olen site visit, advanced materials & group r&d · pdf fileolen site visit, advanced...
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Olen site visit, Advanced Materials &
Group R&D presentation
Olen site visit, Advanced Materials &
Group R&D presentation
30 March 201030 March 2010
Olen site visit Agenda of the day
Introduction on Umicore, the Olen site and Advanced Materials
Cobalt & Specialty Materials, with focus on rechargeable batteries
Sandwich lunch
Electro-Optic Materials, with focus on CPV
Site visit of Electro-Optic Materials Olen
Coffee break
Group R&D
Site visit of Group R&D Olen
End
11:30
11:45
12:15
13:00
13:30
14:15
14:30
15:00
15:45
3
Umicore today Our business approach
material solutionsMetals
Applicationknow-how
Recycling
Material
solutions
Chemistry
Material science
Metallurgy
3
4
Umicore today Strategic focus on Clean technologies
Energy
solutionsRecycling
solutionsEnvironmental
solutions
Clean technologies in Umicore
today represent
Clean technologies in Umicore
today represent
4
Materials for energy storage and
sustainable energy production
Materials for energy storage and
sustainable energy production
Addressing resource scarcity and emissions
by closing the materials loop
Addressing resource scarcity and emissions
by closing the materials loop
Technologies to mitigate environmental
impacts
Technologies to mitigate environmental
impacts
•
50% of revenues
•
80% of R&D expenses
•
50% of revenues
•
80% of R&D expenses
5
Revenues
1036
1358
1902
1725
1919 1910
2124
1723
2.5%3.2%
4.8%5.7% 5.4%
5.8%
7.0% 6.9%
8.7% 8.4%
7.2%8.0%
10.2%11.1%
14.6%
10.5%
0
500
1,000
1,500
2,000
2,500
2002 2003 2004 2005 2006 2007 2008 2009
(in million €)
Core Umicore Discontinued Umicore R&D / revenues Capex / revenues
Restated for discontinued operations in 2004, 2006 and 2008
Umicore today A change in the business profile
Capital intensive
Metal refinerR&D intensive
Materials technology company
5
-
-
Core Umicore
Divested business
- - Capex / revenues
- - R&D / revenues
6
Umicore today Worldwide presence
North America
•
744 (18) people
•
12 industrial sites
South America
•
1,097 (416) people
•
5 (1) industrial sites
•
1,512 (1,252) people
•
3 (1) industrial sites
Asia/Pacific
•
3,025 (1,739) people
•
22 (6) industrial sites
Europe
•
7,342 (980) people
•
38 (7) industrial sites
Africa
Total headcount 13,720 people
(of which 4,405 in associates)
Olen siteOlen site
8
Presence in Belgium
Overpelt
# 57
•
Zinc Chemicals
Brugge
# 69
•
Cobalt & Specialty Materials
Angleur
# 105
•
Zinc Chemicals
Heusden
Zolder
# 97 (62)
•
Zinc Chemicals
Brussels
# 199
•
Corporate•
Cobalt & Specialty Materials
Hoboken
# 1,358
•
Precious Metals Refining•
Battery Recycling
Olen
# 1,037
•
Cobalt & Specialty Materials•
Electro-Optic Materials•
Group R&D
Vilvoorde
# 41
•
Building Products
2,963 people
(of which 62 in associates)
A history of transformation
1853 Asturienne des Mines
1805 Vieille-Montagne
1928
1908 Soc. Générale Métallurgique de Hoboken
1887
1919 Société
Générale de Minerais
1959 Mechim
1906 Union Minière du Haut-Katanga
1981
1901 ACEC
1919 SIBEKA
1873 Degussa
(DM)
1800 1850 1900 1950 2000
1985
1989
1985
Union Minière
1990
1970
Usine de Désargentation
Cie
des Métaux d’Overpelt
1981
1989
2003DMC² PMG
2010
1919
2001
2007 Nyrstar
2005 Cumerio
2005 Traxys
MHO
UM
1989
(Degussa)
Cie
Industrielle Union
10
Olen before
•
One of Umicore’s oldest sites
•
Inaugurated in 1912
•
2nd
site of “Compagnie
Industrielle
Union”, later named “Société
Générale
Metallurgique
de Hoboken”
•
Multiple metals processed
•
Cobalt , germanium, nickel
(still today)
•
Copper
(now part of Aurubis)
•
Sodium, radium and uranium
(discontinued many years ago)
11
Olen today
•
One of Umicore’s 3 large production sites
•
1,027 employees
•
Headquarters of
•
Cobalt & Specialty Materials
•
Electro-Optic Materials
•
Umicore Group R&D
•
Environmental control
•
Seveso
status
•
ISO 14001 certified
Advanced Materials
Advanced Materials
Ge
Co Ni
C
Ge
Co Ni
C
Optics
Batteries
Photovoltaics
Pigments
Tools
Optics
Batteries
Photovoltaics
Pigments
Tools
13
Advanced Materials At a glance
•
Leading global position in cathode materials for lithium–ion batteries, cobalt powders for hard metal applications, germanium substrates for space solar cells
•
Produces high-purity metals, alloys, compounds and engineered products for a wide range of other specialist applications
•
Industrial operations around the world, supplying a global market
•
Synthetic diamond and super-abrasives activities are conducted in a joint venture with De Beers
Cobalt & Specialty Materials
Cobalt & Specialty Materials
Electro-
Optic Materials
Electro-
Optic Materials
Thin Film Products
Thin Film Products
Element Six
Abrasives
Element Six
Abrasives
14
Business group and business unit structure
UmicoreUmicore
Advanced
Materials
Advanced
Materials
Precious Metals
Products & Catalysts
Precious Metals
Products & Catalysts
Precious Metals
Services
Precious Metals
Services
Zinc
Specialties
Zinc
Specialties
Cobalt & Specialty Materials
Cobalt & Specialty Materials
Electro-Optic Materials
Electro-Optic Materials
Thin Film
Products
Thin Film
Products
Element Six Abrasives (40%)
Element Six Abrasives (40%)
Automotive
Catalysts
Automotive
Catalysts
Jewellery & Electroplating
Jewellery & Electroplating
Precious Metals Chemistry
Precious Metals Chemistry
Technical
Materials
Technical
Materials
Platinum Engineered Materials
Platinum Engineered Materials
Building
Products
Building
Products
Zinc
Chemicals
Zinc
Chemicals
Precious Metals
Refining
Precious Metals
Refining
Precious Metals
Management
Precious Metals
Management
Battery
Recycling
Battery
Recycling
15
Advanced Materials Key figures
Revenues
213 221
309275 287
332
395
305
0
100
200
300
400
500
2002 2003 2004 2005 2006 2007 2008 2009
(in € million)
Recurring EBIT
31
50
85
5953
62
22
71
13.1%
24.7%
20.9%
15.4%13.9%
14.7%
4.8%
15.2%
0
25
50
75
100
125
2002 2003 2004 2005 2006 2007 2008 2009
(in million €)
Return on Capital Employed (ROCE)
16
Revenues
AM18%
ZS15%
PMPC46%
PMS21%
(excluding metal)
Corporate not included
EBIT
AM11%
PMS56%
PMPC17%
ZS16%
(recurring)
Corporate not included
Capital employed
AM26%
PMS10%
PMPC48%
ZS16%
(average)
Corporate not included
16
Business group breakdown
AM Advanced MaterialsPMPC Precious Metals Products & CatalystsPMS Precious Metals ServicesZS Zinc Specialties
Excluding Corporate
17
Capital expenditure
AM27%
C8%
PMS24%
PMPC32%
ZS9%
Corporate not included
R&D expenditure
AM12%C
12%
PMS5%
PMPC68%
ZS3%
Corporate not included
Workforce
AM38%
C8%
PMS11%
PMPC27%
ZS16%
(end of period)
Corporate not included
17
Business group breakdown
AM Advanced MaterialsPMPC Precious Metals Products & CatalystsPMS Precious Metals ServicesZS Zinc SpecialtiesC Corporate
Olen site visit Agenda of the day
Introduction on Umicore, the Olen site and Advanced Materials
Cobalt & Specialty Materials, with focus on rechargeable batteries
Sandwich lunch
Electro-Optic Materials, with focus on CPV
Site visit of Electro-Optic Materials Olen
Coffee break
Group R&D
Site visit of Group R&D Olen
End
11:30
11:45
12:15
13:00
13:30
14:15
14:30
15:00
15:45
Business unit Cobalt & Specialty Materials
Business unit Cobalt & Specialty Materials
Rechargeable
Batteries
Rechargeable
Batteries
Ceramics &
Chemicals
Ceramics &
Chemicals
Tool
Materials
Tool
Materials
20
Cobalt & Specialty Materials At a glance
•
Leading player in cobalt applications with niche positions in nickel
•
Rechargeable Battery Materials: technology solutions for lithium
ion cathode materials
•
Ceramics and Chemicals: chemical specialties with a particular focus on REACH compliance
•
Tool Materials: product range for hard metal and diamond tools
•
Offers supply security through own refining, recycling, metals management and ethical sourcing policy
•
Global footprint with worldwide distribution channels
•
Largest BU in Advanced Materials
21
BlodelsheimFrance # 12
Cobalt & Specialty Materials Footprint: # 2,270 people (of which 1,232 in associates)
Cheonan Korea # 129
•
Cathode materials•
Tech Center RBM
Shanghai China # 43
•
Co powders
GangzhouChina # (874)
GYHU (40% associate)•
Co chemicals•
Co refining
Subic Philippines
# 81
•
Ni specialities•
Ni refining
OlenBelgium # 447
•
Headquarters•
R&D centre•
Co & Ni chemicals•
Co powders•
Co & Ni refining
Fort Saskatchewan Canada # 27
•
Ultrafine Co powders
Arab USA # 52
•
Co & Ni chemicals (crystals & solution)
•
Co recycling
BruggeBelgium # 69
•
Organic Co & other metal compounds
•
Other organics
•
Cu clippings•
Distribution
Jiangmen China # 449 (340)
JCU (40% associate)•
Ni(OH)2•
Ni refining
•
Cathode materials•
Battery precursorsMilanItaly # 16 (15)
Todini
(40% associate)•
Co & Ni products distribution
22
Cobalt & Specialty Materials Business model
Co & Ni
refining/recycling
Co oxides /
Ni & Co salts
Co
powders
Co & Ni
cathode precursors
Diversified supply strategy
Market leader
in niche applications
Alloyed
powders
Specialty
chemicals
Cathode
materials
Co & Ni containing
secondaries
Co & Ni metal &
compounds
Co
concentrates
Tooling
industry
Chemicals &
ceramics industry
Rechargeable
battery industry
Focus on the application
Add
val
ue t
o th
e m
etal
23
Cobalt & Specialty Materials Cobalt sourcing & usage
•
Umicore offers the broadest range of cobalt-based materials
•
Focus on sustainable supply: Long-term contracts and respecting Code of Conduct
•
Differentiated supply strategy
•
Refining of Co concentrates and recycling
of production scrap and end of life materials
•
Purchase of Co metal & compounds
•
Metal price hedging is key
Global applications of cobalt
Batteries 22%
Cutting Tools 13%
Catalysts 9%Carboxylates 9%
Others 3%
Superalloys 20%
Magnets 7%
Hardfacing 7%
Colours 10%
Umicore presence
24
CobaltCobalt
Abrasive bonding Abrasive bonding
Valve seatsValve seats
Diamond ToolsDiamond Tools
Hard metalsHard metals
Co powdersCo powders
Pre-alloyed Co
powders
Pre-alloyed Co
powders
Supply Metal Product Application Market
Power toolsPower tools
Current HEV vehiclesCurrent HEV vehicles
NiMH batteriesNiMH batteries
Cobalt & Specialty Materials Tool Materials
products & applications
Co concentratesCo concentrates
Co residuesCo residues
25
CoCo
Ni saltsNi salts
PigmentsPigments Ceramics & glassCeramics & glass
AdhesivesAdhesives
CarboxylatesCarboxylates
PetrochemistryPetrochemistry
PlasticsPlastics
CatalystsCatalysts
PlatingPlating
Co oxidesCo oxides
NiNi
Supply Metal Product Application Market
Ni residuesNi residues
Co saltsCo salts
Co concentratesCo concentrates
Metal treatmentMetal treatment
Cobalt & Specialty Materials Ceramics & Chemicals products & applications
Co residuesCo residues
26
Supply Metal Product Application Market
Cobalt & Specialty Materials Rechargeable Batteries products & applications
CoCo
Ni residuesNi residues
LCO
Li cobaltite
LCO
Li cobaltite
NiNi
NMC
Li NiCoMn
oxide
NMC
Li NiCoMn
oxide
Stationary powerStationary power
Ni hydroxideNi hydroxide E-bikesE-bikes
(P)HEV / EV(P)HEV / EV
Portable electronicsPortable electronics
Ni-MH rechargeable batteries
Ni-MH rechargeable batteries
Li-ion rechargeable batteries
Li-ion rechargeable batteries Power toolsPower tools
Co concentratesCo concentrates
Co residuesCo residues
NCA
Li NiCoAl
oxide
NCA
Li NiCoAl
oxide
27
•
Rechargeable battery materials (lithium ion)
•
Emerging power applications such as (Hybrid) Electrical Vehicles
(HEVs)
•
Growing portable electronics market
•
In-house technology advances
•
Other product areas
•
Evolution in end user industries, e.g. chemicals, construction, drilling
•
Legislative demands on new products, e.g. REACH
•
Development of new applications
•
Co & Ni supply & refining
•
Metal prices
Cobalt & Specialty Materials Business drivers
28
Cobalt & Specialty Materials The Li-ion cathode materials market
•
Growth driven to date by portable electronics
•
Future growth will be increasingly driven by new applications
Source: IIT Takeshita
2009
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
2003
2005
2007
2009
2011
2013
2015
2017
(in MWh/year)
Portable electronics Power tools (P)HEV / EV
Power demand for Li-Ion batteries
29
Cobalt & Specialty Materials The Li-ion battery materials flowsheet
Components
(Electrodes)
Raw &
functional
materials
Battery
cell
Battery
pack
Application Recycling
•
Graphite•
Cathode (LiMox)•
Polymer•
Binder•
Carbon Black•
Cu/Al foils•
Electrolyte
•
Unit cells•
Cathode•
Anode•
Separator•
Connectors•
Housing
•
Modules•
Battery packs•
Portable electronics
•
Power tools•
(H)EVs•
Stationary•
Industrial
•
Co•
Ni•
Mn•
(Li)
30
Cobalt & Specialty Materials Li-ion cathode material evolution
•
Lithium cobaltite (LiCoO2
) dominated first decade of Li-ion technology
•
Mixed compounds as NMC
introduced since 2005•
NMC compounds reduce
cobalt use; first enters
low-mid end of the market
•
e.g. Cellcore MX®
•
Other materials developed
for future generations of
Li-ion technology
Capacity
SafetyReversibility
Ni
Co MnNMC spectrum
Cathode materialsCathode capacity*
Battery capacity
Battery safety
Battery cyclability
Battery
cost
LCO (LiCoO2
) 160 ++ ++ ++ +
LNO (LiNiO2
) 170 +++ + + +
NMC (LiNix
Mny
Co1-x-y
O2
) 130-160 ++ ++ ++ ++
LMO (LiMn2
O4
) 120 + ++++ + +++
LFP (LiFePO4
) 160 + ++++ ++ +++
* Ah/kg
31
Cobalt & Specialty Materials Umicore’s unique position in Li-ion cathode materials
•
Wide product portfolio
•
In production:
LCO, NMC, NCA
•
In R&D:
LFP → improvement patents and licenses in place
•
Multiple applications: portable electronics, automotive, stationary power, …
•
Diversified and integrated production base
•
Multiple plants, globally spread to stimulate close customer contact
•
Integrated precursor production
•
Broad customer base
•
Closed-loop solution including the battery recycling
→
Major development efforts go into building a stronger IP position and gaining
a higher application knowledge that will further strengthen our position
32
0%
5%
10%
15%
20%
25%
30%
Nichia
Corp
.
Umico
reAG
C Sei
mi C
hem
ical
Chin
ese
Loca
l
Nippo
n Ch
emica
l Indu
strial
Toda
Kog
yoSe
ido Ch
emica
l
BYD
Tana
ka C
hem
ical
TRON
OXA1
23Sy
stem
sFM
C Lit
hium
Toda
Kog
yo
Sum
itom
o M
etal
Mini
ngSa
ntok
u Co
rp7
othe
r com
pani
es
(% market share of non captive market)
Cobalt & Specialty Materials Umicore’s current position in Li-ion cathode materials market
•
Umicore is a leading player with the broadest range of customers
and a good
geographical mix
Source: Avicenne
2008
33
Cobalt & Specialty Materials Umicore’s position in Li-ion cathode production
•
Existing production base
•
Cheonan, Korea•
Li-Ion cathode materials production
•
Applied research centre
•
Jiangmen, China•
Li-Ion cathode precursors & materials production
•
Olen, Belgium•
Li-Ion cathode precursors production
•
Basic battery materials research
•
Recent investments enable larger scale production of new materials
•
Additional investments will be required
when the market further develops
JUC plantJUC plant
Cheonan plantCheonan plant
Cheonan
Jiangmen
34
•
Rechargeable battery materials
•
Develop new product technologies (and production infrastructure)
•
Penetrate the new markets for rechargeable batteries including (H)EV
•
Increase presence with Japanese battery manufacturers
•
Other product areas
•
Develop new, advanced chemical solutions (e.g. carboxylates, …)
•
Differentiate supply / extend closed-loop offering
(cfr. Umicore Battery Recycling)
Cobalt & Specialty Materials Business strategy
Olen site visit Agenda of the day
Introduction on Umicore, the Olen site and Advanced Materials
Cobalt & Specialty Materials, with focus on rechargeable batteries
Sandwich lunch
Electro-Optic Materials, with focus on CPV
Site visit of Electro-Optic Materials Olen
Coffee break
Group R&D
Site visit of Group R&D Olen
End
11:30
11:45
12:15
13:00
13:30
14:15
14:30
15:00
15:45
Business unit Electro-Optic Materials
Business unit Electro-Optic Materials
OpticsOptics SubstratesSubstrates
37
Electro-Optic Materials At a glance
•
World leader in germanium products
•
Substrates for solar cells used in space applications
•
Customised germanium-based material solutions for infrared optics and opto-
electronics
•
Focuses on high added value products and high volume markets
•
Makes the difference through innovation and technological base
•
Offers supply security through own refining, recycling and metals management
•
Umicore BU with highest premium over metal content
38
AcignéFrance # 10
Dundee UK # 20
•
R&D centre coatings
Olen Belgium
# 251
•
Headquarters•
R&D centre•
Ge refining & recycling•
GeCl4•
Ge substrates•
Ge optics
Quapaw USA # 91
•
GeCl4•
Ge & GASIR optics•
Ge substrates
•
R&D centre GASIR glass•
GASIR production
Electro-Optic Materials Footprint # 392 people
39
Electro-Optic Materials Business model
•
Complete Ge product portfolio covering all Ge-based products
•
Focus on higher added value products
and customer-specific products
•
Integrated Ge refining capacity
•
To secure part of Ge supply needs
and thereby enable a fixed
Ge price for customers
•
To allow recycling of internal and the customer’s production scrap
GeO2
High purity Ge
Ge substrates
Ge residues
GeCl4
Ge lenses
Ge metal
40
Electro-Optic Materials Germanium sourcing & usage
Global applications of germanium
Fibre optics(GeCl4) 20%
Chemical(GeO2) 45%
Infrared optics(Ge lenses)
30%
Electronics(Ge
substrates) <5%
Source: Umicore estimates
Umicore active in all domains
Source: Umicore estimates
•
Yearly world primary refining: ~90 tonnes
•
By-product of mainly zinc and coal mining
•
Starting material can be as low as 0.5% Ge
•
Yearly supply from recycling: ~30 tonnes
•
Important due to scarcity of the material
and relatively high price
•
Umicore supply strategy
•
Own refining/recycling capacity allows choice
in sourcing refined Ge, concentrates or recyclables
•
Majority of supply needs covered by long term contracts, remainder spot contracts
41
Supply Metal Product Application Market
Mine residues
e.g. Zn ores
Mine residues
e.g. Zn ores
GeGe
Production residues
e.g. from optic fibres
Production residues
e.g. from optic fibres
GeCl
4
GeCl4
GASIR®
opticsGASIR®
optics
Optic fibresOptic fibres Optical networksOptical networks
Driver vision enhancement
Driver vision enhancement
Preventive maintenancePreventive maintenance
IR camerasIR cameras
Surveillance & securitySurveillance & security
Medical applicationsMedical applicationsGe opticsGe optics
Electro-Optic Materials Optics products & applications
42
Supply Metal Product Application Market
GeGe
Multi-junction solar cellsMulti-junction solar cells
Space satellitesSpace satellites
Ge substratesGe substrates
LEDsLEDs Solid-state lightingSolid-state lighting
Solar power stationsSolar power stations
Production residues
e.g. from optic fibres
Production residues
e.g. from optic fibres
Electro-Optic Materials Substrates products & applications
Mine residues
e.g. Zn ores
Mine residues
e.g. Zn ores
43
Electro-Optic Materials Business drivers
•
Need for sustainable energy solutions, leading to
•
Growth of concentrator photovoltaics for clean energy generation
•
LED technology allowing energy-efficient and durable lighting solutions
•
Continuous increase of telecommunication needs, leading to
•
Growing power demand for newly launched (telecom) satellites
•
Deployment of optical fibre networks
•
Increasing safety and security
needs
•
Creating a need for infra-red camera and detector systems used in night vision, fire-
fighting and surveillance systems
44
Electro-Optic Materials Concentrator photovoltaics (CPV)
•
Germanium-based solar cells offer highest energy conversion ratio
•
Industrial efficiencies up to 40%
(cfr. Si 15%-20%)
•
Higher cost limits use to niches (space)
•
Concentration set-up allows
cost-effective use on earth
•
Using concentration optics (lenses or mirrors)
•
Using concentrations of up to factor 1,000x
•
Applicability limited to
•
Sun-rich countries (direct sunlight needed)
•
Larger installations (sun tracking required)
Concentration with lens systemConcentration with lens system
CPV based solar panelCPV based solar panel
top cell (1.8eV)
GaInP
middle cell (1.4eV)
Ga(In)As
bottom cell (0.7eV)
Ge
back contact
tunnel junction
tunnel junction
A/R*A/R*front
contact
substrate
Ge
*A/R: Anti-Reflective coating
45
Electro-Optic Materials High-efficiency solar cells
•
Best energy conversion ratio
•
III-V compounds are deposited onto a germanium substrate to form a number of cells on top of each other
•
Allows to convert solar spectrum more efficiently
•
Industrial efficiency up to 40%
•
World record at 42%
•
Application
•
Main application up to today is
for space solar cells
•
Use of these cells in terrestrial applications is rapidly growing, using concentration (CPV)
46
Electro-Optic Materials Principle of Concentrator Photovoltaics (CPV)
Courtesy of Concentrix
GmbH, Germany
Concentrating optics
40% cell efficiency
80-85% optical efficiency
Heat sink
Module efficiency
>30 % feasible
•
Using high concentration factors (100x –
1000x), the relative cost of the cell in the system goes down
•
Increased efficiency of total system more than offsets the higher cost of high efficiency solar cells
•
Cell also needs to resist to higher temperatures
(Si cells are less tolerant)
47
Data: May 1st
2008, Sevilla, courtesy of Concentrix
GmbH, Germany
Silicon fixed CPV tracked
Electro-Optic Materials Advantages of tracking systems
•
Optimisation of effective surface following the sun movement
•
During the day
•
Over the seasons
•
Concentration mandatory for CPV to allow concentration
10:00 12:00 14:00 16:00 18:00
48
•
Direct irradiation
required to allow
for concentration
to function
•
Sufficient irradiation
required for optimal
cost structure
•
Regions with direct irradiation (marked in yellow) are potential
markets for
efficient use of CPV systems
Courtesy of Concentrix
GmbH, Germany
Electro-Optic Materials Where to install CPV?
49
Electro-Optic Materials Basic idea is translated in a wealth of designs
50
Electro-Optic Materials CPV summary
•
High system efficiency allows efficient land use
•
Efficiency remains high with high ambient temperatures
•
Strong cost reduction still feasible
•
Competitiveness versus solar thermal power plants
•
Favourable modularity (100 kW units)
•
Low maintenance
•
No water usage
Competitive in sunny locations !
51
Electro-Optic Materials The high efficiency solar cell materials flowsheet
Solar cell
moduleGe
substrateSolar cell
Ge GaO
ptical system
Electrical system
Infrastructure
In …
Solar cell
system
Current market share in Ge substrates >50%
Ge
recycling
52
•
Germanium solar cells are a niche application
•
More than $ 1 billion invested into CPV over the past few years
Electro-Optic Materials Concentrator photovoltaics potential
Source: CPV Today, July 2009
•
Current substrates business for space applications
= ~ 400.000 4”
wafers/year
•
1000 MWp
terrestrial solar power
= ~ 1,3 million 4”wafers
62120
183251
324400
500
614
739
875
9881044
0
200
400
600
800
1000
1200
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
(in MW)
Yearly installed terrestrial CPV solar power
53
“Bring space PV down to earth”
•
Focus on higher added value products
•
Maintain leading position in substrates for space photovoltaics
•
Enable the further penetration of germanium in terrestrial photovoltaics and LED lighting
•
Development of Ge-light optics for high-
volume applications (GASIR®)
Electro-Optic Materials Business strategy
Business unit Thin Film Products
Business unit Thin Film Products
Optics & Electronics
Optics & Electronics
Large Area
Coatings
Large Area
Coatings
55
Thin Film Products At a glance
•
Supplier of sputtering targets and evaporation sources for a number of coating applications
•
Antireflection and wear protection coatings
•
Layers for the semiconductor and optical data storage industry
•
Transparent conductive layers
(TCO) for displays, photovoltaics and architectural glass
•
Recycling of the different materials
•
Innovative product portfolio
56
Providence USA # 48
BejingChina # 29
•
Production & sales of optical materials
Hsinchu
HsienTaiwan # 12
•
Sales office•
Bond-shop
BalzersLiechtenstein # 112
•
Headquarters•
production•
R&D centre
Manaus Brazil # 4
•
Production silver sputtering targets
Nashua USA # 6
•
Sales office•
Bond shop
•
ITO for large area coatings
•
R&D centre
Thin Film Products Footprint # 217 people
57
•
Thin Film Products’
business model is based on 2 core competencies:
•
The design and manufacturing of sputtering targets
•
The recycling of spent targets
•
Material utilisation of sputtering targets is 30-40%
for planar and 70 -
80% for
rotary targets. The need for
recycling of spent targets is
therefore built into the business
model of Thin Film Products
Thin Film Products Business model
Recycling is crucial
in order to support
the supply and sustainability of
the business
Raw
materialsUse of
targets
Casting &
Bonding
Recycling of spent targets
58
Supply Metal Product Application Market
Thin Film Products Optics & Electronics products & applications
Precision opticsPrecision optics
Ophthalmic glasses, binoculars,…
Ophthalmic glasses, binoculars,…Ophthalmic coatingOphthalmic coating
Evaporation materials, tablets granules
(oxides & fluorides)
Evaporation materials, tablets granules
(oxides & fluorides)
Sputtering targetsSputtering targets
Primary materialsPrimary materials
Semiconductors & Data storage: Hard discs, DVD, Semiconductors & Data
storage: Hard discs, DVD,
End-of-life materialse.g. spent targets
End-of-life materialse.g. spent targets
Secondary materialsSecondary materials
Infrared applicationsInfrared applications
Microelectronic ChipMicroelectronic ChipMicroelectronic WaferMicroelectronic Wafer
Precious metals:Au, Ag, Pt, Pd
Precious metals:Au, Ag, Pt, Pd
Special metals:
In, Se, Te, Ge
Special metals:
In, Se, Te, Ge
Zr, ZnS, Ti, Si,Cr, Al, Ta
Zr, ZnS, Ti, Si,Cr, Al, Ta
Mg, Y, Sc, Nb, HfMg, Y, Sc, Nb, Hf
Different layer coatingsDifferent layer coatings
59
Recycling of spent targets in BU, Zn recycled in ZC BU, other materials recycled in PMR BU
Supply Metal Product Application Market
IndiumIndium
SiliconSilicon
AZO sputtering targetsAZO sputtering targets
ITO sputtering targetsPlanar/Rotatable
ITO sputtering targetsPlanar/Rotatable
Si, Ag targetsSi, Ag targets
AluminumAluminum
LCD and plasma screensLCD and plasma screens
Thin film photovoltaicsThin film photovoltaics
Decorative & architectural glass
Decorative & architectural glass
SilverSilver
Touch panelsTouch panels
Transparent conductive oxide layer
Transparent conductive oxide layer
Various other targetsVarious other targets
Anti reflective layerAnti reflective layer
End-of-life materials
e.g.
spent targets
End-of-life materials
e.g.
spent targets
ZnOZnO
Thin Film Products Large Area Coatings products
& applications
Primary materialsPrimary materials
Secondary materialsSecondary materials
60
Thin Film Products Business drivers
•
Growth of large area coating applications
•
Driven by growing demand for photovoltaics
and penetration of thin film technology as a viable technology
•
Driven by demand for flat screen displays
•
Driven by demand for window glass coatings
•
General demand for coating materials
•
Used in electronics, optics, wear protection, …
•
Driven by global economic demand
61
Thin Film Products Business strategy
•
Develop industrial scale production for new materials
•
ITO* and AZO* used in photovoltaics, glass and display
applications
•
Using innovative product designs as rotary targets
•
Strengthen Umicore’s position in sputtering targets & evaporation materials for Optics & Electronics, based on our key competencies in production and application know-how.
*
ITO: Indium Tin Oxide; AZO = Aluminium-doped Zinc Oxide
Element Six Abrasives
Element Six Abrasives
Oil & GasOil & GasHard
Materials
Hard
Materials
Advanced
Materials
Advanced
Materials
6363
•
World’s leading supplier of industrial diamond and superabrasives
•
Global presence
•
Manufactures diamond* using high pressure high temperature (HPHT) synthesis
•
Encompasses applications in the automotive, aerospace, oil & gas
drilling,
mining, electronics, construction and wood-working industry.
•
Joint venture set-up: Umicore 40%, De Beers 60%
Element Six Abrasives At a glance
*
Diamond materials are the hardest substance known and are widely used in cutting, grinding, shearing and polishing applications
64
Suzhou
China # 173
•
Diamond Synthesis / Processing
BurghaunGermany # 303
•
Carbide production•
Sales and Marketing Centre
RobertsforsSweden # 68
•
CBN & polycrystalline
synthesis
/ Processing•
R&D Centre
Shannon Ireland # 242
•
Diamond Processing•
Market Support Centre
Chiswick UK
# 26
•
Group Service Centre
Johannesburg
South Africa # 1,357
•
Diamond Synthesis / Processing
•
Carbide production•
Diamond Research Laboratory
Element Six Abrasives Footprint # 2,530 people
Operational plants only
# = Headcount
Wuxi China # 77
•
Carbide production
PoltavaUkraine # 203
•
Diamond Synthesis / Processing
65
Through the use of tungsten carbide, Element Six has a long established presence in mining through drilling components, road construction and wear parts.
Element Six manufactures diamond and cubic boron nitride (CBN) in both grit and poly-
crystalline forms to serve a wide range of precision applications like cutting, grinding, drilling and polishing. These products are then used in various industries like automotive, wood-cutting, metal-cutting, electronics and aerospace.
Element Six Abrasives Business model
Element Six is the established leader in the market of polycrystalline diamond drills heads for the oil & gas industries.
Oil & GasOil & Gas Advanced MaterialsAdvanced Materials Hard MaterialsHard Materials
To deliver extreme performance through innovative diamond solutions
66
Industrial diamond gritIndustrial diamond grit
tungsten carbidetungsten carbide
Polycrystalline diamondPolycrystalline diamond
Wear PartsWear Parts
Drilling solutionsDrilling solutions
Oil industry(onshore & offshore)
Oil industry(onshore & offshore)
Gas industry(onshore & offshore)
Gas industry(onshore & offshore)
Supply Material MarketProduct Application
Element Six Abrasives Oil & Gas products & applications
GraphiteGraphite
Metal additivesMetal additives
Carbide drill piecesCarbide drill pieces
Drill CuttersDrill Cutters
Diamond impregnated cutting surfaces
Diamond impregnated cutting surfaces
67
Supply Material MarketProduct Application
GraphiteGraphite
Metal additivesMetal additives
Industrial diamond gritIndustrial diamond grit
cubic boron nitridecubic boron nitride
tungsten carbidetungsten carbide
Polycrystalline diamondPolycrystalline diamond
Cutting discs, wheels and wires
Cutting discs, wheels and wires
Metalworkingtools
Metalworkingtools
Grinding discs, wheels, wires and powders
Grinding discs, wheels, wires and powders
Woodworkingtools
Woodworkingtools
Construction & ExtractionConstruction & Extraction
Metal-cutting industriesMetal-cutting industries
Wood-workingWood-working
Automotive industryAutomotive industry
Polycrystalline discs and inserts
Polycrystalline discs and inserts
Fine diamond gritFine diamond grit
Coarse diamond gritCoarse diamond grit
Element Six Abrasives Advanced Materials products & applications
68
Supply Material MarketProduct Application
TungstenTungsten
Metal AdditivesMetal Additives
Tungsten carbideTungsten carbide
SteelSteel
Polycrystalline diamondPolycrystalline diamond
Solid carbide rods & burrs
Solid carbide rods & burrs
Road planing
pickRoad planing
pick
Drilling insertsMining picks
Drilling insertsMining picks
Bespoke Tungsten carbide products
Bespoke Tungsten carbide productsCobaltCobalt
Road planing
machinesRoad planing
machines
Drilling & miningDrilling & mining
Wear partsWear parts
DrillsDrills
Road constructionRoad construction
MiningMining
Metal cutting (e.g. automotive)
Metal cutting (e.g. automotive)
Multi-industry (e.g.
mill rolls, paper cutting)
Multi-industry (e.g.
mill rolls, paper cutting)
Element Six Abrasives Hard Materials products & applications
69
Element Six Abrasives Business drivers
•
Growth of construction activity
•
Building, road, automotive, machinery and other industrial applications
•
Supported by global demand
•
Growth of mining, oil and gas industry
•
Supported by increased demand for materials and fossil fuels
•
Substitution of lower performance abrasives by high-end synthetic diamonds
•
Material cost being outweighed by longer operational lifetime of
the tool
70
Element Six Abrasives Technology
•
Diamond synthesis
•
Capsule recipes
•
High pressure systems
•
Coatings and claddings
•
Carbide capabilities
•
Finished processing
=
Application performance
71
Element Six Abrasives Business strategy
•
Mission:
To deliver extreme performance through innovative diamond solutions
•
Vision:
•
Build a high margin, sustainable Diamond solutions business, through:
•
Market-driven strategic prioritisation & focus
•
Downstream development partnerships
•
Competitive total innovation capabilities
•
Continuous productivity enhancement
Olen site visit Agenda of the day
Introduction on Umicore, the Olen site and Advanced Materials
Cobalt & Specialty Materials, with focus on rechargeable batteries
Sandwich lunch
Electro-Optic Materials, with focus on CPV
Site visit of Electro-Optic Materials Olen
Coffee break
Group R&D
Site visit of Group R&D Olen
End
11:30
11:45
12:15
13:00
13:30
14:15
14:30
15:00
15:45
Research and developmentResearch and development
Marc Van Sande
Chief Technology Officer
Marc Van Sande
Chief Technology Officer
74
•
Strong and consistent commitment to R&D
•
R&D organised in competence platforms over Group R&D and the different BUs
•
R&D efforts focused on clean-tech domains
•
Recycling solutions →
Closing the materials loop
•
Environmental solutions →
Pollution reduction
•
Energy solutions →
Sustainable energy production and storage
•
•
Balanced R&D portfolio (Short term product development and long term research projects)
•
890 people currently employed in R&D functions (of which 236 in associates)
•
325 granted patent families, and 199 pending
Research & development At a glance
Recycling Solutions
Closing the materials loop
Energy Solutions
Sustainable energy production and
storage
Environmental Solutions
Pollution
reduction
75
Research & development Footprint Group R&DRechargeable batteries
Automotive catalysts
Electro-optic materials
Precious metals products Thin film products
7617
Research & Development Expenditure
•
R&D expenditure currently at some 7% of revenues
•
Some 80% of expenditure focused on Clean Technologies
•
R&D efforts planned to continue at similar level
R&D
25
44
9199 98
111
149
120
31
48
104112 110
125
165
136
2.5%
3.2%
5.4%5.7% 5.8% 5.8%
7.1% 6.9%
0
50
100
150
200
2002 2003 2004 2005 2006 2007 2008 2009
(in million €)(in million €)
Fully consolidated Associates
R&D / revenues
Restated for discontinued operations in 2004, 2006 and 2008
77
Research & development Focus
R&D expenditure
AM12%
ZS3%
PMPC68%
PMS5%
C12%
Corporate not included
R&D expenditure
Clean Technolo
gies80%
Other 20%
Corporate not included
78
Research & development Patent filings
Intellectual Property: Priority Filings 2004 - 2009
43
22
34
51
4341
0
10
20
30
40
50
60
2004
2005
2006
2007
2008
2009
(# of filings)
Hanau Olen Total
79
Group Research & Development Key activities
80
Research & development: An integrated approach
•
Technology platforms are found both in Group R&D and in the business unit R&D
•
Part of the R&D performed by each BU is specific to the BU technology and market, and therefore might not fit in a technology platform
•
Group R&D creates, fosters and develops Group innovation projects from the idea stage to venture unit status
81
Competence platform Recycling & Extraction Technology
•
Development of metallurgical processes
to close the materials loop:
•
Waste-free recycling
•
Green processes
•
High throughput of precious and
specialty metals
•
Strong knowledge base built on historical expertise of the predecessors of Umicore
82
Competence platform Fine Particle Technology
•
Development of micron-
and nano-sized
functional materials: metals, alloys, oxides
•
Functionalisation
of particles for specific
applications: coatings, dispersions
•
Cost-effective industrial scale processing and production processes
83
Competence platform Scientific & Technical Operations Support
•
State of the art laboratory and pilot installations
•
Advanced research methods:•
Computer modelling•
High throughput experimentations•
Data mining
•
IP-protection, external funding, external
network management and scouting
84
Competence platform Environment, Health & Safety (EHS)
•
Scientific and technology development to implement Umicore’s EHS-policies
•
EHS-related risk assessments
•
Toxicity and exo-toxicity evaluation
•
Product life cycle analysis
85
Competence platform Analytical Competencies
•
Analytical services to business units and Group R&D
•
Development and implementation of state of the art analytical tools
86
Research & Development Clean Technologies definition
87
AdvancedMaterials
Precious Metals
Products & Catalysts
Precious Metals
Services
ZincSpecialties
CorporateAdvancedMaterials
Precious Metals
Products & Catalysts
Precious Metals
Services
ZincSpecialties
Corporate
Recycling &
extraction
technology
Fine particle
technology
BU specific
technology
Co
refining/
recycling
Ge
substrates
Rechargeable
batteries
Ge
optics
Ceramics &
chemicals
Zn
battery
materials
Ge
refining/recycling
Synthetic
diamonds
Tool
materials
Automotive
catalysts
Technical
materials
Thin film
products
Precious
metals
chemistry
Pt
engineered
materials
Industrial
by-products
recycling Solar-grade
Si
(HyCore)
Nano-
oxides
Fuel cells
Zn
recycling
Fine Znpowders
Building
products
E-scraprecycling
Catalystrecycling
Zn
oxides
Ni
recycling
Electro-
plating
Recycling
solutions
Jewellery
recycling
Jewellery
& industrial
metals
Fine particle
technology
BU specific
technology
Research & Development: Recycling solutions
Recycling &
extraction
technology
AdvancedMaterials
Precious Metals
Products & Catalysts
Precious Metals
Services
ZincSpecialties
Co
refining/
recycling
Ge
refining/recycling
Industrial
by-products
recycling
Zn
recycling
E-scraprecycling
Catalystrecycling
Ni
recycling
Batteryrecycling
Jewellery
recycling
•
All business groups have an expertise / presence in recycling technology
•
It is a key component in
•
Closing the materials loop and reducing energy consumption
•
Providing economic value for both customers and Umicore
•
Promoting closer customer relationships
•
Security of supply
88
Recycling &
extraction
technology
Fine particle
technology
BU specific
technology
Fine particle
technology
BU specific
technology
Research & Development: Environmental solutions
AdvancedMaterials
Precious Metals
Products & Catalysts
Precious Metals
Services
ZincSpecialties
Corporate
Automotive
catalysts
Pt
engineered
materials
Fine Znpowders
•
The majority of environmental solutions currently provided by Umicore are based on catalysts
•
The market for environmental catalysis is evolving rapidly and requires constant innovation
89
Recycling &
extraction
technology
Research & Development: Energy solutions
Fine particle
technology
BU specific
technology
AdvancedMaterials
Precious Metals
Products & Catalysts
Precious Metals
Services
ZincSpecialties
Corporate
Ge
substrates
Rechargeable
batteries
Technical
materials
Thin film
products
Fuel cells
Building
products
•
The focus is on materials used in the production of clean energy
(e.g. photovoltaics, fuel cells) or in solutions for energy storage (e.g. lithium-ion rechargeable batteries)
Solar-grade
Si (HyCore)
90
Research & Development Some notable recent Cleantech breakthroughs
•
Energy Solutions
•
Pioneer in new Li-ion materials e.g. Cellcore MX®, QX ®
•
Breakthrough in 12”
and <100 micron Ge substrates production
•
Environmental solutions
•
First developer of Pd-containing catalysts for automotive diesel applications
•
Pioneer of catalyzed diesel particulate filters (DPF)
•
Market first in lean-burn catalysis (for Daimler and BMW)
•
Successful delivery of full Heavy Duty Diesel product range
•
Recycling solutions
•
New process for precious metals recycling pre-concentration step
•
New battery recycling process using ultra high temperature technology
91
Research & Development Pipeline: current Cleantech focus
•
Energy Solutions
•
Development of next generation Lithium-ion battery materials
•
Reforming, electro catalysis and coated membranes (SolviCore) for PEMFC –
fuel cells
•
Materials for photovoltaics (PV)
•
Solar grade Silicon (HyCore)
•
Next generation transparent conductive oxides for thin film solar cells
•
Environmental solutions
•
Next generation exhaust catalyst solutions for on-road and off-road applications
•
Integrated solutions for electrification of drive-trains
•
Recycling solutions
•
Innovative metallurgical recycling solutions
Olen site visit Agenda of the day
Introduction on Umicore, the Olen site and Advanced Materials
Cobalt & Specialty Materials, with focus on rechargeable batteries
Sandwich lunch
Electro-Optic Materials, with focus on CPV
Site visit of Electro-Optic Materials Olen
Coffee break
Group R&D
Site visit of Group R&D Olen
End
11:30
11:45
12:15
13:00
13:30
14:15
14:30
15:00
15:45
93
Forward-looking statements
•
This presentation contains forward-looking information that involves risks and uncertainties, including statements about Umicore’s plans, objectives, expectations and intentions.
•
Readers are cautioned that forward-looking statements include known and unknown risks and are subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond the control of Umicore.
•
Should one or more of these risks, uncertainties or contingencies materialize, or should any underlying assumptions prove incorrect, actual results could vary materially from those anticipated, expected, estimated or projected.
•
As a result, neither Umicore nor any other person assumes any responsibility for the accuracy of these forward-looking statements.
