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Evonik to temporarily reduce production during Q4 2023 and H1 2024 at Singapore DL-methionine plant as it proceeds with expansion plans; company emphasizes need for temporary outage as it brings capacity in line with long-term global supply strategy

July 25, 2023 (press release) –

Yama Olumi
Head of Market Communications
Animal Nutrition
Dr. Jürgen Krauter
Head of Market Communications
Evonik

Essen, Germany. Evonik is making progress with the expansion of its DL-methionine production plant in Singapore: In order to reach an important milestone in the construction process, production at the Singapore plant on Jurong Island will be reduced for three months in Q4/2023, followed by another three-month tie-in shutdown in the first half of 2024.

This shutdown is part of the implementation of Evonik’s methionine asset strategy to safeguard long-term global supply security. The expansion is proceeding as expected and the planned production stops in Q4/2023 and H1/2024, which are necessary for maintenance and safety reasons, will allow modifications to be made that would not be possible during day-to-day operations.

“We fully understand that these shutdowns may pose challenges for our customers and our teams have prepared mitigation plans for MetAMINO® supply from our global production network. We are in continuous communication with regional and global customers to carefully plan shipments", says Noel Kim, Regional Vice President Animal Nutrition.

Earlier this year, Evonik announced a high double-digit million-euro investment to boost production capacity of MetAMINO® (DL-methionine) on Jurong Island, Singapore, by 40,000 metric tons per year to around 340,000 metric tons per year. The expansion will improve the efficiency of the facility’s processes and reduce the carbon footprint of all Evonik’s MetAMINO® production in Singapore by six percent (Scope 1+2+3).

Methionine is used in livestock production to feed animals healthily, efficiently, and sustainably. With its science-based approach, the Animal Nutrition business line of Evonik develops products, services and system solutions that help supply a growing world population with healthy, high-quality and affordable animal protein. Animal Nutrition is part of Evonik's Nutrition & Care Division and contributes significantly to the profitable growth of Nutrition & Care through its self-financing power.

Evonik is one of the world leaders in specialty chemicals. The company is active in more than 100 countries around the world and generated sales of €18.5 billion and an operating profit (adjusted EBITDA) of €2.49 billion in 2022. Evonik goes far beyond chemistry to create innovative, profitable, and sustainable solutions for customers. About 34,000 employees work together for a common purpose: We want to improve life today and tomorrow.

The focus of the business of the Nutrition & Care division is on health and quality of life. It develops differentiated solutions for active pharmaceutical ingredients, medical devices, nutrition for humans and animals, personal care, cosmetics, and household cleaning. In these resilient end markets, the division generated sales of €4.24 billion in 2022 with about 5,700 employees.

In so far as forecasts or expectations are expressed in this press release or where our statements concern the future, these forecasts, expectations or statements may involve known or unknown risks and uncertainties. Actual results or developments may vary, depending on changes in the operating environment. Neither Evonik Industries AG nor its group companies assume an obligation to update the forecasts, expectations or statements contained in this release.

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