Update November 19, 2024
Aroma Ingredients
With the successful restart of the production of Pyranol, Methylionone 70 and DL-Menthol FG, we have begun communicating new allocation volumes from today, November 19, 2024.
In addition, based on our current best estimate, we expect to be able to lift the Force Majeure on these three products by January 31, 2025, and look forward to resuming our standard course of business beginning on that date.
Please note that after lifting the Force Majeure for these products, supply will be subject to conclusion of respective supply agreements and will depend on lead times, which are region-, country- and product-specific, taking from a few days/weeks to several months. Our timing assumptions are based on current available knowledge and subject to change.
Additionally, please understand that this communication and the information herein does not constitute a lift of the Force Majeure declaration and remains subject to change at BASF´s sole discretion. The remaining aroma ingredients are still on Force Majeure until further notice and the previously communicated start-up timelines remain valid.
Nutrition
Previously communicated start-up timelines remain valid. Our timing assumptions are based on current available knowledge and subject to change.
Update November 7, 2024
Nutrition
We have begun to share second allocation wave volumes with our customers. Previously communicated start-up timelines remain valid.
Aroma Ingredients
For Aroma Ingredients, the production of Pyranol, Methylionone 70 and DL-Menthol FG has started successfully, meeting the ambitious start-up timeline. We aim to communicate new allocation volumes as well as the potential date of the Force Majeure lift of Pyranol, Methylionone 70 and DL-Menthol FG on November 19, 2024.
In our last update, we shared that the remaining Aroma Ingredients are expected to restart production in a staggered approach from April to June 2025, starting with Beta-Ionone R. We can now confirm that production of Rose Oxide 70 will start from mid-March 2025 onwards, earlier than previously communicated. For the remaining Aroma Ingredients, the start-up timeline of April to June 2025 remains valid.
Please note that all the information provided above, including timing assumptions, are based on current available knowledge and subject to change.
Update October 17, 2024
Today, we would like to share with you the latest information on the timing assumptions of the startup.
- For Aroma Ingredients, we are on track with our preliminary timing assumption for the production of Pyranol, Methylionone 70 and DL-Menthol FG, which we expect to start from the last week of October 2024 onwards. Once we have restarted successfully, we aim to communicate new allocation volumes in the second half of November 2024.
- For the remaining affected products, we need to adjust our previously communicated preliminary timeline. This change in timeline is due to various reasons.
- As communicated earlier, to ensure a safe and fastest possible re-start of production, we are conducting incident investigation, a high number of inspections and an integrity check of more than 1.000 pieces of equipment as well as ordering of required equipment and repair work in parallel.
- The preliminary timeline was based on indicative repair assumptions. The now updated assumptions are based on additional information gained during the above-mentioned process. Incorporating this additional information from inspection and repair work, as well as the confirmation of delivery dates for the required equipment, we were able to develop the current repair schedule:
- We now expect the remaining Aroma Ingredients to restart production in a staggered approach from April to June 2025, starting with Beta-Ionone R.
- For Nutrition Ingredients, we now estimate to restart production of vitamin A in early April 2025, and vitamin E as well as carotenoids in early July 2025.
- As mentioned in our previous update, it will require at least several months to ensure “business as usual” which includes replenishments of global, regional and local inventory levels.
- These timing assumptions are based on our current knowledge and are subject to change depending on the ongoing repair work.
- We continue to work hard to identify additional opportunities to accelerate the repair without any compromises on safety. In addition, BASF is proactively working to source key intermediate products for vitamins production that would enable us to mitigate the impact on the production of vitamins and carotenoids.
As always, our aim is to provide transparent and timely information as soon as we can. We understand the importance of minimizing any delays and are working diligently to complete the repair work and expedite the start-up process. We appreciate your patience and understanding during this time, and we assure you that we are committed to delivering a safe and efficient production operation as soon as possible.
Update October 2, 2024
All repair work is still ongoing and progressing on-track. Previously communicated start-up timelines assumptions remain valid but continue to be preliminary. A more detailed update on start-up timeline including an overview of the remaining repair work will be shared once it is available. The detailed incident investigation is continuing.
Update September 19, 2024
Our dedicated task force is executing multiple workstreams in parallel and repair work is progressing on-track. All electrical cables in all affected production areas in the plant have been removed, and nearly 65 kilometers of new cable are being installed. After a thorough integrity check, approximately 1000 pieces of equipment are being replaced as well. We expect to release a more detailed repair plan in October with an overview of the remaining repair work. The detailed incident investigation is ongoing.
For aroma ingredients, the preliminary start-up assumptions as communicated before remain unchanged and we currently expect production of Pyranol, Methylionone 70 and DL-Menthol FG to start from the last week of October onwards.
For the remaining affected aroma and nutrition ingredients the preliminary assumptions remain unchanged, in accordance with the repair plan mentioned above.
Please note that these timings are based on the current information we have and might be subject to changes.
Update September 5, 2024
Further allocations for nutrition customers and progress in plant repair
A second volume allocation wave of selected nutrition ingredients for our customers can now be confirmed. Although nearly all volumes from the first allocation wave were accepted by customers, we expect to be able to release additional volumes from our quality control processes and to run additional production campaigns downstream. We are currently finalizing the information for the allocations with the highest urgency and will communicate further on volumes and the exact start date for the second wave.
For aroma ingredients, the first allocation wave already included all available volumes of downstream products. The affected products are end products for aroma ingredients without further downstream processing, so no further production can be run. Therefore, another allocation wave prior to plant restart is not planned.
Our top priority remains restarting the plant safely (see update from August 21, 2024, below). The repair work in the plant is progressing and on track. The communicated timeline remains unchanged for now. The detailed incident investigation is continuing.
The first intense cleaning in the affected plant has been completed. Explosions and fires can release hazardous substances. Intense industrial cleaning after such an incident is crucial for protecting the health and safety of our employees and of external partners working on the repair. Additionally, this step ensures the prevention of environmental damage while facilitating the process of recovery and restoration. Also, all electrical cables on one of the affected floors have been safely cut to ensure electrical safety.
The integrity check of more than 1000 pieces of equipment is currently ongoing by a dedicated task force, which additionally involves a thorough inspection and assessment of all aspects of the plant, and its systems.
Update August 29, 2024
In our last update, we shared some preliminary timing assumptions about our products on staggered production sequences.
We would like to further share that for aroma ingredients, we expect the products Pyranol, Methylionone 70 and DL-Menthol FG to be produced not before October 2024, and the remaining affected products not before the end of November 2024.
Again, we want to emphasize that this estimation is based on our current understanding of the situation and might be subject to change.
Timing assumptions for nutrition products remain unchanged for now.
Update August 21, 2024
We have begun to share allocation volumes with our customers. Many ask us how long the situation will take to be resolved. Hence, we would like to share the following preliminary timing assumptions.
Our products are on staggered production sequences once a plant starts up again.
- The affected plant manufactures end-products of selected aroma ingredients and precursors for the vitamin A, vitamin E, and carotenoid production.
- The following timing assumptions are based on our current knowledge and are subject to change depending on the full assessment of the damage and the development of the repair work.
- We expect the aroma ingredients to be produced first, with selected aroma ingredients being produced not before October 2024, and the remaining products not before the end of November 2024.
- They would be followed by the vitamin E, vitamin A and carotenoid products, for which the current assumption for start-up is not before January 2025.
- Thereafter, it will require at least several months to ensure "business as usual" which includes replenishments of global, regional and local inventory levels
Update August 16, 2024
A detailed investigation of the incident by experts is on-going. At the same time, cleaning, inspection and repair of the plant has already started.
We are in the process of informing customers about the product volumes they can expect to receive from our inventory, which will be allocated in a fair and reasonable manner in accordance with applicable law.
Update August 9, 2024
After declaring Force Majeure on deliveries of selected aroma ingredients including DL-Menthol yesterday, we have received inquiries regarding an impact on supply of L-menthol. To clarify, there is no Force Majeure declared on L-menthol, the L-menthol plant is not impacted by the incident in Ludwigshafen and continues to run as normal. Only the much smaller product DL-Menthol, produced at the affected plant, is impacted by the incident.
Update August 7, 2024
BASF declares Force Majeure for selected vitamin A, vitamin E, and carotenoid products as well as selected aroma ingredients. You can read the full press release here.
Update August 5, 2024
As of today, we have obtained restricted access to certain sections of the plant. We have removed the firefighting water, which necessitates special treatment. We have pumped it into designated containers and are preparing further assessment of the impacted parts of the plant.
Update August 1, 2024
At present, we cannot rule out delays or disruptions for products from the vitamin E and vitamin A value chain and related carotenoids.
Regarding aroma ingredients, we continue to produce core products of our aroma ingredients portfolio such as Citral, Citronellol, Linalool, Geraniol, Lysmeral, and related derivatives. We cannot rule out delays or disruptions for selected other aroma ingredients.
We appreciate your patience. Our sales representatives are in contact with customers of the afore-mentioned products.
The cause of the incident is currently under investigation. The relevant authorities have been informed. Per standard procedure, the building impacted by the fire is currently under supervision of state authorities. Once we have full access to the plant, we will begin assessing the extent of damage and repairs needed.
Update July 30, 2024
On July 29, 2024, around 12 PM CEST, an explosion followed by a fire occurred due to the leak of an organic solvent in a BASF plant in the southern part of our site in Ludwigshafen.
The plant manufactures aroma ingredients and precursors for the vitamin production.
The fire was extinguished by the BASF company fire department at around 12:45 PM CEST.
All injured employees could leave the medical center on the evening of July 29.
There was no contamination of air, water, or soil. BASF’s environmental monitoring vehicles were underway inside and outside the site and did not detect any product residues. The plant was shut down and is in a safe condition.
The cause of the incident is currently under investigation. The relevant authorities have been informed.
At this point, we cannot comment on any potential impact for customers of the afore-mentioned products yet. We appreciate your patience and will inform our customers when we obtain relevant information. BASF regards protection of health, safety, and the environment as our most important responsibility. We care about our employees, about our communities and about our customers.
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