N-Hexane Market, By Grade (Oil Extraction, Pharmaceutical, and Industrial), By Application (Oil Extraction, Polymerization, Pharmaceutical, Adhesives & Sealants, Industrial Cleaning & Degreasing, Rubber Processing, and Others), and by Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) is estimated to be valued at US$ 2.7 Bn in 2024 and is expected to exhibit a CAGR of 3.8% during the forecast period (2024-2031), as highlighted in a new report published by Coherent Market Insights.
In August 2022, Chennai Petroleum Corporation Limited (CPCL) obtained approval from its board of directors to establish a joint venture (JV) in collaboration with Indian Oil Corporation and additional seed equity investors. The purpose of this JV is to undertake a refinery project with a capacity of 9 million metric tons per annum (MMTPA) at Cauvery Basin Refinery in Nagapattinam District, Tamil Nadu, India. Under the terms of the JV, Indian Oil Corporation and CPCL will each hold a 25% stake, resulting in a combined ownership of 50%. The remaining 50% stake in the JV will be held by other seed investors. CPCL’s product portfolio encompasses a range of items including LPG, hexane, aviation turbine fuel, superior kerosene, motor spirit, high-speed diesel, paraffin wax, lube base stocks, fuel oil, and petroleum coke.
Chennai Petroleum Corporation Limited (CPCL) is a prominent energy company with a significant presence in South India. It was originally established as a joint venture in 1965 between the Government of India, AMOCO, and the National Iranian Oil Company. CPCL's main refinery, located in Manali, Chennai, has a refining capacity of 10.5 million metric tonnes per annum (MMTPA) and is one of the most complex refineries in India, with facilities for fuel, lube, wax, and petrochemical feedstocks production. The company's products include LPG, motor spirit, superior kerosene, aviation turbine fuel, high-speed diesel, naphtha, bitumen, lube base stocks, paraffin wax, fuel oil, hexane, and petroleum coke. CPCL is a subsidiary of Indian Oil Corporation Limited and is a key player in meeting the energy needs of Tamil Nadu and parts of neighboring states.
Indian Oil Corporation Limited (IOCL or IOC) is a public sector undertaking and India's flagship national oil company in the downstream petroleum sector. It is under the ownership of the Ministry of Petroleum and Natural Gas and is headquartered in New Delhi.
N-Hexane Market– Impact of Coronavirus (COVID-19) Pandemic
The World Health Organization (WHO) designated the illness caused by the Severe Acute Respiratory Syndrome Coronavirus 2 (SARS-CoV-2), which first appeared in Wuhan (province of Hubei, China) in the last months of 2019 as "coronavirus disease 2019" or COVID-19. This virus spread quickly and had a serious negative impact on the economies, social behaviors, and healthcare of every country in the world.
COVID-19 affected the economy in three main ways: by directly affecting production and demand, by creating disruptions in distribution channels, and through its financial impact on firms and financial markets. Due to the lockdown, several countries, such as India, China, Brazil, and others, faced problems with regard to the transportation of drugs from one place to another.
The global lockdowns and the subsequent impact on logistics significantly disrupted the supply of raw materials required for the production of n-hexane. Transportation restrictions also affected the distribution chain, leading to delays in delivering products to customers.
N-hexane is widely used as a solvent in various industries such as adhesives, coatings, and the extraction of edible oils. The demand for these products could have changed due to shifts in consumer behavior and industrial activity during the pandemic, causing corresponding changes in the N-hexane market.
The closure or reduction of operations in key end-user industries like printing, textiles, and footwear during the strictest periods of lockdown negatively impacted the N-hexane market. However, sectors like pharmaceuticals and food extraction, which were deemed essential, may have continued their operations, potentially balancing the overall market impact.
Export and import restrictions or tariffs could have altered trade patterns, leading to a realignment of the N-hexane market across different regions.
Link: https://www.coherentmarketinsights.com/market-insight/n-hexane-market-3697
N-Hexane Market– Key Developments
In May 2021, Chevron Phillips Chemical unveiled plans to enhance its alpha olefins business by constructing a second world-scale unit exclusively focused on manufacturing 1-hexene. The new unit is projected to have a capacity of 266 kilotons per annum (KTA) and is expected to commence operations in 2023. The facility will be located in Old Ocean, Texas, U.S. adjacent to Chevron Phillips Chemical’s existing Sweeny facility.
Chevron Phillips Chemical (CPChem) is a petrochemical company jointly owned by Chevron Corporation and Phillips 66. The company was formed in 2000 by merging the chemicals operations of both Chevron Corporation and Phillips Petroleum Company. It is headquartered in The Woodlands, Texas, and is a major producer of ethylene, propylene, polyethylene, Alpha-olefins, Polyalphaolefins, aromatic compounds, and a range of specialty chemicals.
Browse 36 Market Data Tables and 33 Figures spread through 180 Pages and in-depth TOC on “ N-Hexane Market, By Grade (Oil Extraction, Pharmaceutical, and Industrial), By Application (Oil Extraction, Polymerization, Pharmaceutical, Adhesives & Sealants, Industrial Cleaning & Degreasing, Rubber Processing, and Others), and by Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa)
Key Takeaways of the N-Hexane Market:
- The N-Hexane Market is expected to exhibit a CAGR 3.8% during the forecast period. The merger with emerging economies offers lucrative growth opportunities for players in the N-Hexane market.
- Among region, Asia pacific is expected to be dominant in the N-Hexane market, owing to the presence of major players such as ExxonMobil Corporation, Royal Dutch Shell PLC, Indian Oil Corp. Ltd., Chevron, Phillips Chemical Company LLC, and other key market player contributing to the growth in this region
- Major players operating in the N-Hexane market include ExxonMobil Corporation, Royal Dutch Shell PLC, Indian Oil Corp. Ltd., Chevron, Phillips Chemical Company LLC, Bharat Petroleum Corp. Ltd., Rompetrol Rafinare S.A., Hindustan Petroleum Corporation Limited, Dongying Liangxin petrochemical company, Liaoning Yufeng Chemical Co., Ltd., DHC Solvent Chemie GmbH, and Sak Chaisidhi Company Limited.
