Port of Antwerp Chemicals Overview

Antwerp Port AuthorityHavenhuisEntrepotkaai 12000 AntwerpBelgiumPhone: +32 (0)3 205 20 11Fax: +32 (0)3 205 20 28E-mail: [email protected]: www.portofantwerp.com

FedichemSquare Marie-Louise 491000 BrusselsBelgiumPhone: +32 (0)2 238 97 11Fax: +32 (0)2 231 13 01E-mail: [email protected]: www.fedichem.be

Port of AntwerpEurope’s World Scale Chemical Cluster

ANTWERP MUNICIPAL PORT AUTHORITY

FEDICHEMEver since the 18th century, Belgium has been a home basefor the chemical industry. Over the years, a highly diversified range of chemical industrial activities developedthroughout the country. Since the sixties, the impressivedevelopment of the Port of Antwerp has been of vital importance for the growth of the chemical industry in ourcountry. Massive investments by both Belgian and foreigncompanies in the petrochemical and other major sub-sectors of this industry boosted the expansion of a

world scale chemical cluster. This leaflet proves and illustrates that the Port of Antwerp houses the largestEuropean chemical industry cluster and probably the mostdiversified and integrated chemical production site ofits kind. It thus continues to be a prime location for companies looking for investment opportunities in theEuropean chemical sector.

A. Dieusaert - President Fedichem

INDEX

Preface . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

Port of Antwerp – Europe’s World Scale Chemical Cluster . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 - 5

Relative Importance of the Belgian Chemical Industry in the EU . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

Port of Antwerp – A Top Quality Cluster . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Increased European Market Share . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

Synergies from Operational Collaboration Between Companies. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

Excellent Infrastructure. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 - 11

Central Location for Easy Access . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Continuous Care for the Environment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13

Logistical Know-How . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Chemical Industry in Antwerp – Availability of Current & Future Industrial Sites . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Port of Antwerp – A Bird’s-Eye View . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 - 17

Port Authority & Fedichem . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

PREFACEPREFACE

During the last decades, the Port of Antwerp witnessed asignificant wave of industrial development. Through carefulplanning of the available land areas, the port was able toadopt a successful strategy that combined the benefits of aglobal logistics hub with an impressive concentration ofchemical production units. The cargo generated by thechemical industry and handled by the Port of Antwerpincreased dramatically. Moreover, many distribution centresdeveloped through industrial subcontracting, combiningthe excellent logistical know-how within the port area with

the competitiveness of what is now Europe's largest chemical cluster. Recent investments show that the existing synergies of port and chemical industry will further continue to stimulate industrial and logistical expansion.The Port of Antwerp is able to offer potential investors interesting siting possibilities. This will strengthen Antwerp’sposition as a world scale chemical centre in the heart of Europe.

Baron L. Delwaide - President of the Antwerp Port Authority

l Eur ope’ s World Scale Chem

ical Cluster

l Europe’s World Scale Chem

ical Cluster

Attracting investments in the chemical sector in WesternEurope has created new challenges for the centres locatedwithin this region. In addition to the basic requirements,there is an increasing demand for strategic integration ofchemical sites. Looking to the future, a clear vision andasset awareness will be key elements in securing these investments.

No less than ten of the world’s top 20 chemical producershave selected Antwerp as one of their main locations. Withfour steam cracker installations, the port provides a stablelocal source for ethylene and other basic chemicals, as wellas a surprisingly large diversity of chemical products.Antwerp is the main hub of the Western European pipeline

network. Not only does it provide logistical expertise, an excellent infrastructure, and a wide supply of service providers, but it also offers the potential for substantial growth.

Antwerp’s central position within North-Western Europemakes it a preferred location, offering excellent access tothe major European industrial centres and a wide potential consumer base. More then 130 million clients, representing47% of the total European purchasing power, are serviceablewithin a 500 km radius (or approx. 310 miles), the averagedaily distance covered by a truck.

When it comes to cluster quality, the Port of Antwerpdefinitely excels.

PORT OF ANTWERPEUROPE’S WORLD SCALE CHEMICAL CLUSTER

4 5

l Eur ope’s World Scale Chem

ical Cluster

7l Europe’s World Scale Chem

ical Cluster

Belgium represents only 2.7% of the total EU population and 3.2% of the European GDP; the Belgianchemical industry, however, covers more than 8% of thetotal European turnover in this sector and accounts fornearly 17% of European exports of chemical products.

Between 1991 and 2002, the average European annualproduction growth within the chemical sector was 3.4%.Belgium, however, recorded an average yearly increase of5.4%. This figure is the highest of the BIG7-countries,(Germany, France, United Kingdom, Italy, Belgium, Spainand the Netherlands), United States and Japan, with onlyIreland performing better.

14% of all European chemical exports to outside the EUoriginate from Belgium, which is also the third largest chemicals exporter in the world behind the United Statesand Germany. Between 1991 and 2002, the average annual Belgian export growth was almost 25%. The largeexpansion in distribution activities has contributed largely tothis growth. Considering 1/3 of the Belgian chemicalindustry is located within the port area, Antwerp playsa prominent dual role on the European market, acting bothas a production and as a logistics centre.

PORT OF ANTWERP – A TOP QUALITY CLUSTER

When it comes to cluster quality, the Port of Antwerpdefinitely excels.

Regarding base products, it should be noted that the port hasfive refineries, including two of the top 10 European productionunits. Above all, however, it has four ethylene crackers and istherefore considered to be one of the pillars of the productionof basic chemicals in Europe.

Antwerp has a capacity of 1,960,000 million tonnes ofethylene per annum, or 9.2% of the total European capacity.It also generates 11.8% of the total European propylene output.

A comparison of the six major petrochemical commodities,the so called “big six” (ethylene, propylene, butadiene,benzene, toluene and xylene), reveals that Antwerp, witha cumulative output of 4.793 million tonnes, is Europe's largestpetrochemical commodities centre.

Production Western Position in Tonnes European European

Market Share Market

Ethylene 1,960,000 9.2% 1

Propylene 1,695,000 11.8% 1

Butadiene 303,000 10.8% 1

Benzene 680,000 7.6% 2

Toluene 100,000 4.3% 5

Xylene 55,000 – –

6

Belgianpopulation

Employment Investments Turnover Exports

Belgian chemical sector

0

2

4

6

8

10

12

14

16

18

%

2.73%

5.98%5.73%

8.43%

14.12%

RELATIVE IMPORTANCE OF THE BELGIAN CHEMICAL INDUSTRY IN THE EU


ical Cluster


ical Cluster

Located in the competitive region that is Western Europe,Antwerp has proven itself to be a key growth region, resulting in new chemical investments as well as numerousexpansions of existing facilities.

While the Western European chemical industry grew from 26 million tonnes per annum in 1976 to 64 million tonnesper annum in 2000, Antwerp’s market share increased from14% to 17% in the same period.

1976 1980 1985 1990 1995 2000

Antwerp

Ludwigshafen

Rotterdam

Stade

Tarragona

Terneuzen

Wesseling

Wilton

Major Western European Petrochemical Capacity By Location

Million Tonnes per year

0

10

20

30

40

50

60

70

SYNERGIES FROM OPERATIONALCOLLABORATION BETWEEN COMPANIES

PLANT ENVIRONMENT

INCREASED EUROPEAN MARKET SHARE

Careful planning of industrial zones, pipeline streets and adedicated chemical logistics infrastructure in zones along theriver Scheldt has had an impressive effect on the operationalintegration of neighbouring companies and logistics providersin the port area.

The cluster’s overall diversification, in addition to the highdegree of collaboration between companies, has generateddifferent forms of integration and site lay-out. The linksbetween refineries and cracker installations, the ongoingexchange of feedstocks, as well as the communal use of energy and utilities, all contribute constantly in creating newand unexpected opportunities for companies wishing to participate in this cluster.

Successful businesses are at the heart of every economy.The Antwerp Port petrochemical complex offers its investorsnot only an excellent location, but also the framework for ahealthy industrial investment climate.

The Belgian and Flemish Government, therefore, offer tangible incentives, tailor-made to suit different projectrequirements and in accordance with European legislation.

The business and investment policy is geared to establishingan attractive and financially stable environment for companieslocated in Antwerp.

The Port Authority cooperates with the Belgian and Flemishauthorities to offer made-to-measure investment solutions.

BUSINESS ENVIRONMENT

9

A current capacity of around 15.9 million tonnes produced perannum makes Antwerp the highest mass/quality petrochemicalcluster in Western Europe.

Since more than 300 chemicals are produced locally,opportunities for new companies to participate in the synergiesgenerated by this cluster are considerable.


ical Cluster


ical Cluster

There is also a connection between Antwerp and Feluy (ethylene and propylene).

Within the port itself, pipelines represent the mostimportant transportation mode for product exchangesbetween companies. The Left and Right Bank areconnected to this network via five pipeline tunnels runningunder the river Scheldt. The intensive usage of thissystem allows for minimal distribution costs within a safeenvironment and offers easy, low-cost integration intothe cluster for all new companies.

EXCELLENT INFRASTRUCTURE

One of the main benefits of establishing a facility in the port is the possibility to integrate the facility into the existing industrial infrastructure and logistics service providers.

The chemical industry in Antwerp generates a total cargo volume of almost 140 million tonnes. The Port of Antwerp,Europe's second largest, offers a fast growing platform for thesafe and efficient transportation and distribution of chemicals.

The modal split of the Antwerp port transportation shows a clear focus on environmentally friendly, safe and congestion-free transportation modes.

Specifically, the Port of Antwerp is the main junction in the Western European pipeline network. This transportationmode offers chemical companies in Antwerp an affordable and reliable transportation option for the supply and the distribution of their products.

Whether one considers ethylene, propylene or CO, Antwerpcombines the benefit of a significant local production with itscentral geographical position to profile itself as a hub in thepipeline system. For commodities as well as industrial gases,Antwerp is at the crossroads of all major common carrierpipeline connections.

Antwerp is connected with Rotterdam through theRotterdam-Antwerp-pipeline (RAPL), which supplies crude oil.Naphtha is pumped through the PALL (Pipeline Antwerp-Limbourg-Liège) between Antwerp and Geleen. Antwerp is a major contributor to the Äthylen Rohrleitungsgesellschaft(ARG) network which distributes ethylene to all of WesternEurope. Additionally, Antwerp is connected to thepropylene pipeline between Terneuzen and Geel, to theEuropean natural gas network and to the NATO pipeline.

P A R IS

Industrial gases pipeline

Ethylene pipeline

Propylene pipeline

Propylene pipeline in study

Refinery

Olefins consumer(s)

Refinery + olefins producer

Steam cracker

The Hague

RotterdamPernis

RheinbergMarl

Gelsenkirchen

Duisburg

LeverkusenCologne

Bonn

Wesseling

Frankfurt

Ludwigshafen

Karlsruhe

100 km

Moerdijk

Meerhout

ANTWERPTessenderloBeringen

LiègeJemeppe

BRUSSELS

LUXEMBOURG

NORTH SEANETHERLANDS

FRANCEBELGIUM

GERMANY

LUXEMBOURG

Geleen

Feluy

Flushing

DunkirkGhent

Terneuzen

Amsterdam

Antwerp - Northern European pipeline hub

More than 300 chemicalsare produced in Antwerp.

Naphta

LDPE

HDPE

EDC

EO/EG

EB

SBR

Isocyanates

Cyclohexane

Caprolactam

Ethylene

Aniline

Crackers

PP

Phenol

395

480

25

450/510

3

25

110

Propylene

1,960

1,695 Butadiene

303 Aromatics

Benzene 680Toluene 100Xylene 55

335

30

460Gas, etc

420

380

Chemical Industry Blueprint of the Port of AntwerpFigures x 1.000 tonnes

Modal split chemicals

l Eur ope’ s World Scale Chem

ical Cluster


ical Cluster

A substantial rail network within the Port of Antwerp,representing 1,000 km (approx. 625 miles) of track offeringdirect access to all sites and terminals is available.Thanks to its impressive infrastructure, Antwerp, as the largestrail port in Europe, provides the rail facilities the chemicalsector requires.

Apart from the numerous tank containers handled at thechemical shunting stations, 14 dedicated block trains forpetroleum or chemical products depart or arrive daily at thePort of Antwerp.

The Port of Antwerp is also directly linked to themain junctions in the European highway network. Centrallylocated, Antwerp offers excellent lead distance andtravel times for road transport to the major European economic regions.

Antwerp offers excellent access to the North Europeaninland waterway system, linking the port directly to the mostimportant industrial zones of Germany, the Netherlands,France and Switzerland.

The Flemish environmental legislation offers a set ofclear procedures to obtain all necessary permits tostart operations.

These regulations are in line with international legislationand European directives and usually require a safety impactstudy as well as a building and environmental permit before

start-up. Both permit procedures run parallel according to afixed time schedule.

Other future requirements regarding emissions suchas greenhouse gases are covered by benchmarkagreements with authorities, focusing on the use of bestavailable technology.

CONTINUOUS CARE FOR THE ENVIRONMENT

12

CENTRAL LOCATION FOR EASY ACCESS


ical Cluster


ical Cluster

LOGISTICAL KNOW-HOW

The Port of Antwerp offers a major advantage comparedto a number of other maritime chemical centres, in the diversity and superior quality of its tank storage possibilities.

The Antwerp tank storage service providers offer a complete range of tanks designed for the storage of bulk liquids ranging from only 10 m3 to 50,000 m3. These terminals handle all types of bulk liquids and gases, using avariety of equipment such as carbon steel tanks for chemical products and petroleum derivatives, stainlesssteel tanks for demanding products, refrigerated or heatedtanks, spheres for chemical pressurised gases, stainlesssteel reactors, carbon steel vessels, fully automatedwarehousing for drums and IBCs.

With a total of more than 3.6 million m3, the Port ofAntwerp holds an excellent position in independent tankstorage capacity. Totalling 1,474 storage tanks, Antwerp isa major European commodity centre in terms of the numberof available units. Moreover, the storage capacity of thestainless steel tanks totals 164,147 m3, making Antwerpthe market leader worldwide for this type of highly sophisticated tanks.

With 36 million tonnes of liquid chemicals handled in2001, the Port of Antwerp has a clear focus on chemicalsdistribution, in which it currently holds the strongest positionin the Hamburg-Le Havre range.

We are proud to have a highly service-oriented range of tankstorage providers in the port. Eight tank storage companies offer logistical services ranging from LPG, LNGstorage to drumming and blending. All of them share thesame dedication to quality and flexibility, coupled with a degree of healthy competition, which makes Antwerp recognised as a cost-competitive distribution location.

Antwerp's specialised storage facilities for hazardouscargo total 150,000 m3 and meet the most stringent national and European standards for fire prevention, firefighting and industrial and environmental safety. Storagecompartments are separated by fire-resistant walls, foamand sprinkler installations are provided, there is adequateventilation and explosion-safe materials are used. In orderto prevent soil contamination, the warehouses are built withsufficient liquid retention capacity to hold both spiltproducts and fire-fighting water in the event of fire.As a further precaution the floors were made impermeable.

Six companies specialise in the storage, handling andrepackaging of plastic granulates. Bagged plastics are stored on pallets or in numerous warehouses around theport offering some 300,000 m3 of granulates storage.

Currently available land suited for new chemical development is located throughout the port area and offersboth Greenfield as well as industrial host site possibilities.

The Port Authority currently offers some 50 ha of Greenfield sites, located within the cluster and connected tothe main pipeline corridors.

Furthermore, the Port Authority estimates that some 225 ha of Greenfield space is to be allocated to the industry over the next two decades.

In addition to the Port Authority, three industrial host sitesare actively looking for new partners to co-site and exploresynergies in production and distribution.

CHEMICAL INDUSTRY IN ANTWERPAVAILABILITY OF CURRENT & FUTURE INDUSTRIAL SITES


ical Cluster


ical Cluster

PORT OF ANTWERP - A BIRD'S-EYE VIEW

Tank Storage Area (Liquids & Gases)

Industrial Area

Host Site

Current Greenfield Site


ical Cluster

PORT AUTHORITY

FEDICHEM

The Antwerp Municipal Port Authority administers the portarea as a public company, assisting its customers with theirinfrastructural requirements. Its board of directors, inmajority composed of members of the Antwerp CityCouncil, represents the public interest. By means of jointventures, the Port Authority can also play an increasing rolein important areas such as infrastructure or hinterlandconnections. By optimising the efficient use of land and bypromoting the possibilities of the Antwerp region, the PortAuthority is working together with its clients to maximise thetrade and industrial development potential of Antwerp.

Antwerp Port AuthorityHavenhuisEntrepotkaai 12000 AntwerpBelgiumPhone: +32 (0)3 205 20 11Fax: +32 (0)3 205 20 28E-mail: [email protected]: www.portofantwerp.com

The chemical industry in Belgium offers a wide and highlydiversified range of chemicals. It covers a very mixed andmultifaceted sector including organic and inorganic basicchemistry and fertilizers; parachemistry (paints, varnishes,printing inks, mastics, wood protection products; humanand veterinary pharmaceuticals); greases and oils, soaps,detergents, cosmetics, perfume, toiletry and hygiene products, products for industry, agriculture and gardening; rubber and plastics processing; biotechnology; collection,treatment and recycling of waste; chemical engineering;research testing and analysis laboratories, and many others.

Fedichem, the Federation of the Belgian ChemicalIndustries, is the representative body of the chemical sector in Belgium and groups more than 750 member companies employing about 98,000 people and realisingsales of over 44 billion euro in 2002.

Besides its functional centres of competency, Fedichemcomprises 3 regional divisions and many organised professional sections. This structure enables the optimisation of service to member companies and supportstheir development.

You will find additional information about the chemicalindustry in Belgium and its member companies on our website and in the following publications, available uponrequest and downloadable from our site www.fedichem.be(language between brackets):

• Activity Report (French, Dutch)• Brochure: “The Chemical Industry in Belgium”

(English, French, Dutch)

• “Facts & Figures of the Chemical Industry in Belgium”(English)

• Brochures: “What is a Chemical Product?”, “ChemistryImproves Sporting Performances”, “Chemistry inSpace” (French, Dutch); “No Sustainable Developmentwithout Chemistry” (French, Dutch); “Chemistry andColour” (French, Dutch); Chemistry Helps in Creating theCar of Tomorrow (French, Dutch); and the series “You and Chemistry”, consisting of thematic documentsintended for teachers (French, Dutch).

Anyone interested in buying chemicals, from commoditiesto the most sophisticated products, can find information inthe Fedichem directory on the Web. See www.fedichem.be, under “Members”.

FedichemSquare Marie-Louise 491000 BrusselsBelgiumPhone: +32 (0)2 238 97 11Fax: +32 (0)2 231 13 01E-mail: [email protected]: www.fedichem.be

On this site, you will find a multitude of interesting links tothe different industrial and academic chemical activities andbodies in Belgium and worldwide. Also visit these popularFedichem sites: www.belgochlor.be, www.belgobiotech.be,www.periodictableonline.org (Mendeljev’s Table).

Documents

Port of Antwerp Chemicals Overview