nearly six years, which is equal to approximately three Martian years. The resulting data produced global snapshots of each compound, as well as their ratio. These first-of-their-kind maps reveal regional variations called microclimates and seasonal changes, even though modern Mars is essentially a desert.
The research team was especially interested in regions near Mars’ north and south poles, because the polar ice caps hold the planet’s largest known water reservoir. The water stored there is thought to capture the evolution of Mars’ water during the wet Noachian period, which ended about 3.7 billion years ago, to the present.
From the measurements of atmospheric water in the near-polar region, the researchers determined the enrichment, or relative amounts of the two types of water, in the planet’s permanent ice caps. The enrichment of the ice caps told them how much water Mars must have lost – a volume 6.5 times larger than the volume in the polar caps now. That means the volume of Mars’ early ocean must have been at least 20 million cubic kilometers (5 million cubic miles).
Based on the surface of Mars today, a likely location for this water would be in the Northern Plains, considered a good candidate because of the low-lying ground. An ancient ocean there would have covered 19 percent of the planet’s surface. By comparison, the Atlantic Ocean occupies 17 percent of Earth’s surface.
“With Mars losing that much water, the planet was very likely wet for a longer period of time than was previously thought, suggesting it might have been habitable for longer,” said Michael Mumma, a senior scientist at Goddard and the second author on the paper.
NASA is studying Mars with a host of spacecraft and rovers under the agency’s Mars Exploration Program, including the Opportunity and Curiosity rovers, Odyssey and Mars Reconnaissance Orbiter spacecraft, and the MAVEN orbiter, which arrived at the Red Planet in September 2014 to study the planet’s upper atmosphere.
In 2016, a Mars lander mission called InSight will launch to take a first look into the deep interior of Mars. The agency also is participating in ESA’s (European Space Agency) 2016 and 2018 ExoMars missions, including providing telecommunication radios to ESA’s 2016 orbiter and a critical element of the astrobiology instrument on the 2018 ExoMars rover. NASA’s next rover, heading to Mars in 2020, will carry instruments to conduct unprecedented science and exploration technology investigations on the Red Planet.
NASA’s Mars Exploration Program seeks to characterize and understand Mars as a dynamic system, including its present and past environment, climate cycles, geology and biological potential. In parallel, NASA is developing the human spaceflight capabilities needed for future round-trip missions to Mars in the 2030s.
To view a video of this finding, visit:
More information about NASA’s Mars programs is online at:
http://www.nasa.gov/mars
White Paper on Reuse Policy Options to Help Meet Growing Demand for Water in Saudi Arabia
AL KHOBAR, SAUDI ARABIA —GE (NYSE: GE) will unveil an industry white paper on “Addressing Water Scarcity in Saudi Arabia: Policy Options for Continued Success,” at the Water Arabia 2015 Conference & Exhibition being held at Le Meridien Hotel in Al Khobar, February 17-19, 2015.
The white paper highlights four major water reuse policy options to governments including education and outreach, removing barriers, incentives, mandates and regulations. GE also is showcasing its advanced range of desalination and water reuse technologies at the exhibition.
Organized by the Saudi Arabian Water Environment Association and the Water Environment Federation, the Water Arabia 2015 Conference & Exhibition is the headlining event in the region, which hosts international and regional experts who discuss the challenges, opportunities and trends in the water sector. This year the theme is “Innovative & Reliable Water and Wastewater Technologies for Sustainable Water Quality.”
Co-authored by Colin Enssle, senior manager—Water and Process Technologies for GE Power & Water, and Jon Freedman, global government affairs leader—Water and Process Technologies for GE Power & Water, the white paper presents the water reuse landscape in the kingdom, the water reuse policy and regulations, a range of technology options to address water reuse challenges and success case studies from markets including Bahrain. It will be presented by Jon Freedman to industry experts and governmental officials on February 18 at the Water Arabia 2015 Conference & Exhibition.
“GE’s industry white paper, developed following extensive research of the kingdom’s water landscape, underlines our commitment to support Saudi Arabia in promoting water reuse, one of the strategies being adopted by the government to address increased demand,” said Heiner Markhoff, president and CEO—water and process technologies for GE Power & Water. “One of the challenges in implementing efficient water recycling and reuse programs is to find reliable data and information on policy options. The white paper presents strong policy options that are available to governments as well as how advanced technology platforms can help achieve the goal.”
According to research reports, Saudi Arabia aims to increase water reuse to more than 65 percent by 2020 and over 90 percent by 2040 by transforming its existing and planned wastewater treatment assets into source water suppliers across all sectors. Valued at over US$4.3 billion by Global Water Intelligence (GWI), the kingdom’s water reuse market is the third largest in the world. Over US$66 billion in long-term capital investments have been committed for water and sanitation projects in the kingdom in the next 10 years, while the government aims to achieve 100 percent reuse of wastewater from cities with 5,000 inhabitants or more by 2025.
“Our recommendations complement the recently launched National Water Strategy to address Saudi Arabia’s water challenges. With overall water reuse from treated wastewater at an impressive 30 to 40 percent, the kingdom has tremendous potential to enhance water reuse by over seven times to 241 million cubic meters per year,” added Jon Freedman.
The white paper highlights the water reuse patterns in the kingdom with agriculture accounting for the highest, followed by landscaping, industries and recreational purposes. GWI reports that water reuse will increase at a compound annual growth rate of 4 percent from 2,367 million cubic meters per day to 5,834 million cubic meters per day in 2035.
Water reuse is promoted in the kingdom through governmental decrees as well as the active participation of the private sector. The 9th Development Plan aims to increase treated wastewater reuse to 50 percent as one of its key goals. A new water law establishes a Supreme Council for Water Affairs and an independent regulator for water resources and water services and creates a water management department at the Ministry of Water & Electricity, which are among the projected policy goals in the sector for this year.
“GE’s white paper highlights many of the great steps the Kingdom of Saudi Arabia has already taken, and discusses four policy options that could serve as a valuable starting point to evaluate the appropriate mix of policies that best fit the kingdom’s needs going forward,” said Jon Freedman.
The first recommendation on promoting education and outreach focuses on recognition awards and certification programs as well as information dissemination and educational outreach. Removing barriers highlights how financial, regulatory and technical barriers to reuse can be overcome. Incentives as a policy option evaluate the scope of direct subsidies, pricing mechanisms and structuring water rights, while mandates and regulations restrict potable water to human and food-related uses as well as encourage utility companies to develop plans for recycled water.
At Water Arabia 2015, GE is presenting a range of technology options that are highlighted in the white paper including membrane-based systems and advanced chemistries for 70 to 85 percent recovery, thermal evaporation, crystallization and biological systems for 98 percent recovery and state-of-the-art wastewater recovery systems.
With a strong industry track record in delivering over 800 million liters of water for drinking, irrigation and municipal uses across the Middle East and North Africa, GE has been closely associated with the region’s water industry. The GE Saudi Water & Process Technology Center in Dammam and GE Water & Process Technologies Regional Center of Excellence in Jebel Ali in the United Arab Emirates are among key regional investments by the company in supporting the industry and meeting the growing demand for water.
GE delivers drinking water to about 1 million people in Algiers daily through the Hamma Desalination Plant, one of the largest membrane desalination facilities in Africa, and also provides advanced technologies for the world’s largest wastewater treatment plant in Sulaibiya in Kuwait. The Sulaibiya plant now is set to become the world’s largest-of-its-kind facility that uses membrane technology following an agreement with GE to drive its expansion.
To download a copy of the white paper, please go to http://www.gewater.com/about-us/insights.html.
About GE
GE (NYSE: GE) imagines things others don’t, builds things others can’t and delivers outcomes that make the world work better. GE brings together the physical and digital worlds in ways no other company can. In its labs and factories and on the ground with customers, GE is inventing the next industrial era to move, power, build and cure the world. www.ge.com
About GE Power & Water
GE Power & Water provides customers with a broad array of power generation, energy delivery and water process technologies to solve their challenges locally. Power & Water works in all areas of the energy industry including renewable resources such as wind and solar; biogas and alternative fuels; and coal, oil, natural gas and nuclear energy. The business also develops advanced technologies to help solve the world’s most complex challenges related to water availability and quality. Power & Water’s six business units include Distributed Power, Nuclear Energy, Power Generation Products, Power Generation Services, Renewable Energy and Water & Process Technologies. Headquartered in Schenectady, N.Y., Power & Water is GE’s largest industrial business.
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