the pha platform ...... extension and diversification - 6 april 2016
TRANSCRIPT
Fff The PHA platform ……
Extension and diversification
Jan Ravenstijn
6 April 2016
E-mail: [email protected]
Picture: Gehr Kunststoffwerk
Introduction Jan Ravenstijn 2
Experience: o 22 years Dow Chemical o 11 years DSM o 27 years R&D o 3 years Manufacturing o 15 years global R&D director executive positions in engineering plastics, epoxies, and elastomers businesses o 3 years USA and 4 years Germany o 3 years New Business Development Biopolymers platform at DSM
Current & recent activities: o Visiting professor Biopolymers at Eindhoven, Tsinghua and Dublin universities o Consultant to international (EU, US, Japan) biopolymer companies, biorefineries, OEMs o Consultant to investment and consulting companies o Completed an extensive global bioplastics review paper (January 2010) o Co-author of a bioplastics book for SMEs (Q1 2011) o Co-author of the global market studies of the nova Institute (Q2 2013 and Q2 2015)
Bio-based Materials Conference – 5-6 April 2016
T o p i c s
1. Introduction
2. The PHA product platform
3. Technology Push Market Pull
4. S.W.O.T.
5. Important lessons
6. Summarizing remarks
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1. A revolutionary change for the chemical industry
“At the beginning of the 21st century the chemical industry changes
from hydrocarbon-based to carbohydrate-based”
Small, but growing fast.
New platform chemicals are coming, but still have to prove themselves
succinic acid, levulinic acid, CO2 ……
Both, white biotechnology and chemo-catalytic conversion can be
exploited to the fullest.
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Bio-based Materials Conference – 5-6 April 2016
1. Will plastics be de-coupled from fossil resources?
“The New Plastics Economy Rethinking the future of plastics”
This report was presented at the World Economic Forum in Davos in
January 2016 and focused on packaging.
Alarming starting point:
78 million ton plastic per annum for packaging in 2013.
Only 14% is recycled.
25 million ton/annum leaks into the oceans 1-2 garbage truck per
minute. This will be 3-4 times as much by 2050 if no behaviour
change.
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1. Plastics forecast growth in a “business-as-usual” scenario
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Source: World Economic Forum report
1. Global flows of plastic packaging materials in 2013 7
Bio-based Materials Conference – 5-6 April 2016
1. Proposed approach
Circular economy: Increased prosperity The costs of debris and GHG emissions is estimated at 40
bn$, exceeding the plastics packaging profit pool.
Beyond incremental improvements.
New collaboration mechanisms Plastic packaging producers, NGOs, Legislators, After-use value chain.
Tasks: Eliminate the disadvantages: costs to society & environment.
Harness the benefits of plastics packaging.
Connect the developments of plastics packaging with the developments of after-use systems.
Thinking directions: Plastics never become waste.
After-use they re-enter the economy as technical or biological nutrient.
Plastic is de-coupled from fossil feedstock.
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1. Ambitions of the new plastics economy 9
Bio-based Materials Conference – 5-6 April 2016
Source: World Economic Forum report
1. Some comments mentioned the W.E.F. report
Today’s biodegradable plastics don’t measure up against the
challenges before us.
Need complementary innovation efforts for bio-benign plastic
packaging.
Need strong collaboration in new and existing value chains and
including parties involved in the after-use chain.
It is expected that this major change takes time, and……
The PHA product platform is specifically mentioned as new
technology unlocking new opportunities.
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Bio-based Materials Conference – 5-6 April 2016
1. So, what about PHA?
The simplest member, PHB, appears in nature more than 3 billion years already.
PHB was first discovered in bacteria in 1888.
PHB and 3HB are part of the metabolism of many organisms energy storage & nutritional value.
In 1925 PHB was isolated and characterized for the first time.
In 1988 it gained academic interest at large scale I.S.B.P. focus on PHA co-polymers for property design.
Scale-up efforts in the 90s were not successful.
Currently >30 companies active in development, manufacturing and scale-up.
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2. The PHA product platform is very diverse…
scl-PHAs P3HB, P4HB, PHBV, P3HB4HB, PHB3HV4HV.
P3HB P3HB4HB PHBV
mcl-PHAs PHBH, PHBO, PHBD.
PHBH:
lcl-PHAs Many varieties possible.
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scl: short chain length mcl: medium chain length lcl: long chain length
In addition PHAs have been designed with aromatic or C=C groups in the side chain.
2. …that means quite different sets of properties
PHA products range from amorphous to highly crystalline.
They go from high-strength, hard and brittle to low-strength, soft
and elastic Large property design space for the PHAs.
The 3HA building blocks in PHA create sensitivity for molecular
chain scission (onset at 160 oC).
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3HA Content (mol%)
Me
lt T
em
pe
ratu
re (
oC
)
PHB
PHBV
PHBHx
PHBOPHBD
PHBHx
PHBO
3HA Content (mol%)
Cry
sta
llin
ity (
%) PHBVPHB
PHBO
PHBOd
PHBHx
2. PHA unique selling points 14
Although the PHA product family consists of a broad range of products, a combination of the following USPs is generally applicable:
Boosts brand image o GHG-emission
o No competition with food chain (Wave II or GHG feedstock)
o No GMO in feedstock
Very versatile biodegradability characteristics o Aerobic Industrial & Home composting
o Marine & Soil degradability
o Anaerobic digestion
Compatibility o No coupling agents or other expensive additives required in blends or composites
o Excellent physico-chemical properties (printing, sealing, dyeing, barrier)
Bioresorbable
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2. PHA product platform
PHA products need an improved cost/performance balance & more visibility further down the value chain for market penetration.
Current use: Mostly with other polymers Film, I.M., 3D-pr, adhesives, additive.
Sales: About 1 kt in 2013 Volume began to develop in 2015 Value chain alliances accelerate biz.
Capacity 2009 - 2015: 76 kt/annum in 2009 Planning for 920 kt/annum by 2015 ! 2015 capacity was 68 kt/annum
Promotion: Multiple applications also durable Replacing olefinics , styrenics, PET
Current product lines: At least 9 different product families Cannot (easily) replace each other
Bio-based Materials Conference – 5-6 April 2016
2. PHA applications …… an innovation promise
The PHA polymer family cannot fully substitute any of the fossil-based polymer families (like PE, PP, Styrenics, PVC or PET/PBT), but can partly substitute many of them:
The accessible market for PHA is very large
Depending on the PHA type and grade it can be used for injection moulding, extrusion (also film), thermoforming, foam, non-wovens, fibers, 3D-printing, paper coating, glues, adhesives, as additive for reinforcement or plasticization or as building block in UPRs for paints or in PUR for foam:
Application developments are embryonic or early-growth
PHAs can be used in most thermoplastic and thermoset market segments. Initial reports from the market indicate that it is beginning to develop:
Alliances further down the value chain create “Market Pull”
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2. PHA applications … some examples (1)
PHA compounds have been developed for injection moulding
applications. Industry claims processing cycle times to be
comparable to PP compounds in some cases. However, the
compound prices are quite different today.
PHA compounds for blown film have shown good properties and
are on the market today. Food contact approval, required for food
packaging applications, could boost the market penetration. The
potential is hundreds of kilotons per annum if the
cost/performance requirements can be met.
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2. PHA applications … some examples (2)
PHA is very suitable for binders and adhesives see the next
presentation.
One type of PHA has been approved by FDA to be used as an
implant material for medical applications fibers for e.g.
sutures.
The new Pharmafilter waste management process for hospitals is
based on using many plastic items that can be shredded to go
through the hospital’s waste water system, where anaerobic
digestion takes care of all organic materials, including the PHA.
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3. PHA players move to balance “Technology Push” with “ Market Pull”.
For many years several PHA technology developers promoted their
new technology based on:
environmental benefits
low carbon footprint and/or
biodegradability
without sufficiently understanding the need of the plastics market for
cost/performance-competitiveness. Beyond that environmental
benefits are important indeed.
Since the experiences of the last 10 years, capacities and capacity
expansions are done more cautiously:
Build demand before you build capacity
The last few years many alliances have been and are being formed
throughout the value chain.
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3. Alliances in the Value Chain. 20
Markets
Biorefinery
Technology platforms
Vegetable
oils
Natural
fibers
Polymer
additives
Bio Based
Building
Blocks
BiopolymersCompounds
Formulations
Plastic
parts
Ne
w v
alu
e c
ha
in
1. Feedstock 2. Bio-Based
Building Blocks
3. Biopolymer
production
4. Compounds
& Formulations5. Plastic parts 6. Markets
At all positions one looks for improved price/performance balance compared to today’s products, however … this is different for each position:
Raw material suppliers aim for increasing the value of their (waste) streams; Compounders and part manufacturers aim for good processing performance; OEMs (Markets) aim for new product functionality and/or good brand image; Consumers aim for biodegradability performance and environmental advantages;
Alignment of players in the value chain is an accelerator for success.
Bio-based Materials Conference – 5-6 April 2016
3. Will PHA companies bring compounds to the market? 21
“Most compounders do not properly process my PHA polymers, despite instructions on how to do it, so I decided to develop and to make compounds myself and bring those to the market” Source: CEO of an American PHA company
PHA companies who developed polymers and compounds: Bio-On (Italy) - scl-PHAs
Meredian (USA) - mcl-PHAs
Metabolix (USA) - amorphous scl-PHAs
Newlight Technologies (USA) - scl- & mcl-PHAs
TerraVerdae (USA, Canada) - scl- & mcl-PHAs
Bio-based Materials Conference – 5-6 April 2016
3. Bio-On is very active to form alliances 22
Markets
Biorefinery
Technology platforms
Vegetable
oils
Natural
fibers
Polymer
additives
Bio Based
Building
Blocks
BiopolymersCompounds
Formulations
Plastic
parts
Ne
w v
alu
e c
ha
in
1. Feedstock 2. Bio-Based
Building Blocks
3. Biopolymer
production
4. Compounds
& Formulations5. Plastic parts 6. Markets
Bio-based Materials Conference – 5-6 April 2016
3. TerraVerdae broadened its PHA offering through a strategic partnership 23
Markets
Biorefinery
Technology platforms
Vegetable
oils
Natural
fibers
Polymer
additives
Bio Based
Building
Blocks
BiopolymersCompounds
Formulations
Plastic
parts
Ne
w v
alu
e c
ha
in
1. Feedstock 2. Bio-Based
Building Blocks
3. Biopolymer
production
4. Compounds
& Formulations5. Plastic parts 6. Markets
Bio-based Materials Conference – 5-6 April 2016
Universities , Companies, Research Institutes
3. Newlight Technologies has multiple licenses and partnerships 24
Markets
Biorefinery
Technology platforms
Vegetable
oils
Natural
fibers
Polymer
additives
Bio Based
Building
Blocks
BiopolymersCompounds
Formulations
Plastic
parts
Ne
w v
alu
e c
ha
in
1. Feedstock 2. Bio-Based
Building Blocks
3. Biopolymer
production
4. Compounds
& Formulations5. Plastic parts 6. Markets
Bio-based Materials Conference – 5-6 April 2016
BIOMER
4. PHA - Strengths
Versatile biodegradability, unlike most other bio-based polymers.
Can be fully based on renewable feedstock:
the choice of co-nutrients during production is important.
Can be bio-resorbable:
applications inside the body, energy storage for living organisms.
The platform has a very large design space for property tuning:
Thermosets and thermoplastics, can be crystalline or amorphous.
Good in-use heat resistance (like ABS) and hydrolysis resistance.
If biodegradability is a must, it’s very suitable for applications in a marine or sweet-water environment or if it ends up as debris in such environments.
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4. PHA - Weaknesses
Crystalline PHAs show very slow crystallization (like PP):
Long cycle times and post-crystallization, warpage. Additives
required to overcome.
Molecular chain scission above 160 oC:
Low melt temperature and low friction is a must during processing.
Longer side chains and lower crystallinity give products a larger
operating window.
Cost/performance balance not always competitive:
PHA prices still much higher than polyolefins, PET or
styrenics, but some PHA players claim cost/performance-
competitiveness, now or when at scale.
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Source: Paul Pereira – December 2014 Bio-based Materials Conference – 5-6 April 2016
4. PHA - Opportunities
Long-term the PHA manufacturing costs have to be about 1 €/kg at scale for large market access. The question is: “How?”
Extracellular fermentation of PHA polymers could be an important step among others for lowering the costs. Initial academic work needs further refinement and development.
A broad PHA product offering for meeting a variety of needs could give strategic advantages.
Excellent material for use in marine or sweet-water environments, but needs much application development work. Also, PHA containing debris in water would be much less of a problem:
There is no technology solution to compensate for a lack of
human discipline, though.
Strong alliances in the value chain, but also close co-operations in the after-use value chain will accelerate market penetration.
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4. PHA - Threats
Inability to bring the manufacturing costs down.
High polymer purity required for most, and food contact approval
for many applications.
Build demand before you build capacity, to avoid undesired
financial burdens.
Lack of competitive intensity for PHA product family members.
Underestimation of time it requires for certifications, registrations
and regulatory approval processes.
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Bio-based Materials Conference – 5-6 April 2016
5. Important lessons
Several PHA companies have had significant financial trouble due to
tremendous capacity under-utilization:
PHA market penetration has been very slow till now:
Cost/performance-balance to match market expectations:
Bring the after-use value chain on board as soon as possible:
Customers don’t want to be single-sourced:
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Build demand before you build capacity
Balance “Technology Push” with “Market Pull”
Environmental aspects are important beyond that
Consumers, NGOs, and politicians can accelerate when aware
Encourage some competitive intensity & supply security
6. Summarizing remarks 31
The PHA product platform becomes quite diverse: Crystalline & amorphous grades 9 product families For construction, adhesive, additive and thermoset applications
The market volume has begun to develop more significantly after years of struggling.
To bring a new polymer family in today’s plastic market requires strong alliances in the value chain.
Main challenges for the platform are to improve the product visibility to the end of the value chain and to demonstrate cost/performance-competitiveness to the market.
To fully benefit from the USPs of PHAs, the after-use value chain should be much more involved circular economy.
Bio-based Materials Conference – 5-6 April 2016
More detailed biopolymer and -monomer information ……
Please see the global database and the most recent global bio-based polymers and
monomers report of the nova Institute for product, production, market and company
details.
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Bio-based Materials Conference – 5-6 April 2016