Under a Memorandum of Understanding (MoU) signed last year, OQ Chemicals will integrate the Röhm plant into its production network and supply it with raw materials, utilities and site services. The facility, which will use Röhm’s proprietary LiMA (Leading in Methacrylates) technology, is slated to be mechanically complete by the first quarter of 2024.

On signing the MoU for what OQ calls Propel, short for Propyls Elevated, and Röhm designates as the LiMa project, start-up was penciled in for 2023. The companies said at the time that 70 direct jobs would be created in the US Gulf region.

With the realization of the new plant, Röhm CEO Michael Peck said the MMA and PMMA producer will complete the technology platform within its global integrated production system, guaranteeing its customers “the highest level of supply security.”

On its home terrain, the German company can produce MMA at Worms and Wesseling. It also has a facility in the state of Louisiana and one in China, along with downstream production of PMMA in Germany and Asia. In June, Röhm commissioned an expansion for impact-modified PMMA molding compounds in Worms, saying it was responding to high global demand” for the Plexiglas-branded transparent polymer.

Commenting on the investment decision, Oliver Borgmeier, CEO of OQ Chemicals, said, “both companies will greatly benefit from our future cooperation and combined expertise.”  Ron Ayles, managing partner at Advent International, Röhm’s private equity owner, added that “LiMA will strengthen the company’s position in the MMA market.”

As Oxea, OQ Chemicals was once owned by Advent, which sold the company to Oman Oil for just over €2.1 billion in 2013. The name change took place in 2020 when the sultanate of Oman merged nine petrochemical producers under the OQ umbrella. Persistent rumors say the Gulf conglomerate is planning to divest the German company.

Author: Dede Williams, Freelance Journalist