Dow and BASF receive Presidential Green Chemistry Challenge Award for HPPO Technology

Midland, MI & Ludwigshafen, Germany - The Dow Chemical Company (Dow) and BASF received a 2010 Presidential Green Chemistry Challenge Award at a ceremony held June 21 at the Ronald Reagan Center in Washington, D.C. The two companies were honored for their jointly developed hydrogen peroxide to propylene oxide (HPPO) technology that vastly improves the production process of a key chemical intermediate, propylene oxide. Propylene oxide from the HPPO process can be used in a variety of applications from home insulation, appliances, automobiles and furniture to aircraft de-icers, paints, brake fluids and pharmaceuticals.

The award has been presented on behalf of the White House by the U.S. Environmental Protection Agency annually since 1996. It recognizes breakthrough technologies that transfer sustainability principles from the research lab into the real world to enable environmentally responsible and economically viable routes to commercial chemical manufacturing. It is the seventh Presidential Green Chemistry award for Dow and the fourth for BASF.

“The EPA’s recognition is a testimony to the power of innovation and collaboration that came together in this project,” said Guillermo Novo, Dow’s Vice President for Polyurethanes. “It will require more new technologies and partnering like this between companies, governments, NGOs and communities to secure our sustainable future.”

“We are proud to have such an outstanding example of joint research and development,” said Jacques Delmoitiez, President of BASF’s Polyurethanes division. “This state-of-the-art technology combines economic success with improved environmental performance and has set the standards for future projects.”

The Dow-BASF innovation offers distinct economic and environmental benefits when compared to conventional propylene oxide (PO) process technologies. A joint study conducted by the two companies in 2007 using BASF’s Eco-Efficiency Analysis tool revealed the new HPPO process reduces wastewater by 70 to 80 percent and energy use by approximately 35 percent, compared with existing PO technology. HPPO technology is also more environmentally friendly because no by-products are produced besides water. In addition, PO plants using the HPPO technology require up to 25 percent less capital to build than conventional technologies, as they have reduced infrastructure, a smaller physical footprint and simpler raw materials integration. The two companies successfully started up the first commercial-scale HPPO production plant in 2008 at BASF’s Antwerp, Belgium, facility. SCG-Dow Group is building a second plant based on this technology, which is scheduled to begin production in Map Ta Phut, Thailand, in 2011.

About Dow

Dow combines the power of science and technology with the “Human Element” to passionately innovate what is essential to human progress. The Company connects chemistry and innovation with the principles of sustainability to help address many of the world’s most challenging problems such as the need for clean water, renewable energy generation and conservation, and increasing agricultural productivity. Dow’s diversified industry-leading portfolio of specialty chemical, advanced materials, agrosciences and plastics businesses delivers a broad range of technology-based products and solutions to customers in approximately 160 countries and in high growth sectors such as electronics, water, energy, coatings and agriculture. In 2009, Dow had annual sales of $45 billion and employed approximately 52,000 people worldwide. The Company’s more than 5,000 products are manufactured at 214 sites in 37 countries across the globe. References to “Dow” or the “Company” mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at www.dow.com.

About BASF

Further information on BASF is available on the Internet at www.basf.com. For information on sustainable development at BASF, visit www.basf.com/sustainability