Document 15E0pdmvjGjbd4o6OrB4nk44j

-S- DOW CHEMICAL / MONSANTO MEETING ON MCP -- OCTOBER 22, 1973 RATE AND TIMING OF MCP DEMAND; It new appears that Dow will need a tanktruck of our MC8 material by late March or early April, 1974, with full production to begin fourth quarter 1974, at a rate of approximately 8*! pounds per year. Late 197S or early 1976, they expect a rate of ISM lbs. per year. It appears that if Dow selects the higher Para content isomer that Monsanto will sell in excess of these quantities on a long term. ACTION TO BE TAKEN: 1. W.ll.S. Obtain and send in data on Analytical Methodology,etc. ASAP presented by Bob Copeland and Jerry Clark 2. CUMIING PATON/KHS Arrange for Monsanto to perform analysis on Di*Chloro and higher content materials as well as the unknown factor on MCS 1S47 and 1S46. DEC. 3, CUMING PATON/M1S Arrange for analysis of sample of PPP material given to DEC. you by Dow. ' 4. HOWARD BERGEN/MIS Present data on Dow's use of our NCR product and the disposal and incineration of Di-Chloro and higher isomers in final product to Monsanto higher managesent to determine need for Government notification. DEC. S. CUMMINC MATQN/miS Determine minimum acceptable increase in price of Benzene and Chlorine to justify increase in the price of MC8 dec. product as per Don Black's request. 6. CUMING PAT0N/M1S 7. J.SAVAGE/ MIS Send letter to Dow Chemical quoting 5.l6S/lb. with Benzene end Chlorine tolling as well as straight $.24/lb. firm with the escalation factors on Chlorine and Benzene built in. Also, mention our acceptance of a three year Ever* green Contract renewable yearly after the third year with certain outs. This should include a section stating con ditions of lead time necessary for notification to Dow should our Aroclor business drop belcw 2S*. ASAP Determine minimum production quantity feasible for BY DEC. tanktruck order of MCC type material by Dow Chemical g. HOWARD BERGEN/1.TI5 Determine Monsanto's policy with respect to notifica- TWO WKS. tion of Government on the MCB sale to Dow Chemical. Bob Copeland is to characterize properties of the Meta stream and send to St. Le>e\s in one month. itl i3 : U d -4- DOW CHEMICAL / MONSANTO MEETING ON MCB -- OCTOBER 22. 1973 1-b. Chlorine: After Novenlicr I, 1973, an increase of $2.00 per ton of Chlorine will increase the price of MCB by $OrOr per pound. The base on '* c Chlorine is the OPD Chemical Grade price which is now approximately $75.00 por ton. No other escalators in terms of labor cost will be passed on in 1974. At this point, Don Blaek suggested that we set some minimum change in the cumulative effect of Chlorine and Benzene which would bo necessary prior to announcing a price change on the MCB. RAW MATERIAL TOLLING - CKLOHINE AND BENZENE: A. With Dow supplying both Chlorine and Benzene, the price would be $.16S{/lb. FOB St. Louis. The ratio of products would be as follows: . 0.B75 lbs. of Benzene and 0.376 lbs. of Chlorine for every one pound of MCB. Benzene would be delivered to Anniston; Chlorine, to Xrumarich. B. BIPHENYL TOLLING We would like the option to take all or part of the Biphenyl requirements where purity was in excess of 99%. The price would bo 16.S</lb. FOB St. Louis, for the MCB material plus the following tolling factors: 0.376 lbs, of Chlorine plus 1.0 lbs. of Biphenyl . for ovory one pound of MCB. Biphenyl And Chlorine to be delivered to Anniston. In this ease we would need a 200 pound sample of Biphenyl and Dow's production specification on their .. .. ..Biphenyl prior to accopting this option. Monsanto made it clear that in order for us to manufacture MCB with any degree of certainty, Dow must supply the Benzene. Dow seems interested ~in the $.16S/lb. plus Benzene and Chlorine tolling. HONS 02162? DOW CHEMICAL / MONSANTO MEETING ON MCC ~ OCTOBER 22. 1973 into a river, the Di-Chloro content concentration in fish would be approximately 0,ni2 ppm, It was noted that the FDA maxima is .5 ppm. The analysis of Kevin Carney was given to Howard Bergen and will be distributed with this report. REGISTRATION - GOVERNMENT INVOLVEMENT: At present, it seems that Dow is roluctant to disclose anything to the Government and would prefer that !tonsanto did likewise. The cost of re-registering the OPP products would be prohibitive and that at the very minimum, Dow My amend their registration to in clude another source. He mentioned that Dow should assume that Monsanto would notify the Government because of prior comittments on PCB. This question, however, should be further defined by Monsanto. - He presented the following alternatives to the 24.Si/lb. Bulk, FOB St, Louis, price on MCS 1547, 1, He will extend the price of 24.S</lb. bulk, FOB St. Louis, to November, 1973,on both specifications, both the old MCS 1S47 and the new higher Para 1sorer content material. After Novem ber 1, 1973, the following will take offeet: l-i. ` Benzene: " ` After November 1, 1973, a change of S.01 per gallon in the price of Benzene will increase^, the price of MCB by SO-WSfnb. The base - price for Benzene will be our September,1973, price at Anniston, Alabama. Monsanto is willing to notify Dow Chemical monthly of the Changes to the Benzene price. Cow Chemical can request validization of this through Haskins 6 Sells, C.P.A. firm. MONS 021&2 DOW CHLMICAL / MONSANTO MPCTTNG ON HCB -- OCTORCP. 22, 1973 2 POLYPHENOL SPECIFICATIONS: Wo discussed the tentative Dow manufacturing materia! specification on OPP and PPP materials. It was noted that for the OPP product, Dow does not have an/ problem meeting their snee on "Iticner chlorine im purities". This was verified on the twenty drum shi. .r".it: ar.d it looks as if there is some buffer as to how high Monsanto can go on the Di-Chloro and higher material and still enable Dow Chemical to meet their proposed standard from last meeting. Specification for the PPP material was generated from pilot plant samples which were purified in their analytical laboratories, Exact data on both of those will be sent to carbonces as soon as received from Dow. It was noted that the PPP product has less Di-Chloro and higher im purities thnn their OPP product. Dow gave a sanplc of their PPP product to Monsanto laboratories for comparative analysis. The question was raised as to whether Monsanto could provide a higher Para content in their MC3 product. . V.'c estimated this new product would contain approximately fifteen percent of the Fara isoncr; however, this would raise the Di-Chloro and higher i'-purities to approximately 1.0 and reduce the Ortho isomer to appioxirately seventy eight percent. A new proposed specification for this mater ial included the following: Approximately Para Cltloro Diphenyl Di-Chloro and higher The difference which is r.pproximatcly 14V i.:'. x A staple was given to Dow from ANALAB,1NC. for spiking experiments. Dow Chemical tend to prefer the higher Para Isomer material at present. ENVIKONIENTAL IMPACT: Kevin Carney presented a flow diagram of the higher chlorine content im purities as it flows through their process. Based on Dow's largest customer of OPP which is approximately 3M lbs. per ."ear, and assuming that all the Di-Chloro and higher material in the OPP product finds its way r <1f W. II. Slowikowski - Akron I October 30, 1073 (Rcc. 10*25-73) JtCV DOW CHEMICAL / MONSANTO MEETING ON MCB OCTOBER 22, 1973 : FILE H, T. ` D, W. S. Bergen St. Louis L. Gossa^e St. Louis ton >`\`^j>t." Louis' L. Mellon Akron II. Slowikowski Akron PRESENT FOR DOW CHEMICAL: Don Black Bob Copeland Jerry Clark Kevin Carney Rudy Steihl Bob Johnson John Donalds Roy Mastic U. S. Purchasing Research ( Design Research 5 Design Plant Design Engineer Analytical laboratories(substitute for Bob Gill) Commercial Development in the OPP-PPP Product Group General Manager of Design Products Production Manager PRESENT FOR MONSANTO: (toward Bergen Tom Gossage Cuming Paton Dave Mellon Bill Slowikowski ANALYTICAL METHODOLOGY AND RESULTS: Dow presented their technical analysis of the initial gallon staples of MCS 1S47 and MCS 1546 as well as an analysis of the CPP Material pro duced from the MCS 1S47, Analysis on both these samples was compared with the results of Monsanto's analysis on the sane items. In general, it was noted that both Monsanto and Dow agree on the analysis and that tha correlation on all numbers is well within cxperircntal error. The exact numbers presented for discussion will be forvardod to the carbonees when received by Bob Copeland. With respect to the MCS 1S47 analysis, Dow methodology further defined the Di-Chloro Benzene and higher im purities on a ppm basis using electron capture gas chroirotography. In using this procedure, they noted 22 ppm of an unknoi.n"spike". They would like Monsanto to present data analyzing the Di-Chloro and higher iapuritics as wall as attempting to idontlfy the unknown which appears In this range of analysis. . HONS 021630