Chemical manufacturer Oxea is increasing production capacity up to 50 percent for neopentylglycol and carboxylic acids, to meet growing global demand. Carboxylic acids are mainly used in high-performance lubricants, and NPG is used as a building block in the production of synthetic lubricants.
In its announcement last week, the company also said a modified operation mode in its Oxo production facilities enables it to produce higher quantities of NPG raw material in Oberhausen, Germany, than before. At the same time, it expects to increase NPG capacity gradually by up to 50 percent. Oxea said it has also significantly expanded its carboxylic acid capacity by tailoring the manufacturing programs of its individual units to the products which the units are best suited to producing. The company did not specify its total capacity for NPG or carboxylic acids.
Through our measures, we were able to meet the surging demand of the world market at very short notice, said Miguel Mantas, the member of Oberhausen-based Oxeas executive board responsible for sales and marketing. In addition to expanding our current NPG production, we have commissioned feasibility studies for additional NPG production in other regions. We will continue to support our customers in their growth.
Competitor BASF has been busy expanding NPG capacity at its plants this year as well. The company in July announced the addition of 10,000 metric tons to its facility in Jilin, China, and in March an increase of 10,000 metric tons at the BASF facility in Ludwigshafen, Germany. Collectively they raise the Ludwigshafen-based chemical manufacturers global annual capacity to 165,000 metric tons.