Expanding in Circular Economy slide image

Expanding in Circular Economy

THE POLYOL PROJECT REPRESENTS AN IMPORTANT MILESTONE FOR STEPPING FORWARD IN THE PROPYLENE VALUE CHAIN LARGEST ORGANIC INVESTMENT IN MOL GROUP HISTORY POLYOL PROJECT ▸ Moving from commodity (polypropylene) to semi commodity MARKET ▸ In CEE there is still gap in supply-demand POLYOL UNITS & SUPPLY DEMAND IN EMEA 2024 (KT) DRIVER ► 205 ktpa of polyol TARGET VOLUME ‣ 60 ktpa propylene glycol (PG) Flexible and rigid foams TARGET SEGMENTS ‣ Unsaturated polyester resin (UPR), functional fluids, GRADUAL RAMP UP EBITDA POTENTIAL ~USD 150 Mn/year personal care products ►1) Technical constraint: Breeding period ► 2) Market constraint: Quality customization period Timeline: 2023 - 2025 MARGIN 400-500 USD/t 1600 WE CEE 900 600 700 450 Africa 210 CAPEX ESTIMATE FTE NEED *Full capacity Polyol plants ~USD 1.3 Bn ~200 -210 -150 Middle-East 300 150 150 Source, IHS study, IAL 2018 study New Polyol Plant in 2017 New Polyol Plant in 2022 Supply in 2024 Demand in 2024 Balance in 2024 MOLGROUP | 22
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