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DOW AND CRYSTALSEV ANNOUNCE PLANS TO MAKE POLYETHYLENE FROM SUGAR CANE IN BRAZIL

Renewable Resource Used in Production Process Will Significantly Reduce Carbon Footprint The Dow Chemical Company, the world’s largest producer of polyethylene, and Crystalsev, o­ne of Brazil’s largest ethanol players have announced plans for a world-scale facility to manufacture polyethylene from sugar cane.
 
Dow and Crystalsev will form a joint venture in Brazil to design and build the first integrated facility of its scale in the world. It is expected to start production in 2011 and will have a capacity of 350,000 metric tons. The venture will combine Dow’s leading position in polyethylene with Crystalsev’s know-how and experience in ethanol to meet the needs of Dow’s customers in Brazil and what will likely be international interest.

“We are excited to partner with a great company like Crystalsev to build the first world-scale polyethylene facility that will use a renewable feedstock,” said Andrew Liveris, chairman and CEO of Dow. “This project is a prime example of how Dow’s innovation and industry leadership are creating outstanding opportunities to drive forward our strategic growth agenda in a way that fully supports our 2015 Sustainability Goals commitments.”
 
The new facility will use ethanol derived from sugar cane, an annually renewable resource, to produce ethylene – the raw material required to make polyethylene, the world’s most widely-used plastic. Ethylene is traditionally produced using either naphtha or natural gas liquids, both of which are petroleum products. It is estimated that the new process will produce significantly less CO2 compared to the traditional polyethylene manufacturing process.
 
The new facility will use Dow’s proprietary Solution technology to manufacture DOWLEXT polyethylene resins – the world’s leading linear low density polyethylene, which combines toughness and puncture resistance with high performance and processability. The material offers significant advantages in a range of different applications, including pipes, films, membranes, and food and specialty packaging.
 
At a molecular level, the joint venture’s product will be identical to the DOWLEXT polyethylene resins manufactured at other Dow facilities. The advantage of this material versus most renewable resource-based plastics is that customers will be using a drop-in replacement made with a renewable resource not a different polymer altogether. Also, like the traditional PE product, the sugar cane-based polyethylene would be fully recyclable using existing infrastructure.
 
About Dow
Dow is a diversified chemical company that harnesses the power of innovation, science and technology to constantly improve what is essential to human progress. The Company offers a broad range of products and services to customers in more than 175 countries, helping them to provide everything from fresh water, food and pharmaceuticals to paints, packaging and personal care products. Built o­n a commitment to its principles of sustainability, Dow has annual sales of $49 billion and employs 43,000 people worldwide. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted.
 
Dow has operated in Brazil since 1956 when it established a Latin America headquarters in São Paulo. As Dow has expanded, so has its presence in Brazil with 21 locations, including manufacturing plants, business centers and research and development facilities. Dow has 2,100 employees in Brazil.
 
About Crystalsev
Crystalsev is a 100% Brazilian group that commercializes products made from sugar cane through three areas: providing of services to mills; commercialization of sugar and alcohol; and trading – purchase, resale and management of assets. The Group produces 1.8 million tons of sugar, which corresponds to 8% of all sugar manufactured in Brazil, and employs 30,000 people. Crystalsev operates in several regions in the country through 13 companies that, together, form the second major producer of sugar cane in Brazil. Its management system is used as a model in the sugar & alcohol industry.

For additional information about Crystalsev, please visit   www.crystalsev.com.br