arlanxeo – strong global synthetic rubber...
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ARLANXEO – strong global synthetic rubber playerARLANXEO at K 2016
Jan Paul de Vries, CEO ARLANXEO Düsseldorf, June 28, 2016
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Safe harbor statement
The information included in this presentation is being provided for informational purposes only. This presentation contains certain forward-looking statements, including assumptions, opinions and views of the company or cited from third party sources. Various known and unknown risks, uncertainties and other factors could cause the actual results, financial position, development or performance of any of the ARLANXEO Group entities to differ materially from the estimations expressed or implied herein. None of the ARLANXEO Group entities guarantees that the assumptions underlying such forward-looking statements are free from errors nor do they accept any responsibility for the future accuracy of the opinions expressed in this presentation or the actual occurrence of the forecast developments. No representation or warranty (expressed or implied) is made as to, and no reliance should be placed on, any information, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and accordingly, no representative of any ARLANXEO Group entity or any of such entity’s officers, directors or employees accept any liability whatsoever arising directly or indirectly from the use of this document.
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ARLANXEO – a global leading synthetic rubber company
ARLANXEO name: combining one syllable each of Saudi Aramco and LANXESS; ending “EO” refers to elastomers
Background: � ARLANXEO: Joint venture formed by LANXESS and Saudi Aramco;
Start-up April 1, 2016� A world-leading synthetic rubber company: development,
manufacturing and marketing of high-performance rubber
Global set-up:� 20 plants in nine countries� ~3,800 employees worldwide� Global sales of ~2.8bn € in 2015� Corporate Headquarters: Maastricht, Netherlands
Business Units:� Tire & Specialty Rubbers� High Performance Elastomers
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ARLANXEO – a powerful combination
ARLANXEO – Performance Elastomers
� World’s largest integrated energy enterprise
� Backward integration into feedstock for synthetic rubber
� Strategic commitment to further develop value chain downstream
� Leading market and technology positions in synthetic rubber
� Well invested asset base
� Broadest product portfolio in the rubber industry with leading brands and quality
A leading player in synthetic rubber
A leading player in feedstocks
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Saudi Aramco – the world’s largest energy player ext ends its business downstream
Company Business Downstream commitment
Saudi Aramco targets to be the world’s leading inte grated energy and chemicals company by 2020
� Headquarters: Dhahran, Kingdom of Saudi Arabia
� Employees: ~62,000 globally � State-owned (100%)
� Represented in all major global energy markets
� World’s largest integrated energy enterprise* - producing 1 in 8 barrels of oil globally
� World’s largest oil production capacity
� World scale integrated chemical complexes
� A world leading producer of natural gas
� Powerful partnerships to extend downstream business, e.g.:
− SATORP (JV with Total) and further expansions
− Sadara (JV with Dow): Naphtha based chemicals value chain (start up Q3 2015)
− and further global projects
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ARLANXEO established new structures within a short period of time
� ARLANXEO Executive Board announced and Shareholders’ Committee established
� ARLANXEO Country representatives (Managing Director and CFOs) nominated
� ARLANXEO support functions established
� Headquarters in Maastricht, Netherlands, officially opened (June 22, 2016)
ARLANXEO launched on April 1 Headquarters building in Maastricht, Netherlands (2nd floor)
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Synthetic rubber* capacity
Backward integration � � � � � � �
* Butyl, SSBR, ESBR, Nd- Co-, Li-, PBR, EPDM, (H)NBR, CR, EVM
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ARLANXEO – synthetic rubber operations now benefit f rom backward integration
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ARLANXEO – synthetic rubber businesses for a wide ra nge of applications
Primarily used in inner liners, treads and sidewall s of modern, fuel-efficient tires as well as non-tire
applications
High Performance Elastomers (HPE)Tire & Specialty Rubbers (TSR)
For a wide range of technical applications (e.g. se als, hoses, profiles, cable sheathing, special films and
adhesives)
Butyl rubbers ~400kt
PBRs/SBRs >1,000kt
EPDM ~450kt
(H)/NBR >130kt
CR >60kt
EVM ~15kt
* PBR/SBR= Polybutadiene rubber / Styrene butadiene rubber, EPDM = Ethylene Propylene Diene Monomer, (H)NBR= (Hydrated) Nitrile butadiene rubber, CR= Chloroprene rubber, EVM= Ethylene vinyl acetate rubber
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ARLANXEO on the K fair exhibition
� ARLANXEO booth with ~250m² including exhibition area, information desk and two meeting rooms
� First ARLANXEO booth on K will represent diverse range of synthetic rubbers applications focusing on: new products, mobility, leisure and green
K trade fair location: hall 6
Draft version
Draft version
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ARLANXEO’s Executive Board – long-standing internati onal management experience
Jan Paul de VriesChief Executive Officer (CEO)
Ali Ba-BaidhanChief Financial Officer (CFO)
Jorge NogueiraMember of the
Executive Board
Fayez AlsharefChief Procurement
Officer (CPO)
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ARLANXEO Shareholders’ Committee
Matthias ZachertChairman of the Shareholders’
Committee
Michael PontzenShareholders’
Committee Member
Warren W. WilderVice Chairman Shareholders’
Committee
Khalid H. Al-Dabbagh
Shareholders’ Committee Member
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More than 100 years of experience in performance elastomers
2008 –2012
1909Fritz Hofmann invented synthetic rubber
1930BUNA registered as trademark
1955Foundation of Marl, largest and most modern synthetic rubber plant in Europe 1975
First production of Brominated Butyl Rubber
1939Isobutylene copolymerized with isoprene making Butyl Rubber ”cross-linkable“
1936Start of industrial production of SBR (BUNA)
1929Invention of
butadiene styrene copoly-
merization to produce SBR
1943Synthetic rubber production exceeded 120kt p.a.
1961First production of Chlorinated Butyl Rubber
1944Butyl rubber production in Sarnia (Canada) started
2004Spin-off of LANXESS
from Bayer
2008Acquisition of Petroflex
2010Groundbreaking for new Singapore site
1990Acquisition of Polysar
Selected milestones in our history
2013Butyl SGPopening
2015EPDM CHN opening
Nd-BR SGPopening
2016ARLANXEO starts –JV of Saudi Aramco
and LANXESS
2011Acquisition of DSM Elastomers