"Given the confidence in the technology and the strong market demand for renewable materials, Synthos has committed to building a plant with a capacity of 40ktpa—twice as much as the companies had originally planned," the companies added.
The two companies did not provide further details on the location or the cost of the plant, but said they had now agreed to move into the engineering and design phase of the project.
In addition to the capacity expansion, Synthos confirmed that it will license BASF's butadiene extraction technology from Lummus and leverage the Houston-based company's digitalization capabilities for operational efficiency and reliability.
"Synthos is making great strides in developing a synthetic rubber product portfolio with a significantly reduced environmental footprint," said Matteo Marchisio, synthetic rubber business unit director at Synthos.
The company, Marchisio said, expects sustainable rubber to "play an important role" in the rubber industry's ability to meet the demands of modern mobility.
"This technology has the potential to be the new standard in our industry due to its renewable sourcing, production efficiency and low carbon footprint," said Leon de Bruyn, president and CEO of Lummus Technology.