Sunday, April 5, 2020

Cesium – Uses, Prices, and Production


This blog highlights information and data I have found on the Internet related to cesium uses, prices, and production.   Key blog objectives are to present a cesium 2019 global production amount and the amount of global revenues represented by the sale of this production.

Uses.  Cesium as a metal is highly reactive and is found in the earth crust only in salt form.   The primary uses of cesium salts are:

Ø  In drilling fluids (the primary use; more than 50% of all cesium salt use);
Ø  To promote sensitivities and other features in various electronic applications;
Ø  To input certain properties to glasses;
Ø  In atomic clocks;
Ø  In pyrotechnics;
Ø  As an electrolyte in alkaline storage batteries;
Ø  As a chemical reaction catalyst; and
Ø  In various medical/biological system applications.

A cesium isotope is used as a source of gamma radiation in cancer treatment.

Prices.  Cesium prices, both as the metal and as cesium salts, remain fairly constant and, because of the low demands (small markets) for them, prices are not readily available.  For the salts, based on what data could be found, prices seem to be in the $1,400 per kilogram (kg) to $2,400 per kg range, with an average price being $1,900 per kg.

Production.  Cesium is mostly found in the minerals pollucite and lepidolite and is a co-production of lithium and tantalum.  Best estimates of 2019 global cesium salt usage is approximately 45,000 kg.  Using an average price for cesium salts of $1,900 per kg (see prices above), this gives 2019 global  revenues from sale of cesium salts of approximately $86 million.


Wednesday, April 1, 2020

Chemical and Metal Shortage Alert – March 2020


The purpose of this blog is to identify chemical and metal shortages reported on the Internet.  The sources of the information reported here are primarily news releases issued on the Internet.  The issue period of the news releases is March 2020.

Section I below lists those chemicals and metals that were on the previous month’s Chemical and Metal Shortage Alert list and continue to have news releases indicating they are in short supply. Click here to read the February 2020 Chemical and Metal Shortage Alert list.

Section II lists the new chemicals and metals (not on the February alert).  Also provided is some explanation for the shortage and geographical information.  This blog attempts to list only actual shortage situations – those shortages that are being experienced during the period covered by the news releases.  Chemicals and metals identified in news releases as only being in danger of being in short supply status are not listed.

Section I.

None

Section II.   Shortages Reported in March not found on the Previous Month’s List

None

Reasons for Section II shortages can be broadly categorized as: 

1.  Mining not keeping up with demand: none
2.  Production not keeping up with demand: none
3.  Government regulations: none
4.  Sources no longer available: none
5.  Insufficient imports:  none
6.  Supply not keeping up with demand: none


Wednesday, March 25, 2020

Chlorine – Uses, Prices, and Production


This blog is the fifth in a series of blogs I plan to write providing use, price, and production data on high-use inorganic and organic chemicals.  Click here to see the first blog in this series and a list of chemicals to be featured.  This blog provides data on chlorine.

Uses.  Uses of chlorine include:

Ø  As a water disinfectant;
Ø  As a surface disinfectant;
Ø  As a raw material in the synthesis of hundreds of compounds; and
Ø  In industrial processes, e.g., as a solvent; in bleaching paper and textiles; in extracting metals from their ores; and others.

The following table provides chlorine percentages in its uses:

use
percentage
in polyvinyl chloride production
28-32%
as industrial solvents
24-26%
In organic compound synthesis
12-15%
In inorganic compound synthesis
12-15%
in water disinfection
5-10%
in the pulp and paper industry
4-6%
others
15% or less


Chlorine’s usefulness as an element derives from its chemical properties of being highly reactive (which accounts for its enabling the synthesis of compounds) and being able to stabilize those compounds, once formed, because of its strength of creating a stable state after it is embedded in the structure.

Prices.  A chlorine 2019 metric ton price (mt), found on the Internet, is $193.   Apparently chlorine does not vary a lot in price over a period of months.

Production.  Global chlorine 2019 production estimates are in the 70s to 90s million mt range.  With a 2019 price for chlorine of $193 per mt (see prices above), estimated global revenues from chlorine sales in 2019 are from $13.5 billion to $17.4 billion ($193 per mt times 70 million mt and times 90 million mt).

The chlorine production values given above are for producing chlorine gas.   Chlorine is too active to be found in elemental (atomic) form.   However, large amounts of chlorine are found in the earth crust as chlorides, e.g., sodium chloride.  Most chlorine gas is produced by electrolysis of a solution of sodium chloride, forming chlorine gas and sodium hydroxide.

Also, the sales values given above are only for the sale of chlorine gas.  For example, the sales values do not include the sale of the many compounds containing chlorine atoms, such as polyvinyl chloride (pvc).   The chlorine sales revenues do include the sale of chlorine gas used in various processes, such as water disinfection.

Assume the cost of chlorine gas for pvc makers in 2019 is approximately $4.7 billion ((30% (above table) times $15.5 billion (from above, average 2019 chlorine sales revenues)).   And, Internet sources indicate that 2019 pvc revenues was approximately $65 billion.  This suggests that pvc makers had very good margins on chlorine gas purchases ($65 billion pvc sales - $4.7 billion chlorine gas cost = $60.3 billion return; $60.3 billion/$65 billion = 93% margin).

The chlorine gas used in making pvc indicates a value added or multiplier effect.  For example, $4.7 billion of chlorine gas value leads to $65 billion of pvc value.  Quantitatively this could be viewed as a multiplier = 13.8 ($65 billion/$4.7 billion).



Wednesday, March 11, 2020

Benzene – Uses, Prices, and Production


This blog is the fourth in a series of blogs I plan to write providing use, price, and production data on high-use inorganic and organic chemicals.  Click here to see the first blog in this series and a list of chemicals to be featured.  This blog provides data on benzene.

Uses.  Uses of benzene include:

Ø  As a starting material in synthesizing other chemicals;
Ø  As a gasoline additive; and
Ø  As a solvent.

Benzene primary use (more than 90% of benzene used) is as a starting material in synthesizing four chemicals:  ethylbenzene (~50%); cumene (isopropyl benzene) (~20%); cyclohexane (~10%); and nitrobenzene (~10%).  These four chemicals are then in turn used in making many industrial and consumer products.  Benzene’s use is growing (estimated in the 3 to 4% range annually) as demand for the many industrial and consumer products (made from those four chemicals) grow.

Benzene’s use as a solvent is decreasing significantly as benzene needs to handled cautiously, due to its exposure limits for health reasons.

Benzene is derived from petroleum using primarily one of two processes: steam cracking (~40% of benzene produced) and catalytic cracking (~40%).   Benzene is also made from methyl benzene (toluene) (~20% of benzene produced).  Methyl benzene is a by-product in the production of gasoline from petroleum.

Prices.  Global benzene 2019 metric ton (mt) prices appearing on the Internet are mostly in the $700 to $800 per mt range.  Benzene prices can vary considerably over short periods as the prices of the petroleum from which it is derived and the prices of the chemicals, which benzene is used to make, change.  These prices depend on many supply, demand, and other factors, causing the prices to change frequently.

Production.  Global benzene 2019 production estimates are in the high 40s to low 50s million mt range.  Assuming a 2019 average price for benzene of $750 per mt (see prices above) and an estimated 2019 production of 50 million mt, estimated global revenues from benzene sales in 2019 are around $38 billion ($750 per mt times 50 million mt).

Saturday, February 29, 2020

Chemical and Metal Shortage Alert – February 2020


The purpose of this blog is to identify chemical and metal shortages reported on the Internet.  The sources of the information reported here are primarily news releases issued on the Internet.  The issue period of the news releases is February 2020.

Section I below lists those chemicals and metals that were on the previous month’s Chemical and Metal Shortage Alert list and continue to have news releases indicating they are in short supply. Click here to read the January 2020 Chemical and Metal Shortage Alert list.

Section II lists the new chemicals and metals (not on the January alert).  Also provided is some explanation for the shortage and geographical information.  This blog attempts to list only actual shortage situations – those shortages that are being experienced during the period covered by the news releases.  Chemicals and metals identified in news releases as only being in danger of being in short supply status are not listed.

Section I.

None

Section II.   Shortages Reported in February not found on the Previous Month’s List

Chemicals used in dye industry: India; supply not keeping up with demand
Gravel: Nebraska, USA; supply not keeping up with demand

Reasons for Section II shortages can be broadly categorized as: 

1.  Mining not keeping up with demand: none
2.  Production not keeping up with demand: none
3.  Government regulations: none
4.  Sources no longer available: none
5.  Insufficient imports:  none
6.  Supply not keeping up with demand: chemicals used in dye industry; gravel


Thursday, February 27, 2020

Calcium Carbonate – Uses, Prices, and Production


This blog is the third in a series of blogs I plan to write providing use, price, and production data on high-use inorganic and organic chemicals.  Click here to see the first blog in this series and a list of chemicals to be featured.  This blog provides data on calcium carbonate (CaCO3).

Uses.  Uses of calcium carbonate include:

Ø  As a filler and additive in products such as papers, plastics, paints, coatings, resins, rubbers, tablets, personal care, and food;
Ø  In drilling fluids;
Ø  In construction materials;
Ø  In agriculture as soil conditioners and plant nutrients;
Ø  As a cleaning agent;
Ø  In various industrial processes such as iron production and flue gas desulfurization;
Ø  In animal feed; and
Ø  In medical applications such as an anti-acid treatment, osteoporosis prevention, and kidney disease.

Calcium carbonate is found in about 4% of the earth’s crust, primarily in minerals calcite, aragonite, and vaterite, from which it is extracted.  Calcium carbonate is one of the most widely utilized of earth materials.

Calcium carbonate can be processed into forms and sizes including course (crushed), powder, fine, ultra-fine, and nano sizes.  Its use depends on these forms and sizes.

Calcium carbonate can also be synthesized by mixing calcium hydroxide with carbon dioxide.

Calcium carbonate processed from minerals is known as ground calcium carbonate (GCC) and calcium carbonate synthesized is known as precipitated calcium carbonate (PCC).  Precipitated calcium carbonate can have properties making it more suitable in some applications compared to ground calcium carbonate.

Prices.  Calcium carbonate 2019 metric ton (mt) prices appearing on the Internet for both ground and precipitated calcium carbonate are in the $100 to $200 per mt range.  Prices vary according to the forms, sizes, and other factors.  Prices for very course or very fine, including nano, are outside this range.

Production.  2019 calcium carbonate production estimates are in the 130 to 135 million mt range.  Assuming a 2019 average price for calcium carbonate of $150 per mt (see prices above) and an estimated 2019 production of 132.5 million mt, estimated revenues from calcium carbonate sales in 2019 are around $20 billion ($150 per mt times 132.5 million mt).



Thursday, February 20, 2020

Bromine – Uses, Prices, and Production


This blog is the second in a series of blogs I plan to write providing use, price, and production data on high-use inorganic and organic chemicals.  Click here to see the first blog in this series and a list of chemicals to be featured.  This blog provides data on bromine.

Uses.  The highest use of bromine is in compounds that have flame retarding capabilities.  These compounds are added to flammable products and should the products catch fire, liberated bromine acts to suppress/retard processes occurring in the fire (combustion).  About 50% of bromine use is in fire-retarding compounds.  Other bromine uses (as compounds containing bromine) include:

Ø  In fluids used in enhancing drilling-related activities, e.g., in oil and gas wells;
Ø  In water treatment;
Ø  In removing mercury from gas emissions;
Ø  In the dye industry;
Ø  In photographic processes;
Ø  As a catalyst;
Ø  In pharmaceutical products;
Ø  In flow batteries;
Ø  In the rubber/tire industry; and
Ø  In agriculture.

Elemental bromine, which is a liquid at room temperature, has no substantial uses, other than to react to form compounds used as given above.

Prices.  2018 metric ton (mt) prices appearing on the Internet and calculated from revenue and mt production data (e.g., estimated $3.0 to $3.4 billion bromine sales divided by estimated 600,000 to 700,000 mt bromine production amounts) is in the $4,200 to $5,700 per mt range.

Production.  2018 bromine production estimates are in the 600,000 to 700,000 mt range.  And revenues from bromine sales are in the $3.0 to $3.4 billion range.  Most bromine is produced in the United States, Israel, Jorden, and China.  Three companies (Israel Chemicals, Ltd.; Albemarle; and Lanxess) account for the majority of bromine production.  Bromine is found in seawater, underground brine deposits, and other water reservoirs such as the Dead Sea.  Global bromine demand roughly correlates with gross domestic product growth. 

Israel Chemicals, Ltd.’s (ICL) 2018 annual report indicates that the company accounts for its bromine sales in one of four segments – the Industrial Products segment.  Revenues for this segment (mostly bromine sales) was $1.3 billion.  Revenues are from elemental bromine sales and from bromine compounds produced internally.  Segment operating profit was 27% of revenues ($350 million divided by $1.3 billion).  Such a percentage seems quite good.