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MANAGEMENT ASSE RECOVERY Expertise in Safety and Maximum Value Recovery ARUPDATE This newsletter introduces two projects carried out by Asset Recovery in Belgium in 2008 and allows clients and/or owners an opportunity to give their opinion. Hercules The first project involved the dismantling of the Hercules dicumyl per- oxide plant in Beringen. Hercules is a global manufacturer of a wide ran- ge of chemical products for the home, the office and the industry. Zero Harm and Zero Incidents are highly valued standards in Hercules’ code of business. A report of Asset Recovery’s safe completion of the Hercules project to their clients’ standards is given on pages 4 and 5. INEOS The deconstruction of the large INEOS polypropylene plant in Geel, Bel- gium, was rounded off safely. INEOS is the world’s third largest chemical multinational, manufacturing chemical products used in a wide variety of industrial sectors. The combined demolition and asbestos remediation complicated the INEOS project. Details on how Asset Recovery handled it are on pages 6 and 7. Expertise and Know-how Under Asset Recovery’s responsibility the projects were completed to the clients’ regulations and to all standards required by legislation. Tech- nically challenging, these projects have increased Asset Recovery’s ex- pertise and know-how, to be called forth in future projects. Safety first! Page 2 en 3 Hercules Page 4 en 5 Ineos Page 6 en 7 Growth strategies Page 8 CONTENTS Asset Recovery has established a solid track record of optimal results in the dismantling and demo- lition of idle plants and production units. During many years Asset Recovery has succeeded in incre- asing its expertise in safe value recovery from idle production units in the petrochemical, chemical, pharmaceutical, textile and energy industry. Number 1 - 2009 Rik Schrooten General Manager

Number 1 - 2009 ARUPDATE · Hercules Incorporated was established in 1912 and manufactures a wide range of chemical products for the industry, the home and the office. The company

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MANAGEMENTASSE RECOVERY

Expertise in Safety and Maximum Value Recovery

ARUPDATE

This newsletter introduces two projects carried out by Asset Recovery

in Belgium in 2008 and allows clients and/or owners an opportunity to

give their opinion.

Hercules

The first project involved the dismantling of the Hercules dicumyl per-

oxide plant in Beringen. Hercules is a global manufacturer of a wide ran-

ge of chemical products for the home, the office and the industry. Zero

Harm and Zero Incidents are highly valued standards in Hercules’ code

of business. A report of Asset Recovery’s safe completion of the Hercules

project to their clients’ standards is given on pages 4 and 5.

INEOS

The deconstruction of the large INEOS polypropylene plant in Geel, Bel-

gium, was rounded off safely. INEOS is the world’s third largest chemical

multinational, manufacturing chemical products used in a wide variety

of industrial sectors. The combined demolition and asbestos remediation

complicated the INEOS project. Details on how Asset Recovery handled

it are on pages 6 and 7.

Expertise and Know-how

Under Asset Recovery’s responsibility the projects were completed to

the clients’ regulations and to all standards required by legislation. Tech-

nically challenging, these projects have increased Asset Recovery’s ex-

pertise and know-how, to be called forth in future projects.

Safety first! Page 2 en 3

Hercules Page 4 en 5

Ineos Page 6 en 7

Growth strategies Page 8

C O N T E N T S

Asset Recovery has established a solid track record of optimal results in the dismantling and demo-

lition of idle plants and production units. During many years Asset Recovery has succeeded in incre-

asing its expertise in safe value recovery from idle production units in the petrochemical, chemical,

pharmaceutical, textile and energy industry.

Number 1 - 2009

Rik SchrootenGeneral Manager

MANAGEMENTASSE RECOVERY

Safety first!

The dismantling of a processing unit is a complicated and critical

project. Normally, companies themselves do not have the exper-

tise required for such projects, as it is very unlikely that projects

like these will occur often. Moreover, the activities involved hardly

ever belong to a company’s core business. With a view to corpo-

rate responsibility and because of their expertise and experience,

specialized companies like Asset Recovery are often hired to take

over the role of the owner. It is Asset Recovery’s core business to

engineer, supervise and execute the entire project safely and with

maximum value recovered. Professional management and stee-

ring of qualified contractors are essential for a successful and safe

completion of deconstruction projects.

Project management

Asset Recovery represents total project management. The over-

all preparation of the project, its engineering and execution in-

Dealing with hazardous substances may pose a risk on the workers and therefore requires effective

safety regulations and precautions. Safety, health and environment are too valuable to be put at risk

and deserve full attention. But how can safety, health and environmental issues be dealt with when

dismantling or demolishing chemical plants and production units?

Safe dismantling of chemical plants

cluding eventual clean up, are all taken care of. We are very well

aware of the potential hazards of chemical processes and the re-

quired safety precautions. Focussed on the chemical industry, we

have acquired this expertise over the past ten years.

Asset Recovery usually takes over entire projects from owners and

carries them out independently and under own responsibility, al-

lowing owners to focus on their core business, while deconstruc-

tion projects are executed in a professional and safe way.

Approach

Asset Recovery carefully aligns all phases of the projects, opera-

ting to highest safety standards. For each activity a contractor is

selected based on proven qualifications with respect to safety

and technology. Safe working conditions are crucial to a project’s

successful termination. Therefore, prior to each dismantling a

number of measures, together contributing to our zero incidents

approach, will be taken:

• A clear and detailed scope of work approved of by the owner

• A risk analysis for the overall project. This analysis is the basis

of the Project Safety Plan, to be approved by Asset Recovery

and the owner. The Project Safety Plan describes in detail the

required safety standards and working conditions. In addition,

a description of all the safety equipment, machinery and

personal protective equipment is included

• A schedule of activities for the dismantling and demolition,

synchronized with the Project Safety Plan

• Clear communication about the Project Safety Plan to all

concerned

• Well-structured site organisation

• Daily safety meetings and communication on day planning

• Weekly progress reports and safety meetings

• Toolbox meetings in case of unforeseen events

• Registration of staff members and visitors

• On-site Safety Supervisor and weekly safety controls by an

external Safety Officer

• Supervision on work progress, monitoring of planning

Asset Recovery is aware of the risks involved in dismantling and

demolition, hence attaches great value to clear communication

and meticulous supervision and monitoring, creating safe wor-

king conditions inspiring all workers to highest performances.

2 3

Summary:• Safety, health and environ-

ment are too valuable to be

put at any risk when

dismantling chemical plants

and production installations

• A responsible approach

demands total project

management

• Asset Recovery carries out

projects under its own

responsibility with maximum

safety and at maximum

value recover

Before After

Luc DeclerckProject Management

MANAGEMENTASSE RECOVERY

“Our aim is zero harm in any project.”

The dynamic market in which Hercules Beringen began its deve-

lopment in 1976 has changed completely since then. In that year

the large-scale production of polypropylene had begun, which

was later sold to Borealis. In that same period Hercules set up the

production unit for dicumyl peroxide, an additive used in the ca-

ble industry. Competition, mainly from the Far East, caused pro-

duction to be less profitable and in the end the production unit

was made idle. In 2007 it was decided to dismantle the plant.

Danger of Explosion

The dismantling should not jeopardize the zero harm objectives.

The entire site had been in operation to zero harm standards for

almost nine years. No one is more aware of the risks than Plant

Engineer and Safety Coordinator Julien Wouters, who has worked

at the Hercules Beringen plant since 1976. “Dicumyl peroxide is a

substance with a high risk of explosion, turning the dismantling

into a critical project. With respect to safety, Hercules is topping the

chemical industry charts. Our zero harm score greatly influenced

the choice of a partner for the execution of this project. A number

of companies had been invited to present their working methods,

Safety first. Hercules fully embraces the vision of the Responsible Care® Security Code program. The

high safety standards laid down in the Security Code by the American Chemistry Council do play an

important part in the company’s overall management. Hercules’ ideas on corporate responsibility

inspired them to select Asset Recovery for the dismantling of the dicumyl peroxide production unit

in Beringen.

Safe Dismantling at Hercules in Beringen, Belgium

their risk assessment methods and how they schedule activities.

Asset Recovery conclusively displayed the required expertise. We

also considered it very important to be closely involved in the

work process and the safety control. Our own safety inspectors

were involved during the execution of the entire project.”

Smooth Execution

“Prior to the dismantling all pipes were cleaned and physically

disconnected. But one is never 100% certain that no traces of

dangerous substances are left behind”, Production Supervisor Ivo

Vleugels says. “I was really worried about this, considering that

quite a lot of contractors apply grinding discs and cutting tor-

ches in projects like these. Asset Recovery and its subcontractors

proved that there are other ways. As often as possible pipes and

cables were cut without using heat. If anything had to be cut by

torch, this was done under well-insulated conditions. The entire

operation was carried out exactly according to the arrangements

made for the project.”

Optimum Recovery

Maintenance Foreman Jos Gielis is very happy about the execu-

tion of the entire project. “In spite of the high risks of the opera-

tion, it was executed perfectly according to plan. The entire work

had been done in a tight time frame and we ended up one week

ahead of schedule, and all this without a single incident! We main-

ly owe this success to the open and free communication with As-

set Recovery during the entire project.

Planning and safety results are very important, but these are not

the only profits the cooperation between Hercules and Asset

Recovery yielded. Julien Wouters says: “Of course, we lack the re-

quired expertise for projects like these. Asset Recovery carried out

the project under its own responsibility and at a guaranteed price,

thus creating optimum financial recovery for us.”

4 5

Hercules Incorporated

Hercules Incorporated was established in 1912 and manufactures a wide range of chemical products for the industry, the home and

the office. The company employs over 4.600 of staff worldwide. Hercules is part of a global enterprise operating in the paper and water

technology, with an annual USD 2 billion turnover. Hercules’ two main divisions are the Aqualon Group and the Paper Technologies &

Ventures Group, including the Beringen-based subsidiary. The Hercules Paper Technologies & Ventures group is the world’s largest sup-

plier of chemicals for the pulp and paper industry. Products manufactured in Beringen contribute to improved end product quality as

well as productivity.

Task for Asset Recovery

Dismantling of the idle plant for the production of dicumyl peroxide at the Hercules site In Beringen, Belgium.

Julien Wouters

“Asset Recovery conclusively

displayed the required expertise.”

Summary:• Asset Recovery successfully

completed the dismantling

of the dicumyl peroxide

plant at the Hercules site in

Beringen, Belgium

• The site has been in zero

incidents operation for

9 years

• Hercules’ zero harm

objectives weren’t in

jeopardy and the work

was concluded without

any incidents

Before AfterJulien Wouters Jos Gielis Ivo Vleugels

MANAGEMENTASSE RECOVERY

“Remediation requires flexibility”

The polypropylene produced by INEOS is used in automobile

parts and all kinds of appliances. Until recently two different pro-

duction processes were available at the plant in Geel. In the PP1

unit, now 30 years old, polymerisation took place in a liquid phase

while in the PP2 unit the polymerisation reaction happens in the

gas phase (no liquid involved). Due to its higher energy consump-

tion and the use of hexane as a solvent, the PP1 process posed

an additional environmental risk. Besides, the process was very la-

bour-intensive and no longer in line with the INEOS safety, health

and environment policy. This was reason for INEOS to proceed to

the dismantling in order to make room for new operations with

state-of-the-art technologies.

Project Management

The demolition of the PP1 was a large and complicated project for

INEOS. Procurement Specialist Wim Hollevoet did not think that

the coordination and the execution of such a project should be

carried out by INEOS. “We are not at all familiar with this kind of

projects. So we contacted a number of possible contractors for

the dismantling and demolition of the PP1. Asset Recovery stood

out from the other demolition contractors by their project ma-

It is not the kind of surprises a company likes being confronted with, but finding a considerable

amount of insulating material containing asbestos definitely requires a cold-blooded approach. Es-

pecially when you are in the middle of a demolition process. INEOS Polyolefins found in Asset Reco-

very a partner capable of handling the asbestos remediation energetically and simultaneously with

the first remediation process. Both teams worked well together.

Synchronized execution of remediation processes at INEOS in Geel

nagement. Most demolition contractors may have the technical

skills to dismantle a unit, but this project required additional skills

as well. A contractor has to be familiar with each and every phase

of the whole process in order to align the phases, requiring di-

versified expertise and Asset Recovery was able to convince us

of their added value. Asset Recovery has established a track re-

cord of projects in the chemical industry and is familiar with the

great demands made on safety, health and environment. Thanks

to their wide knowledge of the market they were the only ones

able to submit a tailored tender at favourable conditions.”

Unexpected Turn

In May 2007 the PP1 was made idle and it was decided that Asset

Recovery would execute the dismantling. The following month

Asset Recovery started the first activities. “It was clear from the

start that communication was open and free”, Michel Distelmans

remembers. As Mechanical & Reliability Engineer he functioned in

the role of project owner. “It was very important to us that our own

staff would be involved in the day-to-day supervision. Informa-

tion exchange and communication between Asset Recovery, the

demolition contractors and our own staff was performed at best.

How important it was, was demonstrated when the project took

an unexpected turn. The PP1 was disconnected completely from

its surroundings, an extensive safety plan was developed and an

external safety coordinator was hired with a good understanding

of the civil engineering aspects of the demolition. In spite of all

these preparations we were confronted with the problem of in-

sulating material around the pipes containing asbestos. Actually,

there was no mentioning of such a problem in the official docu-

ments we received when we took over the site. In the early nine-

ties a huge asbestos remediation project had been carried out.

Though Asset Recovery did not expect such problems, they were

handled very well. Thanks to their flexibility, the asbestos remedi-

ation project was started as a second project, alongside the other

remediation activities. To me this proved how important it is to go

for quality right from the start during the selection process.”

6 7

Ineos Polyolefins

INEOS manufactures a wide variety of chemical, petrochemical and oil products. This young enterprise became the world’s third largest

player in the chemical market, due to autonomic growth and a series of take-overs. The enterprise consists of 18 subsidiaries with 70

production sites in 14 countries. With its over 60,000 employees world wide, INEOS manufactures 60 million tons of chemical products,

achieving a USD 44 billion annual turnover. INEOS Polyolefins Geel shared an industrial estate (built by Amoco Chemicals in 1967) with

the BP Aromatics and Acetyls Group. Of its total 290 acres INEOS uses some 90 for the production of polyolefins, consisting of a wide

range of innovative products in HDPE, LLDPE, LDPE and PP.

Task for Asset Recovery

Dismantling of the 30-years-old plant for the production of polypropylene at the INEOS site in Geel, Belgium. The discovery of asbestos

in insulating materials resulted in an additional asbestos remediation project, which was to be carried out simultaneously with the dis-

mantling and demolition of the site.

Summary:• During dismantling activi-

ties at the INEOS polymerisa-

tion plant in Geel quite some

insulating materials contai-

ning asbestos were found

• Asset Recovery carried out

the asbestos remediation

project simultaneously with

the dismantling

• A well-coordinated

cooperation between INEOS

employees, Asset Recovery

and the contractors was

essential for a successful

execution

Wim Hollevoet

“Asset Recovery’s project

management gave them a

competitive edge over the

demolition contractors.”

Before AfterWim Hollevoet Michel Distelmans

MANAGEMENTASSE RECOVERY

Asset Recovery

Wezelhoevenweg 42

B-2400 Mol

Belgium

Tel: +32 478 907 944

Tel: +32 484 217 090

www.assetrecov.com

[email protected]

Service in new growth strategies in chemical,

petrochemical and pharmaceutical industry.

Enterprises in the chemical, petrochemical and pharmaceutical sectors

operate on a global scale, with establishments in many countries. The

stronger growth of capacities, and the corresponding investments, in

countries like Brazil, Russia, India and China – the so-called BRIC coun-

tries - is in line with the general shifts in the world economy.

Growth

The production shift affects the growth strategy of chemical, petroche-

mical and pharmaceutical industries in the Western industrialized coun-

tries. These sectors continue to aim at growth, both to a commercial and

a technical extent. Strong growth of the BRIC countries will no doubt

result in the closing down of old production facilities and replacement

with new economic activities in the Western countries. This strategy for

growth and the changing economic outlook allow Asset Recovery to

offer its clients maximum value recovery from idle units, in a safe and

professional way to the standards required by the industry and by legis-

lation.

Asset Recovery

The dismantling of a chemical plant is a complicated project, demanding

not only high-quality engineering, but also the skills to align all the pha-

ses of the project. Owners of idle production units hiring Asset Recovery

for such a task make a sound decision.

Asset Recovery takes full responsibility for a professional and financially

sound execution of the entire project. The extensive safety, health and

environmental risks involved are often unknown to the owner. Besides, a

company’s corporate image should never be damaged by such a project.

Asset Recovery offers a complete and economically sound solution.

New markets emerge, old ones disappear or change, and there is nothing new to that. The same goes

for the chemical, petrochemical and pharmaceutical industry. During the past few years investments

shifted from industrialized countries into the newly industrializing countries. An economic develop-

ment in which Asset Recovery services the professionalism to recover added value from idle produc-

tion plants.

Geographical shift of industrial focus