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• With more emphasis on a CO₂ tonnage per dollar investment basis, which metrics matter in pursuing opportunities in petrochemicals or low-carbon fuels?

  Jun-2024

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Answers

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• Melissa Mastry, BASF Refinery Catalyst, melissa.mastry@basf.com

  For petrochemicals, multiple metrics can be considered when pursuing a target related to CO₂ tonnage per dollar investment. First and foremost, the carbon intensity of the feedstock is a critical parameter to bring into any project assessment. Low-carbon intensity feedstocks can include bio-based feedstocks, clean hydrogen, and recycled materials such as recycled plastics and waste.

  If considering petrochemical-based feedstocks, the source is important. For example, if extracted from tar sands, the carbon intensity will be higher than a petrochemical source extracted from a conventional oil well. In addition to the feedstock’s raw materials, it is crucial to consider the energy efficiency of the production process, the emissions (particularly CO₂ and methane) created during production, whether the process uses carbon capture and storage, and the transportation/storage of the feedstock.

  Storage can be an important factor, especially considering the temperature-sensitive nature of some feedstocks, particularly those coming from pyrolysis processes. Similar metrics can be applied to low-carbon fuel standards. Ultimately, the best investment will depend on a variety of factors, including the regulatory environment, market demand for the products, and the geographical and logistical details of the project location.

   

  Jul-2024