Ozone and Climate Protection: Achievements of the Montreal Protocol Multilateral Fund: Successes of Industries in the Developing Countries

MAMONA THE GREEN PETROLEUM

Brazil Industry Representative, Assisted by Suely Carvalho, United Nations Development Programme (UNDP), New York, NY Foam Sector Phaseout: Poly-Urethane Indstria e Comrcio

PRESENTATION

1. Brief presentation of the Company Our company is an enterprise located in the eastern part of Brazil, in the state of Minas Gerais. It was founded 28 years ago, originally as a service supplier in the field of the thermal polyurethane insulation. Throughout the years, the company has developed itself, enlarging its field of activities.
Minas Gerais State location
Itacarambi

Belo Horizonte

Nowadays, the company constitutes of three distinct units: Poly-Urethane, located in Belo Horizonte (capital of Minas Gerais), responsible for the manufacture of chemical systems for the
POLY-URETHANE

manufacture of polyurethane rigid foams; Pumer, also located in Belo Horizonte, responsible for the manufacture of machines and equipment for mixing and dispensing of polyurethane chemical
PUMER

components; and Petrovasf, located in Itacarambi (north of Minas Gerais), responsible for the extraction of the castor oil, which is the raw material used in the production of the polyol used in the chemical systems produced by Poly-Urethane.

PETROVASF

The Poly-urethane Group

2. Research for environmentally friendly products 2.1 Background The company was one of the first enterprises in Brazil to work with polyurethane spray technology. Its president, Marcilio Adorno Araujo Dias, established a strategy to introduce this technology to other enterprises, as he wished to focus on in the manufacture of chemical and mechanical systems required to produce polyurethane rigid foams. However, Poly-Urethane found it difficult obtaining the necessary feedstock, due to its small size and the fact that suppliers were often vertically organized and considered themselves potential competitors as well.
Polyurethanes spray applications SHEET 1/4

2.2 Installation of a research centre and an industrial pilot plant in Curvelo To face these difficulties, the company invested in research and development, looking for innovative, unique products. They found these in the use of agricultural and therefore renewable feedstock that could replace products originating from petroleum. An experimental farm was set up for the purpose in Curvelo (MG). After thorough evaluation, castor oil, derived from the beans of castor oil plants or mamona proved to be the most promising alternative. It produced (polyester) polyols of excellent quality. A pilot plant for the production of castor oil based polyol was installed. Concurrently new generations beans were developed that allowed better yields and easier collection POLY-URETHANE CHANGES SUCCESSFULLY FROM PETROLEUM BASED POLYOLS TO CASTOR OIL BASED POLYOLS 3. Castor oil based polyol advantages Besides having found a way to maintain its independent position in the system market by securing an independent source of feedstock, the use of castor oil meant an important development that supported social and environmental objectives. 3.1 The castor bean is an agricultural product that is easily produced since its plant is rustic, adaptable to any region, and does not request insecticides or a great deal of technology for its exploitation. Its a very suitable crop in areas with low rainfall, which are quite common in the center north/northeast region of Brazil as well (as in other parts of the world). Its production can be easily carried out by small farmers in underdeveloped countries. 3.2 The use of the castor oil provides also an ecological alternative, as the mamona plants absorb carbon dioxide in their cultivation cycle, stockpiling
Castor bean (mamonas) plants Pilot plant in Curvelo (MG)

- and thereby reducing greenhouse accumulation atmosphere. in gas the

3.3 Marcilio and his enterprises received several awards for its work with castor oil, among them the Mario Molina Prize (Mario Molina is the winner of the Chemistry Nobel Prize of 1995 and one of the discoverers of the ozone layer depleting effect caused by CFCs).
Mario Molina Prize

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3.4 The success of castor oil based polyols led the company to look for a suitable location to grow large quantities of mamona. Itacarambi, town situated in one of Brazil poorest regions, was chosen. 3.5 In the Itacarambi region, Poly-Urethane started the promotion of the mamona growing by providing local farmers seeds and technical support and buying their production at favorable (for the farmers) prices.

Poly-Urethane started the promotion of the mamona growing by providing local farmers seeds and technical support

4. Partnership with the MLF and the UNDP 4.1 In line with its environmental objectives, Poly-Urethane strived to exclude CFCs from its products. This led to contacts with the UNDP and through this organization the formulation of a CFC phaseout plan.

4.2 Poly-Urethane became in this way a pioneer by initiating and executing the first MLF-sponsored Brazilian foam project for the phaseout of ozone-depleting substances. The project served as a demonstration project for the Government as well as for the industry and led to an enduring relationship with the UNDP, providing equipment, systems as well as valuable local advice.
Poly-Urethane became a pioneer executing the first MLF-sponsored ODS phaseout project in Brazil

5. The UNDP POLY-URETHANE partnership 5.1 Initial project Three large spray foam contractors were converted in 1994 to non-CFC technology, thereby avoiding the consumption of 72 tonnes of CFC-11 per year. 5.2 Impact on equipment The conversion of the many polyurethane foam enterprises in Brazil to the CFC-free technology required the replacement of existing dispensing equipment in a cost-effective way. Poly-Urethane developed such equipment and grew to a significant South-American supplier through the supply of dispensing units to Argentina, Brazil, Colombia and Peru. 5.3 Social impact By the executing ODS phaseout project which included the conversion of many foam enterprises in Brazil to CFC-free technology, jobs were maintained and local business capacity was enhanced, rather than destroyed.
SHEET 3/4 Poly-Urethane exports equipment to Argentina, Colombia and Peru.

5.4 Innovation At the time the project with UNDP began, virtually all polyurethane foam manufacturers in Brazil used CFC-11 as a blowing agent. Poly-Urethane supplied at that time standard petroleum based polyurethane chemicals that were purchased from major chemical suppliers and blended to customers specifications. Now, as already mentioned, the company produces its own environmentally friendly polyols based on natural feedstock - castor oil - derived from locally grown mamona seeds and was able to do so based on the spirit of the UNDP-Poly-Urethane cooperation that supported innovative solutions. By establishing local, ongoing demand for mamona, the company provided the impetus for the reestablishment of the mamona farming in the northern part of Minas Gerais. With mamona production now scaled up to industrial levels, approximately 4,500 farming families are kept steadily employed, and mamona is being considered as a possible base for manufacturing other products as well. 5.5 Helping to reduce global warming As the mamona plants absorb carbon dioxide, greenhouse gas accumulation in the atmosphere is reduced. The estimated carbon dioxide absorption level of mamona plants is 34, 6 tons per hectare based on one growing cycle per year. Each hectare castor oil bean plants produce 350-650 kg (660-1430 lb) oil which, in turn, produces 400-800 kg (880-1760 lb) of polyol used in the manufacture of rigid polyurethane foams.
The mamona plants absorb carbon dioxide ... to castor oil ... ... for the production of sound-insulating in the vans. Technology in harmony with the environment From the castor oil plant... ... via its seeds...

The potential positive contribution of mamona to reduce global warming is quite significant, and this model is one that could be easily replicated in many areas throughout the world.

5.6 Presenting alternative solutions The mamona plants are suitable for farming in many areas throughout the world and therefore may be considered as an alternative for replacement of undesirable plantings such as those used at the production of illegal drugs. A project to that purpose is currently prepared in Colombia. Belo Horizonte, April 2003

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POLY-URETHANE INDSTRIA E COMRCIO LTDA Av. Indudtrial, 367 - Distrito Industrial - CEP 30400-000 - Ibirit - MG - Brazil Tel: (5531) 3598-9600 - Fax: (5531) 3598-9509 - www.poly-urethane.com.br