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Creating Customer Value Through Bio Based Chemistry Rick Hanson, Managing Director, Performance Technologies and Industrial Chemicals
18

Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

May 10, 2018

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Page 1: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Creating Customer Value Through Bio Based Chemistry

Rick Hanson, Managing Director, Performance Technologies and Industrial Chemicals

Page 2: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Outline

• Who is Croda

• Approach to bio based chemistry

• Examples of creating customer value

• Case study

• Investing in capabilities

• Where to next

Page 3: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

1989 Croda Scientist helps to develop Lorenzo’s oil as a cure for ALD

1964

Listed as a public company

1925

Founded in Yorkshire, England to

manufacture lanolin from woolgrease

1990s

Acquired Crodarom, Sederma & Westbrook.

Significant investment & concentration on

Personal Care & Health Care business

Croda – Our Roots are in Bio Chemistry

2006

Croda acquires Uniqema & becomes a $1 billion company

Page 4: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Bio Based Chemistry Platforms

Naturally derived ingredients• 70% of raw materials from bio base

• Sugars

• Biopolymers

• Botanical extracts

• Oleochemcials

Green processing• Biocatalysis

• Fermentation

• No solvents and minimised waste by-products

• Energy efficiency

Minimised environmental impact• Biodegradability

• Low and non toxic products

Page 5: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Personal Care – Skin Whitening

– Whole cell biotransformation

O.D.A. White™

Kiss Melanin Goodbye

Yeast fermentation transforms vegetable oleic acid to dioic acid – a conversion that is not easily achievable by synthetic chemical means

In skin care, O.D.A. White™ inhibits melanin synthesis by blocking the translation of TyrosinasemRNA.

COOHHOOC

HOOC CH3

Oleic acid

C18:1 Dioic acid / Octadecenedioic acid

Page 6: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Personal Care – Anti Aging

RESISTEM™

A plant extract obtained by stem cells culture from Globulariacordifolia.

An anti-ageing cosmetic skin active.

Protects the skin against pro-ageing agents by stimulating cell detoxification and regeneration reactions to provide anti-ageing beauty benefits to consumers.

Page 7: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Rape Seed

Dimers

Isostearic Acid

Polymeric Organic Friction Modifiers

Incroslip SLHigh PerformanceSlip Additive

Industrial Applications -Performance Through Derivatisation

Contract with farms for basic feedstock

Fatty AcidSplitting

DimerizationDistillationSeparationHydrogentation

EsterificationAlkoxylationAmidization

Erucamide

Page 8: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

• Perfad Organic Friction Modifiers Delivers

Better Fuel Economy

• Highly specialized esters yield

industry leading friction

modification improving fuel

economy.

• Usage rate of < 1%

• 99% Bio based

• Currently testing products for GF6

Perfad Friction Modifiers

Page 9: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Case Study -Design brief for new amide slip additive for Poly Propylene

• Slip properties similar to oleamide or erucamide

• Fully saturated (Iodine value <1)

• Improved oxidative stability

– Limits ability for appearance plastics to be used in some applications

• Good colour and colour stability

• Imparts low taste and odour as good as or better than behenamide

• Registered in major markets (REACH, TSCA etc)

• Capable of gaining Food Approval

Page 10: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

0.00

0.10

0.20

0.30

0.40

0.50

0.60

0.70

0.80

0.90

1.00

0 50 100 150 200 250 300 350

Kin

eti

c C

oF

Time (hours, linear scale)

2.5k ppm Incroslip SL

2.5k ppm ER

2.5k ppm BR

Performance Data - A MustKinetic CoF of Incroslip SL, ER & BR in PP homopolymer cast film

Page 11: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Oxidative stability of Incroslip SL vs. ER at 120°C

(both samples contain 800ppm 1010 AO)0 hours 72 hours 168 hours

Erucamide

Incroslip SL

Page 12: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Scratch - what is key to assessing a scratch? What parameters can we measure?

Visible bloom

Scratch width Scratch visibilityWithout additive Without additiveWith additive With additive

With good additiveWith poor additiveSmoothness of scratch

Without additive With additive

Page 13: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Incroslip SL – Step Change In Slip Performance

• Incroslip SL achieves a CoF in polyolefin films

similar to erucamide which is high slip

• Provides excellent closure application/release

torques in PP

• Good scratch resistance with low visible

bloom in moulded PP

• Excellent colour and oxidative stability

• Noticeably improved organoleptic

Incroslip SL – delivering high slip with

stability to plastics -

Page 14: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

New Bio-Manufacturing Unit

Page 15: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Using Bio Based Solutions To Solve Petro Chemical Issues

• Croda is a major consumer of Ethylene Oxide for use in the production of our surfactants

• Transportation issues will prevent ongoing rail shipments

• Customers are looking for more sustainable surfactant options

• Bio based

• Lower level of 1,4 dioxane

• Equivalent performance to EO

• Croda’s options

• Move our plant to a EO pipeline

• Continue to search for the holy grail of surfactants – non EO

• Install a bio ethanol to EO plant on site

Page 16: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

We Chose Bio Ethanol

• Construction has begun on the first bio ethanol to EO plant in North America• Start up in 2017 with corn based ethanol and will switch to bio mass ethanol

when available• Numerous customer projects for development for new 100% bio based

surfactants are underway

Page 17: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

Creating Value With Bio Chemistry

• Croda’s customer has to be able to create value with Bio Based products

– New product launches

– Improved manufacturing processes

– Lower cost in use

– Sustainability goals

• Croda looks for unique performance attributes from bio based chemistries

• Willingness to invest in capabilities

– Technical, marketing and manufacturing

• The value is often in the niches

• At Croda we started with bio based chemistry and we continue to strive for continuous improvements in sustainability

Page 18: Creating Customer Value Through Bio Based Chemistry Hanson.pdf · Creating Customer Value Through Bio Based Chemistry Rick Hanson, ... • Case study ... –Improved manufacturing

1925

Founded in Yorkshire, England to

manufacture lanolin from woolgrease

Croda – Our Evolving History Keeps On Going

2017 Bio Ethanol to Ethylene Oxide Plant commissioned at Atlas Point location