Covestro, SK geo centric and Neste cooperate to create the value chain for a renewable polyurethane precursor

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Type of post: NEWS IN BRIEF.

Covestro, South Korean petrochemical company SK geo centric and Neste are cooperating to enable the production of a major polyurethane precursor based on renewable raw materials via mass balance. 

Figure 1. First shipment of renewable benzene leaves the Ulsan harbour in South Korea (credits: SK geo centric) 

The cooperation will see Neste provide SK geo centric with renewable Neste RE, an ISCC certified feedstock for polymers and chemicals made from 100% renewable raw materials such as waste and residue oil and fats. SK geo centric will process this feedstock into benzene at the company’s facilities in South Korea and supply it to Covestro to use as raw material for methylene diphenyl diisocyanate (MDI) at its site in Shanghai (China). MDI is a key raw material for the manufacture of rigid polyurethane foam, which is a well-proven insulating material for buildings and used in the cold chain helping to save CO2 emissions and reduce energy consumption during its product life.

The cooperation marks the start of possible future collaborations between the three companies, aiming at replacing fossil feedstocks by more sustainable ones in the production of polymers and chemicals in the APAC region and beyond.

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