Fluor Daniel Thursday reported that it has entered into an agreement
with Atlanta-based RPC Inc. (NYSE:RES) to market a new technology that
more efficiently produces adipic acid, a key component used in the
manufacture of Nylon 66.
Scientific researchers funded by RPC, and engineers from Fluor Daniel,
the engineering, procurement and construction subsidiary of Fluor Corp.
(NYSE:FLR), have developed a process owned by RPC for manufacturing
adipic acid that is less costly and safer for the environment.
Adipic acid is one of the primary raw materials used to produce what is
known as Nylon 66, a synthetic fiber found in carpeting, automobiles,
clothing and other commonly used consumer products.
Cost reductions to manufacturers using the new technology could average
more than 30 percent in capital costs and more than 20 percent in
operating costs, researchers noted. This is the result of the
elimination of one of the two oxidation steps currently necessary to
produce adipic acid, which require a nitric acid oxidation step that has
been eliminated in the new technology.
Additionally, the new technology results in a significant reduction in
environmental impact through the elimination of the nitric acid and,
thus, the absence of N2O and NOx emissions, researchers reported.
"Not only will manufacturers benefit from dramatic capital cost
reductions, but they will also realize cost savings through the
elimination of environmental issues related to the disposal of nitric
acid by-products," said Mag Fouad, vice president of process technology
for Fluor Daniel.
RPC began funding research on the new manufacturing technology in 1993,
resulting in the construction of a test facility in Poulsbo, Wash., that
was used to validate the technology.
Fluor Daniel joined the research effort in 1998 and conducted extensive
due diligence studies and directed some of the research effort to
validate unit operations critical to the success of the technology.
These efforts now comprise the basis of the two firms' marketing plans
for the new process.
Fluor Daniel is the engineering, procurement and construction subsidiary
of Aliso Viejo, Calif.-based Fluor Corp. In 1998, Fluor Corp. revenues
were $13.5 billion. Further information is available online at www.fdglobal.com/newtech.
