SNF announced a $ 1.2 billion investment in a further increase of Polyacrylamide production. These water-soluble polymers profit from increasing demand in the enhanced oil recovery industry (fracking).
Riceboro/USA — The last 2 years SNF has added 75,000 MT/yr. powder-grade PAM production capacity globally to match the increased demand for EOR (Enhanced Oil Recovery) applications. By the end of 2020, the company will add 75,000 MT/yr. more. This 150,000 MT/yr. new capacity is spread across several regions.
At the same time, through new investments and debottlenecking, SNF added 500,000 MT/yr. production capacity for emulsion-grade PAM within and 100,000 MT/yr. outside the US. This substantial increase is mainly driven by demand within the US hydraulic fracturing (fracking) market as well as emerging fracking demands outside the US. In the US, the company will complete an additional emulsion-grade PAM expansion of 100,000 MT/yr. this year by early Q4. The goal is to have a total emulsion-grade PAM production capacity in the US of 1 million MT/yr. by the end of 2020.
To support this growth in polymer production, the manufacturer continues to invest in upstream monomer production capabilities as well. Cationic monomer expansion in China is complete, bringing an additional 40,000 MT/yr. of Adame to the market. While in the US, SNF will invest in new Adame monomer capacity bringing an additional 50,000 MT/yr. capacity over existing global capacity of 160,000 MT/yr. by the end of 2022. Acrylamide monomer expansion continues in each region as PAM production volumes grow. In the US, the company will add 100,000 MT/yr. (expandable to 200,000 MT/yr.) in 2021.
For organic coagulants, the provider has doubled its global capacity of poly Dadmac and Polyamines to support the future demands of both product lines.