Wit Ventures: succinic acid

Friday, 30 March 2018

BioAmber Reports Record Fourth Quarter.

From Paul Morden, Sarnia Observer.

BioAmber, a Montreal-based company with a manufacturing site in Sarnia, reported a record quarter at the end of 2017 with revenue of $5.4 million.

Revenue in 2017 totalled $14.9 million compared to $8.3 million in 2016, an 81-per-cent increase, driven by increased sales of bio-succinic acid from the Sarnia plant opened in 2015, the company said this week.

BioAmber uses corn syrup to make succinic acid, a building block chemical used in products ranging from paints and plastics to cosmetics and food additives at its first large-scale commercial production site next to Vidal Street in Sarnia.

“We are pleased with the solid growth, which is reflective of our growing customer base and the potential of bio-succinic acid as an important chemical building block,” CEO Rick Eno said Wednesday during a quarterly earnings conference call.

“The entire company is working to move our operations to be gross margin positive at the plant level, followed by profitability at the corporate level,” Eno said.

“We believe this performance will unlock growth opportunities for us, including a second plant that will convert bio-succinic acid into butanediol and THF (tetrahydrofuran), which reflect an $8-billion market.”

The company said in late 2017 it was focusing on Sarnia as the potential site for a second plan.

Link to the rest here.

Image. Zach Neal.

Thank you for reading.

Wednesday, 21 December 2016

BioAmber Opens Up Asian Markets.

Photo/effects by |Zach Neal.

From the Sarnia Observer.

Bio-succinic acid that’s made in Sarnia is expected to be shipped to China and South Korea in 2017 to help open new markets there.

The building-block chemical – used in plastics, lubricants, paint, cosmetics, food additives and other products – is made from corn syrup by Montreal-based BioAmber at a $141-million Sarnia plant completed in 2015.

It was announced this week that product from that plant is to be sold to a Korean company that BioAmber is planning to partner with in Asia.

The two companies announced plans to establish a joint venture in China to produce up to 36,000 metric tons of bio-succinic acid annually to sell in Asia.

BioAmber's partner in the joint venture, CJ CheilJedang (CJCJ) is also set to purchase succinic acid from Sarnia to develop markets in China and South Korea in the first half of 2017, according to a news release.

Link to the rest here.

Additional coverage.

BioAmber website.

Wikipedia.

Thanks for reading.

Shirley D. Neal

Shirley has over 30 years of experience in such diverse businesses as financial planning, manufacturing, and supply. Her education includes a B.A., B.ED., M.ED., C.F.P., N.L.P. and the home inspector’s course as well as having her AZ license for five years. Her family home has given her and her husband the opportunity to do extensive renovation and repairs thereby increasing the value about $100,000 in ten years. She has been able to see firsthand how much a sensible and cost efficient renovations can add to the value of a home. Shirley has chosen joint ventures because she thinks that her experiences an help others achieve their goals and maximize the profits for both parties. In 1979, Shirley became involved in a small group of women who started a metal manufacturing company making small deep drawn metal parts for the automobile companies in Windsor. They took the company from start up to over $400,000 in sales in five years. That was a lot of parts since the parts sold for only five cents per each. In 1985 they sold the company to one of their customers. Whether it was selling mutual funds, teaching foster parents how to recruit foster parents, or working for Tony Robbins, Shirley has put more than 100 percent into every endeavour she was involved in.