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Honeywell’s UOP Technology Selected To Meet Growing Demand For Propylene In Southeast Asia

May 22, 2014

License agreement is the 20th in the past three years and 16th in Asia for UOP’s Oleflex(TM) technology

DES PLAINES, Ill., May 22, 2014 /PRNewswire/ — UOP LLC, a Honeywell (NYSE: HON) company, announced that Guangdong Peng Zun Energy Development Co., Ltd., a Chinese petrochemical producer, has selected Honeywell’s UOP C(3 )Oleflex(TM) process technology to convert propane to propylene, a valuable petrochemical used in plastics production.

This will be the first propane dehydrogenation project in the Southern Guangzhou region, which is a major trade hub for Southeast Asia located near Macau and Hong Kong. The project also is the 20(th) announced license for UOP’s Oleflex technology since the beginning of 2011 as petrochemical producers globally move to meet growing demand for propylene and isobutylene. This marks the 16(th) time that UOP’s Oleflex process has been selected by Chinese petrochemical producers.

“The rise in disposable income for Asia’s middle and upper classes is increasing consumption of durable and nondurable goods made from chemicals and polymers derived from light olefins,” said Pete Piotrowski, senior vice president and general manager of UOP’s Process Technology and Equipment business unit. “China’s demand for propylene is expected to more than triple by 2020 from 2011 levels. The combined Oleflex projects UOP has announced since 2011, including this new project, will increase global propylene production by more than 8 million metric tons in the next three years.”

After comparing multiple propane dehydrogenation technologies, Guangdong Peng Zun chose the Oleflex process to satisfy demand in the region’s local market for high value propylene. In addition to the economic advantages, regional presence and strong technical support were key drivers in the decision, as more key technical service roles have been staffed in UOP’s Beijing office.

Guangdong Peng Zun will install the technology at its facility in the Donghai Island Port Chemical Industrial Zone in Zhanjiang, China where it will produce 450,000 metric tons of propylene per year starting in 2016. In addition to technology, UOP will provide training, technical services, catalysts, adsorbents, and equipment for the project.

Compared with competing processes, UOP’s Oleflex technology provides the smallest environmental footprint, the lowest cash cost of production, and the highest return on investment. The technology consistently delivers superior performance due to its high reliability, low energy usage, high propylene yields, and proven continuous catalyst regeneration (CCR) technology.

UOP LLC (www.uop.com) is a leading international supplier and licensor of process technology, catalysts, adsorbents, equipment, and consulting services to the petroleum refining, petrochemical, and gas processing industries. UOP is a wholly-owned subsidiary of Honeywell International, Inc. and is part of Honeywell’s Performance Materials and Technologies strategic business group, which also includes Honeywell Process Solutions, a pioneer in automation control, instrumentation and services for the oil and gas, refining, petrochemical, chemical and other industries.

Honeywell (www.honeywell.com) is a Fortune 100 diversified technology and manufacturing leader, serving customers worldwide with aerospace products and services; control technologies for buildings, homes and industry; turbochargers; and performance materials. Based in Morris Township, N.J., Honeywell’s shares are traded on the New York, London, and Chicago Stock Exchanges. For more news and information on Honeywell, please visit www.honeywellnow.com.

This release contains certain statements that may be deemed “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, that address activities, events or developments that we or our management intends, expects, projects, believes or anticipates will or may occur in the future are forward-looking statements. Such statements are based upon certain assumptions and assessments made by our management in light of their experience and their perception of historical trends, current economic and industry conditions, expected future developments and other factors they believe to be appropriate. The forward-looking statements included in this release are also subject to a number of material risks and uncertainties, including but not limited to economic, competitive, governmental, and technological factors affecting our operations, markets, products, services and prices. Such forward-looking statements are not guarantees of future performance, and actual results, developments and business decisions may differ from those envisaged by such forward-looking statements. We identify the principal risks and uncertainties that affect our performance in our Form 10-K and other filings with the Securities and Exchange Commission.

SOURCE Honeywell


Source: PR Newswire



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