Away from chemistry, chemical companies have even shifted their entire strategic di- rection to focus on the energy transition with divestments validating their actions. As an example, Johnson Matthey has divested assets to refocus the company toward clean air technologies, particularly automotive catalysts, and Indorama has acquired Oxiteno in South America to leverage “sustainable resources, such as corn and ethanol, and renewable energy sources,” highlights Alastair Port, executive president, Indorama Ventures - Indovinya.
Circularity, carbon capture and processes to create more efficient and sustainable fuels are becoming more widespread within the industry. Air Liquide's CryocapTM technology can capture over 99 percent of CO2 emissions from key industrial processes. Mike Graff, chairman of American Air Liquide, explains, “This technology combines membranes and cryogenics to purify and liquefy CO2 in a sin- gle unit, making it ready for sequestration or transport without the need for multiple steps.” Despite its potential, widespread adoption of carbon sequestration faces hurdles. Graff notes, “The pace of carbon sequestration adoption is influenced by several factors, including technological readiness and the development of partnerships. The challenge lies in forming the right partnerships and securing permits.” Effective sequestration requires collaboration between the chemical industry's expertise in carbon capture and the oil and gas sector's knowledge in subsurface geology.
Sustainable aviation fuel (SAF) is another critical frontier in reducing carbon emissions. Kenneth Lim, general manager and refinery director at Neste Singapore, highlights that “currently, SAF supplies just 0.2 percent of the jet fuel demand, with projections to reach 1 to 2 percent by 2027. Although these figures fall short of the International Air Transport Association (IATA)'s net-zero carbon emissions by 2050, they reflect a growing market potential.”
Given the IATA’s aim is for SAF to be at 65 percent of overall aviation con- sumption, this demonstrates the huge opportunity at hand. Johnson Matthey is leveraging this through its Fischer-Tropsch process, which transforms various forms of feedstock, such as municipal waste or biomass, into syn- thetic crude oil, which is then converted into SAF. Johnson Matthey has also identified low-carbon hydrogen production. “Our project with BP, focusing on low-carbon hydrogen—often referred to as blue hydrogen—primarily uses natural gas as a feedstock,” says Johnson Matthey CEO Liam Condon.