Press release: Brussels, 7 October 2022 – Kolmar A.G has announced its intention to invest in SynPet S.A, a company with proprietary technology to manufacture circular naphtha a circular feed into chemical crackers. Mrs. Ruth Sandelowsky CEO of Kolmar announced Kolmar’s investment plans into Synpet S.A, and also the fact that Kolmar will as a function of its investment have marketing exclusivity of products produced from the Synpet Technology.
KOLMAR GROUP AG is a Swiss company with headquarters in Zug and 24 offices worldwide. Over the last 25 years, Kolmar has grown to be recognized as a leader in the industry, active in over 100 different petroleum and petrochemical products, including biofuels and renewables: and present in over 20 different countries. The company transacts approximately 6 million metric tons per year with annual revenues of more than USD 5 billion. Kolmar is also a manufacturer of biofuels in the U.S. under the name of American Green Fuels (AGF) with production sites for biodiesel in Connecticut and Texas. Furthermore, the company has invested significantly in cellulosic technology with new production of renewable diesel coming online in 2022. The Kolmar Group has a core philosophy of “Growth through Collaboration” this is evident in the intricate physical network and close relationships it has with business partners, which has played a vital role in the development and foundation of Kolmar’s global enterprise.
SYNPET Technologies plans to invest 90 million euros in Genk to build a unit to process difficult-to-recycle plastics into synthetic oil, an alternative to crude oil for the petrochemical industry. This will utilize Synpet proprietary technology, ‘TCP’ [Thermal Conversion Process], which provides a unique solution to waste management and recycling of plastics. TCP is cost effective, and produces circular products such as synthetic oil, circular Naphtha, Natural gas, and fertilizers depending on the input of various waste feeds. Circular Naphtha provides a feed for chemical cracking. Synpet technology is top quartile, is currently deployed at a pilot scale, provides a continuous process that is scalable; and is a carbon neutral process.
Kolmar will be the exclusive marketer of volume from deployed Synpet technology, working with Synpet to bring to market upwards of 150ktes PA of circular feed by 2027, the first volumes will be available to market in 2025; from a series of planned deployments.
Owen Price-James who is the Consultant Director for Business Development at Kolmar says “the Chemicals Industry is in a paradigm shift concerning feed strategy, under growing pressure from consumers, legislation, and brand owners to use recycled plastic. Production of circular feeds such as pyrolysis oil, have the potential to grow significantly as a slice of cracker feed, especially in the EU where the commission green deal requires decarbonization and recycling from chemical producers.”
Mrs. Sandelowsky the CEO of Kolmar Group notes that “the industry both in Europe and globally will require a nimble marketer to manage volatility both in each region and inter regional arbs. This presents an opportunity to Kolmar to create service provision with access to pyrolysis oil, supply chain optionality, and optionality with cracker operators.” Mrs. Sandelowsky adds “Kolmar’s strategic intent is to build a material position as a marketer and service provider for renewable, circular fuel and low carbon feedstocks for the fuels and chemical industry. As well as its current manufacturing position in Biofuels in the US and its current investments in cellulosic technology to produce renewable diesel, Kolmar has targeted a material position in the development of circular chemical feeds. This will build upon Kolmar’s current business and core capability set, which both consolidates and speeds the delivery and development of the pyrolysis oil / circular feed market.”
Mr. Price-James commented “ as the market for pyrolysis, circular and renewable cracker feeds matures the industry will require service provision to balance operational volatility for both feed producers and cracker operators, to provide logistics infra-structure including tankage and loading facilities, to blend grades from multiple production locations to acceptable input grades for crackers [rather than single sourced oils to single crackers with no fungibility], and to upgrade/purify pyrolysis oils from a variety of sources and technology platforms into ‘main grade’ cracker feed.”
Kolmar intends to invest in selected projects to develop this industry leading position. Mrs. Sandelowsky commented that “Kolmar intends to invest in Synpet S.A a company with proprietary technology to manufacture circular naphtha a circular feed into chemical crackers. This investment supports Kolmar’s strategic ambition is to invest in renewable, bio and low carbon technologies to gain access to the associated products and markets, and to serve the chemical markets continuing and evolving needs.”
Mr. Cem Ozsuer, CEO of Synpet commented “We are very happy to have Kolmar on board both as an investor and marketer of our products. It shows the trust that they have in us as a team and the technology. It also proves that the market demand is present as long as there is a good quality product. We are looking forward to expanding the business together into different geographies in the future.”
Contact SynPet S.A. through:
Gunther De Backer
+32 475 903 909