RELEASED ON 19/04/13 (DD/MM/YY)
Versalis (Milan), the chemicals business of ENI (Rome), has outlined a major transformation program that aims to shift the company's portfolio from one dominated by commodities toward differentiated and green chemicals; internationalize the business; and make it profitable by 2017–18, delivering €300 million ($392.4 million) in profit by the end of that period. The company is also looking to double capacity for elastomers and increase production of butadiene to feed the elastomers operation through three separate projects: conventional steam cracker–derived butadiene at Dunkirk, France; an on-purpose dehydrogenation of butanes facility based on proprietary technology, currently at pilot scale; and construction of a green butadiene production unit in partnership with Genomatica (San Diego).
Speaking at an analysts and media seminar in London on Thursday—the first such event that Versalis has held—Daniele Ferrari, CEO, said that the current focus is on fixing three "problem sites" in Italy: Porto Torres, Sardinia; Priolo, Sicily; and Porto Marghera, near Venice. “These were the biggest loss-making sites with a combined Ebitda loss of €210 million/year during 2008–12,” Ferrari said. Versalis, or Polimeri Europa, as the company was previously known, generated a positive Ebitda of €110 million/year at its other 11 sites in Italy combined, he said. Versalis has agreed with local trade unions to transform the three challenged sites. Meanwhile, to improve its profitability, Versalis is looking at options to import cheap gas feedstock from the United States. The company’s Brindisi, Italy, cracker is capable of using gas feedstock and, with minor adjustments, the Dunkirk facility could also gain flexibility to use gas.
SOURCE Chemweek Business Daily
Versalis (Milan), the chemicals business of ENI (Rome), has outlined a major transformation program that aims to shift the company's portfolio from one dominated by commodities toward differentiated and green chemicals; internationalize the business; and make it profitable by 2017–18, delivering €300 million ($392.4 million) in profit by the end of that period. The company is also looking to double capacity for elastomers and increase production of butadiene to feed the elastomers operation through three separate projects: conventional steam cracker–derived butadiene at Dunkirk, France; an on-purpose dehydrogenation of butanes facility based on proprietary technology, currently at pilot scale; and construction of a green butadiene production unit in partnership with Genomatica (San Diego).
Speaking at an analysts and media seminar in London on Thursday—the first such event that Versalis has held—Daniele Ferrari, CEO, said that the current focus is on fixing three "problem sites" in Italy: Porto Torres, Sardinia; Priolo, Sicily; and Porto Marghera, near Venice. “These were the biggest loss-making sites with a combined Ebitda loss of €210 million/year during 2008–12,” Ferrari said. Versalis, or Polimeri Europa, as the company was previously known, generated a positive Ebitda of €110 million/year at its other 11 sites in Italy combined, he said. Versalis has agreed with local trade unions to transform the three challenged sites. Meanwhile, to improve its profitability, Versalis is looking at options to import cheap gas feedstock from the United States. The company’s Brindisi, Italy, cracker is capable of using gas feedstock and, with minor adjustments, the Dunkirk facility could also gain flexibility to use gas.
SOURCE Chemweek Business Daily