After leaving a polyolefins conference in Houston this week, I can attest to the bullish nature of the majors' results. Perhaps this question is slightly adjacent, but it is related to ungodly sums of money in the industry: I'd love to get your take on Origin Materials and their recent announcement about building a $750MM plant in LA to make PET from wood residue.
Yeah, I know some people at Origin. I've asked the CEO if he would like to chat about their plans. There is some interest, but perhaps later on in the year he will open up. I suspect they have a route to terephthalic acid that is close in price to the petrochemical version and if oil prices continue to go up they might be in a really strong position to capitalize.
They are licensing some IP from Eastman too, but I wonder if Eastman might see them as a potential acquisition target in the future since they are investing a billion dollars in France and about 250 mil in TN for molecular recycling of PET through methanolysis.
Steel in the ground in 2023 and production slated for mid-2026. Eastman have a pretty good track record and build these plants now. Origin is pre-revenue. Does their proposed route to TA work at scale? It reminds me a little bit of the 2nd generation cellulosic mini-boom about 10-12 years ago. That didn't end well.
After leaving a polyolefins conference in Houston this week, I can attest to the bullish nature of the majors' results. Perhaps this question is slightly adjacent, but it is related to ungodly sums of money in the industry: I'd love to get your take on Origin Materials and their recent announcement about building a $750MM plant in LA to make PET from wood residue.
Yeah, I know some people at Origin. I've asked the CEO if he would like to chat about their plans. There is some interest, but perhaps later on in the year he will open up. I suspect they have a route to terephthalic acid that is close in price to the petrochemical version and if oil prices continue to go up they might be in a really strong position to capitalize.
They are licensing some IP from Eastman too, but I wonder if Eastman might see them as a potential acquisition target in the future since they are investing a billion dollars in France and about 250 mil in TN for molecular recycling of PET through methanolysis.
Steel in the ground in 2023 and production slated for mid-2026. Eastman have a pretty good track record and build these plants now. Origin is pre-revenue. Does their proposed route to TA work at scale? It reminds me a little bit of the 2nd generation cellulosic mini-boom about 10-12 years ago. That didn't end well.
This might help too. http://greenchemicalsblog.com/2022/02/17/origin-materials-chose-louisiana-for-1st-world-scale-facility/
I suspect that Origin needs to find a profitable place for all of the carbon black they are going to be making too.
Speaking of carbon black, I learned about this product earlier today: https://www.competitivegreentechnologies.com/bioblakrreg.html