Clariant Catalysts wins CATOFIN catalyst supply deal for China PDH unit

Clariant has been awarded a contract by Zhejiang Petroleum & Chemical Co., Ltd. (ZPC) to supply its CATOFIN catalyst and Heat Generating Material (HGM) for a new propane dehydrogenation unit in Zhejiang Province, China. The unit has a nameplate capacity of 1.2 million metric tons per annum and will be the world's largest licensed PDH unit. CATOFIN is a joint offering from Clariant and Lummus, and more than 40 projects have been awarded since 2017.

Key facts

Market context

Propylene is a core building block for polypropylene, acrylonitrile, propylene oxide and acrylic acid, so demand for it tracks packaging, construction, automotive and consumer goods production. Where ethylene crackers yield less propylene than downstream markets need, propane dehydrogenation (PDH) units convert propane directly into propylene and fill that gap. The process relies on a dehydrogenation catalyst that is regenerated repeatedly over its life, which makes catalyst supply and licensing a recurring business for specialist suppliers. Large PDH units shift the balance of regional propylene supply, can lower the feedstock cost advantage of incumbent producers that rely on naphtha, and raise the importance of reliable propane supply from refineries and gas processing. Technology licensors and catalyst makers compete on yield, catalyst life and reliability, so a reference at very large scale can influence how other operators choose a process.

Source: official release on clariant.com. Summary and context written by Market Krystal.