Page 161 - CW E-Magazine (5-9-2023)

News from Abroad

DIVESTMENT PLANS

Shell taps Goldman Sachs to explore Singapore

refinery sale

Shell is considering a sale of its ing companies, Vitol and Trafigura. For
Singapore refining and petrochemical trading companies, the site is seen as a
plants as part of a broader strategic potential oil storage and distribution hub.
review and has hired investment bank
Goldman Sachs to explore a poten- The Bukom refinery, Shell’s only
tial deal, a Reuters report said quoting wholly-owned refining and petrochemi-
sources close to the matter. cals centre in Asia, can process 237,000
barrels per day (bpd) of crude. Built in
The global energy major’s new 1961, it was Singapore’s first refinery.
CEO, Mr. Wael Sawan, is targeting announced in June, as the group seeks The complex also houses a 1-mtpa ethy-
spending cuts over the next two years to repurpose its energy and chemical lene cracker and a 155,000-tpa buta-
to boost profitability while remaining parks globally to offer more low-carbon diene extraction unit. These are integra-
committed to achieving net zero emis- solutions to customers. ted with a monoethylene glycol (MEG)
sions by 2050. plant at Shell’s petrochemicals site on
According to the report, companies Jurong Island. In March, Shell decided
Those efforts include the review of that are reviewing Shell’s Singapore not to proceed with two projects it was
energy and chemicals assets on Singa- assets include Asia’s largest refiner, studying to produce biofuels and base
pore’s Bukom and Jurong islands, China’s Sinopec, as well as global trad- oils in Singapore.

BUSINESS STRATEGY

DuPont to divest 80% stake in acetal homopolymer

business

American conglomerate, DuPont, line with our strategic priorities while
has agreed to sell an 80.1% ownership providing an opportunity for DuPont
interest in its Delrin branded acetal to participate in future upside potential
homopolymer (H-POM) business to upon exit of our retained equity interest
New York-based private investment in the Delrin business,” he added.
firm, TJC, in a transaction valuing the
business at $1.8-bn. “Delrin is widely recognised as the
material of choice for safety critical and
TJC has received fully commit- non-controlling common equity inte- high cost-of-failure applications across
ted financing in connection with the rest in the Delrin business. diverse end markets,” said Mr. Ian
transaction, which is expected to Arons, TJC Partner. “For over 60 years
close around year-end 2023, subject to “The announcement largely com- the Delrin business has leveraged its
customary closing conditions and regu- pletes our planned exit of the former differentiated technologies and global
latory approval. M&M segment, advancing our position manufacturing presence to provide
as a premier multi-industrial company,” its customers high quality, innova-
At close, DuPont will receive pre- said Mr. Ed Breen, DuPont Executive tive solutions. We are thrilled to have
tax cash proceeds of approximately Chairman and CEO. “This transaction DuPont as a partner, and we look for-
$1.25-bn, subject to customary trans- is structured to maximise value for ward to working closely with the entire
action adjustments, a note receivable our shareholders, providing significant Delrin team to drive future growth in
of $350-mn, and will own a 19.9% cash proceeds at close to be deployed in the business,” he added.

Chemical Weekly September 5, 2023 161

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