Subscribe to

NexantThinking
Special Report: Evolving Propylene Sources Solution to Supply Shortages?
Report Overview
Subjects addressed:
An assessment of the main alternative on-purpose
technologies comprising a review of the technologies,
licensors, and commercial experience

Technology, economic and commercial evaluation.

Economics of alternate routes and feedstocks to

propylene along with a comparison to conventional
routes.

Discussion on the current North American propylene

shortage focusing on causation and consequences.

Global propylene supply/demand outlook.

U.S. propylene supply tightened considerably in 2010 and

2011 due to the increase in ethane cracking and decrease
in heavy liquids steam cracking, while propylene demand
increased as the economy continued to recover from the
effects of the 2008/2009 recession. Consequently, the
propylene to ethylene price ratio increased to above 1.5
in 2011, indicating skyrocketing propylene prices. This
supply/demand imbalance and its effects on price will
only be exacerbated with continued exploitation of shale
gas deposits and the resulting increased use of lighter
feedstocks in crackers. While the shale gas reserves do
not directly affect Europe, LPG cracking in Europe makes
propylene shortages a real possibility there.
To address issues of propylene availability, Nexant has
prepared a new multi-client report which examines and
compares the process technologies and economics of
conventional as well as newer on-purpose commercial
technologies, such as propylene via biomass.
Additionally, the report includes an exploration of the
causes and effects o
 f the current propylene shortage in
North America and ways in which these new sources of
propylene may supplant conventional sources.

The report investigated and evaluated the following

technologies:

--

Conventional steam cracking

--

Off gases from Fluid Catalytic Cracking units in

refineries

--

Catalytic Cracking: Selective Olefin Cracking,

Catalytic Pyrolysis, Deep Catalytic Cracking

--

Enhanced (High Severity) FCC

On Purpose Technologies:
--

Propane Dehydrogenation

--

Metathesis

--

Selective Olefin Cracking

--

Methanol to Olefins/Methanol to Propylene

Bio-Propylene:
--

Corn or Sugar Fermentation (Ethanol Based)

--

Biomass Gasification

--

Switchgrass based

The evaluation of the above technologies included existing

technology developers as well as those new to specific
technologies. Alternate feedstock technologies using natural
gas, coal, corn, sugar, switchgrass and biomass were analyzed
using only information that is in the public domain or was
developed by Nexant from non-confidential information.
Nexant also provided an analysis on the current propylene
situation in North America, including an in-depth discussion
of the various factors that have led to the current propylene
shortage and possible solutions based on alternative supply
sources.
For further information or to purchase the Evolving Propylene
Sources - Solution to Supply Shortages? report, please
contact STMC@nexant.com.

NexantThinking Programs provide subscribers and users with comprehensive analytics,

forecasts and insights for the energy, chemicals, polymers and clean tech industries
For more information, please visit us at: http://thinking.nexant.com

Conventional Technologies:

NexantThinking

The future of energy and chemicals

NexantThinking is a suite of advisory

services and products with exclusive
focus on the energy, chemicals and
related industries. This includes a
portfolio of multiclient programs,
formerly known as ChemSystems,
which provides comprehensive
reports, analysis and planning tools
to support decision making with a
focus on markets, economics and
technology.
Global in scope, Nexant serves its
clients from over 30 offices located
throughout the Americas, Europe, the
Middle East, Africa, and Asia.
Subscribe to our thought leadership
today and explore our products and
services at:
http:://thinking.nexant.com/

Nexant Headquarters
Nexant, Inc.
Tel: +1 415 369 1000
101 2nd St Suite 1000
San Francisco
CA 94105-3651
USA

Europe, Middle East

& Africa
Nexant Limited
Tel: +44 20 7950 1600
1 Kings Arms Yard
London EC2R 7AF
United Kingdom

Americas
Nexant, Inc.
Tel: +1 914 609 0300
44 S Broadway, 4th Floor
White Plains
NY 10601-4425
USA

Asia Pacific
Nexant Asia Limited
Tel: +662 793 4600
22nd Floor, Rasa Tower I
555 Phahonyothin Road
Kwaeng Chatuchak
Khet Chatuchak
Bangkok 10900
Thailand