Strategy and Analysis | Description of key impacts, risks, and opportunities | FULLY
Organizational Profile | Significant changes during the reporting period regarding size, structure, or ownership | FULLY
Report Parameters | Basis for reporting on joint ventures, subsidiaries, leased facilities, outsourced operations, and other entities that can significantly affect comparability from period to period and/or between organizations | FULLY
Economic | Financial implications and other risks and opportunities for the organization’s activities due to climate change | FULLY
Economic | Understanding and describing significant indirect economic impacts, including the extent of impacts | FULLY
Environmental | Initiatives to provide energy-efficient or renewable energy based products and services, and reductions in energy requirements as a result of these initiatives | PARTIALLY
Environmental | Initiatives to reduce indirect energy consumption and reductions achieved | FULLY
Environmental | Strategies, current actions, and future plans for managing impacts on biodiversity | FULLY
Environmental | Initiatives to mitigate environmental impacts of products and services, and extent of impact mitigation | FULLY
Environmental | Total environmental protection expenditures and investments by type | FULLY
In 2014, we boosted our strategy based on integration, efficiency and expansion initiatives with a Capex investment of US $320 million, 79% more than the previous year.
Our power cogeneration and monoethyleneglycol integration projects will give us the world’s lowest polyester cost structure.
This year, our 95 Megawatt (MW) cogeneration plant in Cosoleacaque, Veracruz, came on line, generating a total of 98.7 Gigawatts/h.
The construction of a second cogeneration plant in Altamira, Tamaulipas, with an approximate capacity of 300 MW, was also approved. When completed, we will have invested around US $500 million in power cogeneration to achieve annual savings in excess of US $120 million.
During the year, we moved forward on several fronts of the MEG integration project, which carries the highest priority, inluding ethane supply, technology selection and site evaluation. The investment program for this major project is planned to start in 2015.
As a low-cost producer, efficiency is fundamental to our operations.
The construction of the new PTA/PET complex in Corpus Christi, under agreements signed with Gruppo M&G, is the most important initiative to enhance our operating efficiency. The facility, which will use Alpek’s IntegRex® PTA technology, will have the most competitive cost structure in North America and further consolidate our leadership position in the region.
We also finished the technological upgrade of our CPL plant, with which we expect to achieve savings of US $8 million per year by reducing the consumption of raw materials and increasing production.
During 2014, we leveraged selected opportunities to expand our international footprint and consolidate our business portfolio.
We signed an agreement with BASF that will transform our EPS business. The agreement includes Alpek’s acquisition of BASF’s EPS operations in America and 100% of Polioles’ EPS business, while BASF will gain ownership of Polioles’ polyurethane business.
The transaction will position Alpek as the leading EPS producer in the Americas, with an aggregate installed capacity of 230 thousand tons per year. In addition to growing and obtaining total control of the EPS business, Alpek will strengthen its Plastics and Chemicals portfolio through the divestment of polyurethanes.
Moreover, we acquired CabelmaPET, S.A., which operates the only food-grade recycled PET (r-PET) plant in Argentina.
The 16 thousand tons per year of r-PET, integrated into our virgin PET production in Argentina, will enable us to offer virgin and recycled material in a single pellet. This initiative will contribute to environmental well-being and also streamline customer operations by eliminating unnecessary supply and mixing processes.