Evonik announced Oct. 13 that it will cluster its MetAMINO (DL-methionine) production at three international hubs (the Americas, Europe and Asia) to maximize economies of scale and utilize robust processes.
Evonik is a leading global manufacturer of DL-methionine, an essential amino acid used in modern feed formulation.
All three of Evonik’s world-scale MetAMINO plants operate along cost-leading, best-in-class technology lines and offer opportunities for further expansion, the company said, adding that they are also ready for "cost-efficient modular debottlenecking in the future."
Evonik said it believes it is now perfectly positioned for future growth at an improved competitive cost position.
Following this strategy, Evonik plans to close the smallest of its MetAMINO plants, which has a capacity of 65,000 tons per year and is located in Wesseling, Germany, by the end of the first quarter of 2021. In addition, Evonik will invest about 25 million euros into upgrading its world-scale plant for methionine intermediates in Wesseling to safeguard long-term supply to the Antwerp, Belgium, site and to strengthen its European MetAMINO-Verbund.
Evonik noted that this "will lead to a better cost position — through improved utilization of capacity — with economies of scale and an enhanced ability to adapt to any market condition."
Dr. Emmanuel Auer, head of Evonik's Animal Nutrition business line, said, “The methionine business is important for Evonik, now and in the future. We will adapt to market challenges and prepare our asset setup for highest efficiency and further optimized cost structures. We have engaged in continuous efficiency measures and programs over the past few years. As part of structural asset optimization, the time felt right to close the smallest methionine asset.”
In 2014, Evonik opened its methionine production facility in Singapore. In 2019, the company doubled the nameplate capacity at the Singapore site, and today it is the largest DL-methionine production complex in the world, with a nameplate capacity of 300,000 tons per year, the company said.
Alongside Singapore, Evonik operates world-scale facilities in Mobile, Ala., and Antwerp. Evonik has been producing MetAMINO in Wesseling since 1967.
As one of the global leaders in specialty chemicals, Evonik is active in more than 100 countries and generated sales of 13.1 billion euros and an operating profit of 2.15 billion euros in 2019.