BioAmber licenses Johnson Matthey technology to produce BDO & THF

BioAmber Inc has entered into a technology license agreement with Johnson Matthey Davy Technologies (JM Davy). The licensing package is expected to enable BioAmber to construct and operate a 100,000 tonnes per annum (tpa) capacity plant that uses bio-succinic acid as the feedstock to produce 70,000 tonnes of 1,4-butanediol (BDO) and 30,000 tonnes of tetrahydrofuran (THF). BioAmber has also secured the right to license the JM Davy technology for two additional BDO/THF plants.
 
The JM Davy license is a major milestone for BioAmber’s next commercial plant and will help the company to accelerate deployment of its BDO/THF facility, which it plans to commission in 2018. BioAmber has already signed a 15 year take-or-pay agreement with Vinmar International for 100% of the output from the plant’s 100,000 tonne per year BDO and THF capacity.
 
BioAmber will leverage its low cost bio-succinic acid technology and JM Davy’s proven catalyst technology to produce cost competitive bio-based BDO and THF. These building block chemicals have large existing markets of over $4 billion annually and are used to make engineering plastics for the automotive and electronics industries, biodegradable plastics and spandex. Consumers will benefit from having exactly the same products they enjoy today, but with a significantly improved carbon footprint due to the renewable, fossil-free feedstock that are used and BioAmber’s more sustainable manufacturing process.  
 
JM Davy is the global leader in BDO and THF technology, with 14 licenses deployed representing approximately 800,000 tonnes per year of installed BDO and THF capacity, or 25 percent of worldwide capacity. JM Davy’s technology currently uses maleic anhydride, a petrochemical derived from benzene or n-butane, as the feedstock for making BDO and THF.  The first step of the current process converts maleic to succinic before it is further converted to BDO and THF, so succinic is the logical alternative feedstock. JM Davy has adjusted and optimized its process and fully tested BioAmber’s bio-succinic acid so it can substitute maleic anhydride without impacting performance, process economics or product quality.