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(c) Avgol by Indorama Ventures Limited
30.12.2022

Avgol® wins Procter & Gamble Supplier Excellence Award

Avgol®, an Indorama Ventures Limited company, has been honoured with the Supplier Excellence Award by leading global brand Procter & Gamble.

The award was in recognition of Avgol, a leader in the manufacture of high-performance nonwoven fabric solutions, ‘being a notable and valuable supplier over the last fiscal year’ to the P&G Baby Care Business Unit.

Avgol CEO Tommi Bjornman said receiving the honour from P&G for the first time is a source of great pride for the company. “The assessment process for the award focuses on us as the supplier showing outstanding contributions across a range of key categories,” he said. “I am delighted and proud that the Avgol team was unanimously identified as being strongest in terms of our collaboration with the customer, as well as in our continuous improvement efforts across all regions of P&G’s global Baby Care program.

“It was heartening that, in making the award, P&G further noted that Avgol’s efforts have significantly assisted in their own commercial growth during a challenging period for the Hygiene market,” he said.

Avgol®, an Indorama Ventures Limited company, has been honoured with the Supplier Excellence Award by leading global brand Procter & Gamble.

The award was in recognition of Avgol, a leader in the manufacture of high-performance nonwoven fabric solutions, ‘being a notable and valuable supplier over the last fiscal year’ to the P&G Baby Care Business Unit.

Avgol CEO Tommi Bjornman said receiving the honour from P&G for the first time is a source of great pride for the company. “The assessment process for the award focuses on us as the supplier showing outstanding contributions across a range of key categories,” he said. “I am delighted and proud that the Avgol team was unanimously identified as being strongest in terms of our collaboration with the customer, as well as in our continuous improvement efforts across all regions of P&G’s global Baby Care program.

“It was heartening that, in making the award, P&G further noted that Avgol’s efforts have significantly assisted in their own commercial growth during a challenging period for the Hygiene market,” he said.

In 2018, Indorama Ventures Limited (IVL), a leading petrochemicals producer and global integrated leader in PET and fibres, acquired majority ownership of Avgol, resulting in a focused and faster growth of Avgol Nonwovens.

“With the combined financial, technical, commercial strength and expertise of Avgol and IVL, Avgol has been working hard to develop innovative products, putting sustainability front and centre in our plans for the future and ensuring we deliver the very best product and service to our customers around the world,” said Tommi Bjornman.

 

Source:

Avgol by Indorama Ventures Limited / PHD Marketing Ltd

05.11.2021

Indorama Ventures reports a strong 3Q21 performance on record volumes

Indorama Ventures Public Company Limited (IVL) reported a strong 3Q 2021 performance amid record production volumes. The company maintained its positive outlook for the rest of the year and 2022, noting caution as headwinds including higher energy prices and supply chain disruptions weigh against resurgent consumer demand.

IVL reported EBITDA of US$478 million in Q3 versus US$552 million in the previous quarter and US$240 million a year earlier. Production volumes reached 3.73 million metric tons, a record, as the global recovery drove consumer demand for IVL’s products.

As the global economy recovers from the pandemic, consumer appetite and increasing Brent crude oil prices are testing supply chains and driving a commodity boom, with manufacturers running at full capacity. This has driven increases in freight prices and a shortage of materials.

Indorama Ventures Public Company Limited (IVL) reported a strong 3Q 2021 performance amid record production volumes. The company maintained its positive outlook for the rest of the year and 2022, noting caution as headwinds including higher energy prices and supply chain disruptions weigh against resurgent consumer demand.

IVL reported EBITDA of US$478 million in Q3 versus US$552 million in the previous quarter and US$240 million a year earlier. Production volumes reached 3.73 million metric tons, a record, as the global recovery drove consumer demand for IVL’s products.

As the global economy recovers from the pandemic, consumer appetite and increasing Brent crude oil prices are testing supply chains and driving a commodity boom, with manufacturers running at full capacity. This has driven increases in freight prices and a shortage of materials.

Still, IVL posted a solid YTD performance, ending the first nine months of 2021 with EBITDA of US$ 1,512 million, up 123% YoY. The Integrated Oxides & Derivatives (IOD) segment will start to reap the full benefits of the hot commissioning of the Lake Charles gas cracker (IVOL) in Q4 and beyond, as well as continued advantaged shale gas economics.

In Q3, Project Olympus, the company’s cost saving and business transformation project, achieved US$63 million in efficiency gains, and is on track to achieve a total US$610 million of savings by 2023. IVL also implemented enhanced disclosures in governance, strategy, risk management, and metrics and targets, and launched a comprehensive financial policy and governance structure to accelerate environmentally driven projects.

IVL strengthened its Indorama Management Council (IMC) – the company’s highest operational management committee – by rotating experienced executives and adding the COOs of the Fibers and Integrated Oxides & Derivatives (IOD) segments. The appointments will help build the segments into self-sustaining organizations while also rotating expertise across the IMC.

3Q 2021 Performance Summary

  • Consolidated Revenue of US$ 3,867M, an increase of 9% QoQ and 50% YoY
  • EBITDA of US$ 478M in Q3 versus US$552 million, a decrease of 13% QoQ and an increase of 99% YoY
  • Reported annualized EPS of THB 4.53 and core annualized EPS of THB 4.09

 

Source:

Indorama Ventures Public Company Limited

03.11.2021

Indorama Ventures issues THB 10 billion Sustainability-Linked Bond

Indorama Ventures Public Company Limited issued a THB 10 billion triple-tranche Sustainability-Linked Bond, showcasing the company’s long-standing commitment to sustainable growth. It is the largest SLB issued in Thailand and the first offered to both institutions and high-net-worth investors.

The bond is part of IVL’s financing strategy across a range of instruments linked to the company’s sustainability targets. It is aligned with internationally accepted standards including International Capital Markets Association’s (ICMA) Sustainability-Linked Bond Principles and the Loan Market Association’s (LMA) Sustainability Linked Loan Principles.

The SLB is linked to IVL’s performance of reducing GHG emissions intensity by 10% by 2025 (from a 2020 base), increasing recycling of PET bale input to 750,000 tons per year by 2025, and achieving 25% renewable electricity consumption in 2030.

Indorama Ventures Public Company Limited issued a THB 10 billion triple-tranche Sustainability-Linked Bond, showcasing the company’s long-standing commitment to sustainable growth. It is the largest SLB issued in Thailand and the first offered to both institutions and high-net-worth investors.

The bond is part of IVL’s financing strategy across a range of instruments linked to the company’s sustainability targets. It is aligned with internationally accepted standards including International Capital Markets Association’s (ICMA) Sustainability-Linked Bond Principles and the Loan Market Association’s (LMA) Sustainability Linked Loan Principles.

The SLB is linked to IVL’s performance of reducing GHG emissions intensity by 10% by 2025 (from a 2020 base), increasing recycling of PET bale input to 750,000 tons per year by 2025, and achieving 25% renewable electricity consumption in 2030.

The triple-tranche structure includes 5-, 7-, and 10.5-year tenors, offering coupons of 2.48%, 3.00% and 3.60% per year respectively, targeting asset managers, commercial banks, insurance companies, cooperatives and high-net-worth individuals. With the orderbook peaking at over THB 17.8 billion due to strong interest in the sustainability-linked instrument, oversubscription was around 3x over the planned issuance amount of THB 6 billion with a green shoe option of THB 4 billion. In view of the strong orderbook from the investors, the company decided to exercise the green shoe option and increased the issuance to THB 10 billion, setting a new benchmark as the largest SLB transaction in Thailand. IVL appointed Bangkok Bank, Kasikorn Bank, Krungthai Bank, Siam Commercial Bank, and The Hongkong and Shanghai Banking Corporation Limited, Bangkok Branch as arrangers and bookrunners for the transaction.

On 23 September 2021, the bond was assigned an AA- rating and a “stable” outlook by TRIS Rating following a strong recovery of petrochemicals and derivatives and IVL’s growing profitability.

Under the terms, all tranches must purchase Energy Attribute Certificates (EAC) or voluntary carbon offsets in the event of failure to meet the sustainability performance targets (SPT). The testing dates for tenors with a maturity of 5 and 7 years are 31 December 2025, and 31 December 2030 for the 10.5-year tenor. SPT performance will be independently verified upon the testing dates.Proceeds for the issuance will be used to finance IVL’s corporate working capital and refinance existing debt.

In recent years, IVL secured loans linked to improvements in the company’s sustainability performance as a global leader in environmental, social and governance (ESG) integration. These included Thailand’s first Green Loan of USD 200 million and EUR 200 million from Japan’s Mizuho Bank, Thailand’s first cross-border Sustainability-Linked Ninja Loan worth USD 225 million from 16 institutions in Japan and a Blue Loan of USD 300 million arranged by International Finance Corporation and funded by Asian Development Bank and DEG.

Source:

Indorama Ventures Public Company Limited

Indorama Ventures strengthens its management council with new role rotations (c) Indorama Ventures Public Company Limited
02.11.2021

Indorama Ventures strengthens its management council with new role rotations

Indorama Ventures Public Company Limited announced it has strengthened its Indorama Management Council (IMC) – the company’s highest operational management committee – by rotating experienced executives and adding the COOs of the Fibers and Integrated Oxides & Derivatives (IOD) segments.

The elevation of Mr Christopher Kenneally, COO of Fibers, and Mr Alastair Port, COO of IOD, to the IMC – will enable more agile decision making as they build their high-growth segments into self-sustaining organizations that maximize value for IVL stakeholders. The appointments are effective immediately.

Indorama Ventures Public Company Limited announced it has strengthened its Indorama Management Council (IMC) – the company’s highest operational management committee – by rotating experienced executives and adding the COOs of the Fibers and Integrated Oxides & Derivatives (IOD) segments.

The elevation of Mr Christopher Kenneally, COO of Fibers, and Mr Alastair Port, COO of IOD, to the IMC – will enable more agile decision making as they build their high-growth segments into self-sustaining organizations that maximize value for IVL stakeholders. The appointments are effective immediately.

In a rotation of roles, Mr Sanjay Ahuja, the current CFO of IVL, will switch to Interim COO of Combined PET (CPET) for a period of 2 years, effective January 2022, as part of a rotation of senior expertise across the IMC. He will report to Mr D K Agarwal as CEO, who will take on additional broader responsibilities as CFO. The CPET role rotation will enable new dynamism in this largest segment of IVL and establish a self-sustaining organization for the permanent successor that IMC selects over this period. Mr Agarwal will be supported by Mr Ashok Jain in an enhanced role as Controller, covering Banking & Finance, Global Consolidation, Taxation and M&A.

Further, Mr Klaus Holz will join the IMC as Chief Human Resources Officer, effective 1 January 2022. He replaces Mr Roberto Bettini who will retire at the end of 2021.

Source:

Indorama Ventures Public Company Limited

28.10.2021

The Renewable Carbon Initiative (RCI) celebrates its first anniversary

After its launch on 20 September 2020, the RCI is proud to celebrate its first anniversary this fall. The balance sheet of the first year is impressive: starting from 11 founding members, that number increased to 30 member companies within 12 months. Numerous webinars, press releases, background information, a glossary and a comic allowed to convey the “Renewable Carbon” concept to the public. The RCI is actively working on labelling and policy analysis, and more activities will follow in the next year.

After its launch on 20 September 2020, the RCI is proud to celebrate its first anniversary this fall. The balance sheet of the first year is impressive: starting from 11 founding members, that number increased to 30 member companies within 12 months. Numerous webinars, press releases, background information, a glossary and a comic allowed to convey the “Renewable Carbon” concept to the public. The RCI is actively working on labelling and policy analysis, and more activities will follow in the next year.

Key for this success: the topic of renewable carbon in chemicals and materials is increasingly becoming a focus of politics and industry. Larger companies will have to report their GHG emissions and also the footprint of their products as part of legislative changes surrounding the European Green Deal. In this context, indirect emissions and the carbon sources of materials will play a much more crucial role. The RCI is actively working on solutions for companies to shift from fossil to renewable carbon, which consists of the use of bio-based feedstock, CO2-based resources and recycling. In the future, reporting on GHG emissions will also include Scope 3 emissions, which are all indirect emissions that occur along the company’s value and supply chain and where the used raw materials account for a large proportion of the footprint. Here is where the carbon source of chemicals and plastics comes into play as an important contributor to the carbon footprint. Without a shift from fossil to renewable carbon feedstocks (combining bio-based, CO2-based and recycled), a sustainable future and the Paris climate targets will be almost impossible to master.

To discuss, promote and realise the shift, 30 innovative companies have already joined forces to support the transition to renewable carbon, considering both technological and economical approaches – and helping to shape the political framework accordingly.

For the second year, RCI plans to focus on a comprehensive understanding of the expected political framework conditions in Europe and across the globe, since they will determine the future of chemistry and materials more than ever. Building on this knowledge, the topic of renewable carbon could then to be systematically integrated into new political directives, which has so far not been effectively managed.

In reality, the political focus lies on the strategy of decarbonising the energy sector, a very central and Herculean task. However, it cannot be applied to the chemical and material world because carbon is usually the central building block that cannot be dispensed with. On the contrary, the demand for carbon in the chemical and materials sectors is expected to more than double by 2050. In order to meet this demand in a sustainable manner, we must move towards quitting fossil carbon. For the first time in industrial history, it is possible to decouple chemistry and materials from petrochemicals and completely cover the demand through the utilisation of biomass, CO2 and recycling.

Source:

Renewable Carbon Initiative (RCI)

18.10.2021

SABIC presents new Portfolio for Nonwovens at INDEX

SABIC has announced that the newly formed Hygiene & Healthcare segment of its Petrochemicals business will showcase its extensive portfolio of SABIC PURECARES™ polypropylene (PP) and polyethylene (PE) polymers for high-purity nonwovens and hygiene films at the upcoming INDEX™ Expo in Geneva, Switzerland, from October 19 through 22, 2021. The company will also present enabling solutions developed with partners to address the issue of plastic waste and support the transformation of the industry towards a circular economy with closed-loop initiatives and certified circular polymers under its TRUCIRCLE™ portfolio and services.

SABIC has announced that the newly formed Hygiene & Healthcare segment of its Petrochemicals business will showcase its extensive portfolio of SABIC PURECARES™ polypropylene (PP) and polyethylene (PE) polymers for high-purity nonwovens and hygiene films at the upcoming INDEX™ Expo in Geneva, Switzerland, from October 19 through 22, 2021. The company will also present enabling solutions developed with partners to address the issue of plastic waste and support the transformation of the industry towards a circular economy with closed-loop initiatives and certified circular polymers under its TRUCIRCLE™ portfolio and services.

During INDEX, SABIC will exhibit a wide range of PP polymers targeted at these needs. Highlights on display will include dedicated PP and PE grades for lightweight nonwoven fabrics using the latest spunbond and meltblown processes, and a new ultra-high melt flow PP product engineered for meltblown fibers in nonwoven fabrics. The nonwoven focus will be complemented by industry proven polyolefins for cast and blown film applications in hygiene webs and laminates, providing desirable back and top sheet properties such as water tightness, breathability and elasticity.

In addition, SABIC will also present ISCC Plus certified fiber and film polymers based on circular and renewable PP and PE polymer technology as part of the company’s TRUCIRCLE portfolio for advancing the transformation of the plastics industry from a linear to a truly circular economy. Examples of this comprehensive initiative include collaborations with various market leaders in the field. Together with Fibertex Personal Care, one of the world’s largest manufacturers of spunbond nonwovens for the hygiene industry, SABIC is creating a range of high-purity nonwovens for the hygiene market using ISCC PLUS certified circular PP polymer derived from post-consumer plastic waste. In another project, Fraunhofer Institute, SABIC and Procter & Gamble (P&G) joined forces to develop and demonstrate the feasibility of an advanced close-loop recycling process for used nonwoven facemasks.

Source:

SABIC / Marketing Solutions NV

29.09.2021

The Renewable Materials Conference 2022

  • 10–12 May 2022, Cologne, Germany (hybrid)
  • The unique concept of presenting all renewable material solutions at one event hits the mark: bio-based, CO2-based and recycled are the only alternatives to fossil-based chemicals and materials

Ready-to-use fossil-free sustainable material solutions with a low carbon footprint are in fast-growing demand. Innovative brand owners are keeping an eye out for such solutions, in particular those that will soon reach the mainstream.

  • 10–12 May 2022, Cologne, Germany (hybrid)
  • The unique concept of presenting all renewable material solutions at one event hits the mark: bio-based, CO2-based and recycled are the only alternatives to fossil-based chemicals and materials

Ready-to-use fossil-free sustainable material solutions with a low carbon footprint are in fast-growing demand. Innovative brand owners are keeping an eye out for such solutions, in particular those that will soon reach the mainstream.

For the second time, nova-Institute presents numerous market highlights from bio- and CO2-based chemicals and materials as well as from chemical recycling: All material solutions based on renewable carbon. Together, there is sufficient potential to completely replace petrochemicals by 2050. To tackle climate change at its roots, all additional fossil carbon from the ground must be substituted with renewable alternatives. Over the course of three days, participants will get a comprehensive overview of the latest developments in the renewable material sector, with a focus on industry-ready solutions from a wide spectrum of sustainable raw materials and technologies.

In 2021, the new concept of the Renewable Materials Conference generated an outstanding response, which exceeded all expectations: 420 online participants witnessed a firework of innovations of non-fossil material. 60 speakers, 11 panel discussions, 500 public posts and 1,500 networking activities were proof of the lively exchange during the three conference days.

In 2022, nova-Institute plans to host the conference physically in the heart of Germany's fourth largest city, Cologne, just a few hours away from France, Belgium and the Netherlands. Expected are 400 participants on-site and many more online. On-site, the conference will be accompanied by a large exhibition where companies and institutes can showcase their recent developments. The supporting program, networking activities and many secluded spots at the location offers excellent opportunities to make new business contacts and refresh old ones.

The focus of the conference: All material solutions based on renewable carbon – avoiding the use of additional fossil carbon. The entire spectrum of renewable materials is covered: bio-based, CO2- based and recycled.

The program includes a diverse range of bio-based materials such as bio-based polymers, plastics and biocomposites (first and second generation, biowaste), CO2-based materials (from fossil and biogenic point sources, atmosphere) as well as mechanically and chemically recycled materials.

Source:

nova-Institut GmbH