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The North East of England Process Industry Cluster (NEPIC) is an
economic cluster A business cluster is a geographic concentration of interconnected businesses, suppliers, and associated institutions in a particular field. Clusters are considered to increase the productivity with which companies can compete, nationally and gl ...
created following the industrial cluster ideas and strategy of
Michael Porter Michael Eugene Porter (born May 23, 1947) is an American academic known for his theories on economics, business strategy, and social causes. He is the Bishop William Lawrence University Professor at Harvard Business School, and he was one of t ...
. This Process Industry
Cluster may refer to: Science and technology Astronomy * Cluster (spacecraft), constellation of four European Space Agency spacecraft * Asteroid cluster, a small asteroid family * Cluster II (spacecraft), a European Space Agency mission to study t ...
has been created by the chemistry using industries based in
North East England North East England is one of nine official regions of England at the first level of ITL for statistical purposes. The region has three current administrative levels below the region level in the region; combined authority, unitary authorit ...
where more than 1,400 companies are based in the
supply chain In commerce, a supply chain is a network of facilities that procure raw materials, transform them into intermediate goods and then final products to customers through a distribution system. It refers to the network of organizations, people, acti ...
of the sector. The sector has over 35,000 direct employees and some 190,000 indirect employees in the northeast of England and together they represent over one third of the industrial economy of the region. Companies in the
Cluster may refer to: Science and technology Astronomy * Cluster (spacecraft), constellation of four European Space Agency spacecraft * Asteroid cluster, a small asteroid family * Cluster II (spacecraft), a European Space Agency mission to study t ...
manufacture 50% of the UK's
Petrochemicals Petrochemicals (sometimes abbreviated as petchems) are the chemical products obtained from petroleum by refining. Some chemical compounds made from petroleum are also obtained from other fossil fuels, such as coal or natural gas, or renewable sou ...
and 35% of the UK's
Pharmaceuticals A medication (also called medicament, medicine, pharmaceutical drug, medicinal drug or simply drug) is a drug used to diagnose, cure, treat, or prevent disease. Drug therapy (pharmacotherapy) is an important part of the medical field and rel ...
and they significantly contribute towards making the region the only net
exporting International trade is the exchange of capital, goods, and services across international borders or territories because there is a need or want of goods or services. (see: World economy) In most countries, such trade represents a significant ...
region of the UK. The region has over £13 billion of exports. NEPIC was created in 2004 by the leaders of local chemistry based
process industry Industrial processes are procedures involving chemical, physical, electrical or mechanical steps to aid in the manufacturing of an item or items, usually carried out on a very large scale. Industrial processes are the key components of heavy ind ...
companies that are based in the northeast of England. The aim of the organisation being to represent and coordinate industry's collaborative activities on the wide ranging issues that impact on the future and performance of the energy intensive process sector, which includes
petrochemicals Petrochemicals (sometimes abbreviated as petchems) are the chemical products obtained from petroleum by refining. Some chemical compounds made from petroleum are also obtained from other fossil fuels, such as coal or natural gas, or renewable sou ...
;
specialty chemicals Speciality chemicals (also called specialties or effect chemicals) are particular chemical products which provide a wide variety of effects on which many other industry sectors rely. Some of the categories of speciality chemicals are adhesives, agr ...
;
polymers A polymer (; Greek '' poly-'', "many" + ''-mer'', "part") is a substance or material consisting of very large molecules called macromolecules, composed of many repeating subunits. Due to their broad spectrum of properties, both synthetic an ...
;
pharmaceuticals A medication (also called medicament, medicine, pharmaceutical drug, medicinal drug or simply drug) is a drug used to diagnose, cure, treat, or prevent disease. Drug therapy (pharmacotherapy) is an important part of the medical field and rel ...
;
biotechnology Biotechnology is the integration of natural sciences and engineering sciences in order to achieve the application of organisms, cells, parts thereof and molecular analogues for products and services. The term ''biotechnology'' was first used b ...
and
renewables Renewable energy is energy that is collected from renewable resources that are naturally replenished on a human timescale. It includes sources such as sunlight, wind, the movement of water, and geothermal heat. Although most renewable energy ...
. These issues include renewable and more
sustainable energy Energy is sustainable if it "meets the needs of the present without compromising the ability of future generations to meet their own needs". Most definitions of sustainable energy include considerations of environmental aspects such as greenh ...
opportunities,
innovation Innovation is the practical implementation of ideas that result in the introduction of new goods or services or improvement in offering goods or services. ISO TC 279 in the standard ISO 56000:2020 defines innovation as "a new or changed entity ...
and R&D interests, energy pricing capacity and availability, carbon taxation and carbon emission reduction technologies such as
carbon capture and storage Carbon capture and storage (CCS) or carbon capture and sequestration is the process of capturing carbon dioxide (CO2) before it enters the atmosphere, transporting it, and storing it (carbon sequestration) for centuries or millennia. Usually th ...
(CCS), graduate and technician skills for the sector and industry growth to ensure that the region remains a globally important location for the
chemical industry The chemical industry comprises the companies that produce industrial chemicals. Central to the modern world economy, it converts raw materials (oil, natural gas, air, water, metals, and minerals) into more than 70,000 different products. The ...
. NEPIC has been recognised by the
Chemical Industries Association The Chemical Industries Association (CIA) is the leading national trade association representing and advising chemical and pharmaceutical companies located across the United Kingdom. Chemicals manufacturing in the UK is largely concentrated i ...
(CIA) in the UK for its work in informing stakeholders about the sector and by the professional institutions in the UK for its engagement and representation of industry issues. The Northeast of England is recognised and promoted by the
Department for International Trade The Department for International Trade (DIT) is a Departments of the Government of the United Kingdom, department of Government of the United Kingdom, His Majesty's Government responsible for striking and extending trade agreements between the U ...
(DIT)( formerly UK Trade and Investment (UKTI)) arm of the
UK Government ga, Rialtas a Shoilse gd, Riaghaltas a Mhòrachd , image = HM Government logo.svg , image_size = 220px , image2 = Royal Coat of Arms of the United Kingdom (HM Government).svg , image_size2 = 180px , caption = Royal Arms , date_es ...
as a leading location in the UK for
Foreign Direct Investment A foreign direct investment (FDI) is an investment in the form of a controlling ownership in a business in one country by an entity based in another country. It is thus distinguished from a foreign portfolio investment by a notion of direct co ...
(FDI) into the chemistry using industries. NEPIC is led by industry through its Industry Leadership Team. These industry leaders at intervals of their choosing elect a person to be the Chair of NEPIC. Since its inception the cluster has been Chaired by Ian Shott CBE, Robert Coxon OBE, Paul Booth MBE and most recently former MP
Ian Swales Ian Cameron Swales (born 5 April 1953) is a British Liberal Democrat politician. He was the Member of Parliament for the constituency of Redcar in England. Swales took Redcar from Labour incumbent Vera Baird for the Liberal Democrats at the 2 ...
who is the current chair person. Dr Stan Higgins has been NEPIC's Chief Executive Officer (CEO) since its formation in 2004. Dr Higgins announced that he is to retire during 2017. On 1 June 2017 NEPIC announced that former Chair of the UK Parliamentary Business Committee and labour MP
Iain Wright Iain David Wright (born 9 May 1972) is a British Labour Party politician who was the Member of Parliament (MP) for Hartlepool from 2004 to 2017, and served also as the Chairman of Business Innovation and Skills Committee. He was previously P ...
is to become the CEO of NEPIC.


Strategy for growth

The Industry Leadership Council of NEPIC regularly revisits the Cluster's Strategy for Growth, after first publishing it in 2006. NEPIC and the Industrialists concerned were commended for this work in the UK Parliament. The NEPIC Strategy is published and approved at the organisation's Annual General Meeting (AGM). The most recent strategy was published in December 2012.


Performance


GVA creation

NEPIC's overall performance against its strategy and as a Cluster body is measured in terms of economic development within its region. This is monitored by its Industry Leadership Council and public sector observers through
key performance indicators A performance indicator or key performance indicator (KPI) is a type of performance measurement. KPIs evaluate the success of an organization or of a particular activity (such as projects, programs, products and other initiatives) in which it en ...
(KPIs). These mostly relate to the cluster's results in attracting and assisting both indigenous and
foreign direct investment A foreign direct investment (FDI) is an investment in the form of a controlling ownership in a business in one country by an entity based in another country. It is thus distinguished from a foreign portfolio investment by a notion of direct co ...
(FDI) investment, as well as business growth in the local
SME SME may refer to: Economics * Small and medium-sized enterprises * Socialist market economy, an economic system of China Organizations Music * SME Limited, UK audio turntable manufacturer * Sony Music Entertainment, US * Spontaneous Music Ensembl ...
supply chain and any resulting job creation. These factors contribute to an overall performance measure of
Gross Value Added In economics, gross value added (GVA) is the measure of the value of goods and services produced in an area, industry or sector of an economy. "Gross value added is the value of output minus the value of intermediate consumption; it is a measure o ...
(GVA). Results from the six year period 2005 to 2011 show that through its industry led activities, by 2017, NEPIC's activities are contributing significant levels of GVA to its local economy. to the
UK economy The economy of the United Kingdom is a highly developed social market and market-orientated economy. It is the sixth-largest national economy in the world measured by nominal gross domestic product (GDP), ninth-largest by purchasing power pa ...
. In December 2013 NEPIC reported to its local Members of Parliament that since 2005 the Cluster had secured 83 significant investments and 4,000 jobs which now contributes more than £2 billion GVA to the local and UK economy. The ongoing work of the Cluster particularly with the Small & Medium Size (SME) business community via the Clusters Business Acceleration for SMEs (BASME) project has seen the Clusters impact on its local economy grow to £2.5 Billion of GVA per annum by 2015. By 2017 the total GVA contribution of NEPIC had climbed to £3.34 billion.


Process industry investment

Between 2005 and 2013 the NEPIC, cluster members, and its local authority partners helped to secure 83 significant investments into the process industry in the region totalling £3.7 billion. The companies making significant investment during this period into the Cluster footprint include: Many of the above projects and those of other NEPIC member companies have been assisted in their investment plans by grants made available by the United Kingdom Government. The Regional Growth Fund (RGF) has supported many projects within the Cluster footprint. By 2017 the Cluster reported that it has been involved in landing 95 process industry investments into its region worth well over £4 Billion and adding 5000 jobs.


Collaborative projects

NEPIC has participated in a number of
European Union The European Union (EU) is a supranational political and economic union of member states that are located primarily in Europe. The union has a total area of and an estimated total population of about 447million. The EU has often been des ...
funded cluster collaboration projects and collaborative innovation projects, thereby enabling its members to participate and access the benchmarking and business best practice that is being developed and shared. On some occasions NEPIC participates in the role as project leader/manager and in others as a partner organisation. An example of a Cluster collaboration in which NEPIC is a partner is the WIINTECH project, a worldwide intercluster initiative for new materials and processes focused on clean technologies. This collaborative project is aimed at building a common international strategy between 8 leading European clusters and to foster inter-cluster and transnational partnerships, extending international cooperation and developing a joint inter-cluster projects in areas such as technology and industrial partnerships, training & skills development, technology transfer, workforce and business mobility and business mentoring. NEPIC and the other Clusters involved have undertaken joint market visits to Japan, USA, Korea, Brazil, and India to promote the EU process industries while focusing on fast growing lead markets such as clean technology. The LOCIMAP collaboration on the other hand is a project that is being led and managed by NEPIC with 13 international partners who together are investigating best practice and developing new ideas for the development of more efficient industrial parks in the future.


Business support

NEPIC provides technical, funding and business advice to new investors and indigenous businesses. To assist with industry attraction and growth, NEPIC supports companies in securing their major capital projects, management buyouts (MBO) and start-ups. The Cluster provides intelligence on local supply chain capabilities in areas such as site location, planning, infrastructure, raw material sourcing, engineering, logistics, measurement science, workforce development and legal advice. To deliver projects NEPIC partners with its
Local Enterprise Partnerships In England, local enterprise partnerships (LEPs) are voluntary partnerships between local authorities and businesses, set up in 2011 by the Department for Business, Innovation and Skills to help determine local economic priorities and lead econo ...
(LEP) Tees Valley Unlimited and the North East LEP (NELEP). It works internationally to attract investment and partners with other European locations for the chemical industry through the
European Chemical Site Promotion Platform The European Chemical Site Promotion Platform (ECSPP) was founded in 2005 to promote new investments in Europe's chemical industrial complexes. Origins The idea of ECSPP was developed at the 2002 European Petrochemical Association (EPCA) Annual ...
(ECSPP). In line with the Cluster's strategy, NEPIC manages several business support products to help
SMEs Superconducting magnetic energy storage (SMES) systems store energy in the magnetic field created by the flow of direct current in a Superconductivity, superconducting coil which has been Cryogenics, cryogenically cooled to a temperature below ...
grow. The Cluster secured a Regional Growth Fund project to mentor 400 SMEs in this region into new business within the process sector. This is the Business Acceleration for SMEs (BASME) project through which 1000 jobs were created in the process sector supply chain over 3 years. More than 200 SME's signed up to this programme in the first 18 months and created over 170 jobs. The BASME programme has enabled NEPIC to increase the interaction between process industry companies and their local supply chain such that after 30 months 327 SMEs had engaged with it adding 425 jobs. When complete, over 3 years, the BASME project reported that it had worked with 423 SMEs and helped them with business development that resulted in 1011 jobs. Similarly NEPIC created a programme to mentor 120 SMEs to improve their carbon efficiency and to accredit their sustainability credentials. This enabled some of NEPIC's SME member's supply chain data to be available to Tier 1 companies which from 2013 onwards, in the UK, are expected to have a mandatory requirement to supply their
carbon footprint A carbon footprint is the total greenhouse gas (GHG) emissions caused by an individual, event, organization, service, place or product, expressed as carbon dioxide equivalent (CO2e). Greenhouse gases, including the carbon-containing gases carbo ...
s on an annual basis. NEPIC's scheme called Developing Low Carbon Sustainable Industry (DEELOCSI) receives financial support from the
European Regional Development Fund The European Regional Development Fund (ERDF) is one of the European Structural and Investment Funds allocated by the European Union. Its purpose is to transfer money from richer regions (not countries), and invest it in the infrastructure and se ...
(ERDF) of the European Union. To further encourage SMEs in the northeast of England to Export, NEPIC collaborated with the North East Chamber of Commerce (NECC) and RTC North Limited to create a jointly owned subsidiary company Go Global Limited to manage the contract they had to deliver the United Kingdom Trade & Investment (UKTI) (2016 onwards UKTI became the Department for International Trade – DIT), Government funded, support products and programme for all business sectors in their region. The UKTI business support products, to help grow international trade, are aimed at supporting individual SMEs to grow their exports and they also support the Cluster and its members with
trade mission Trade mission is an international trip by government officials and businesspeople that is organized by agencies of national or provincial governments for purpose of exploring international business opportunities. Business people who attend trade ...
s to new markets. In order to share knowledge with and support other business sectors in the northeast of England, NEPIC is a member of the Northern Business Forum (NBF). This business led forum also links the Cluster to wider business issues, both locally and nationally, through the local & national business membership organisations represented. Members of the forum include the
Federation of Small Businesses The Federation of Small Businesses (FSB) is a UK business organisation representing small and medium-sized businesses. It was formed in 1974 as the National Federation of Self Employed (NFSE). The current name for the organisation was adopted in ...
(FSB),
Confederation of British Industry The Confederation of British Industry (CBI) is a UK business organisation, which in total claims to speak for 190,000 businesses, this is made up of around 1,500 direct members and 188,500 non-members. The non members are represented through the 1 ...
(CBI) North East, the
Engineering Employers Federation Make UK, formerly the Engineering Employers' Federation, represents manufacturers in the United Kingdom. Purpose Make UK provides businesses with advice, guidance and support in employment law, employee relations, health, safety, climate and envi ...
Northern (EEF), The
Institute of Directors The Institute of Directors (IoD) is a British professional organisation for company directors, senior business leaders and entrepreneurs. It is the UK's longest running organisation for professional leaders, having been founded in 1903 and incor ...
(IOD), The North East Chamber of Commerce (NECC), Service Network, RTC North and NEPIC. The
Association of North East Councils The Association of North East Councils was a partnership body made up of representatives of local authorities in North East England. It was a regional grouping of the Local Government Association. In April 2009 it assumed the role of the regional ...
(ANEC) are amongst the observers of the forum.


Tees


Teesport

Teesport Teesport is a large sea port located in the unitary authority of Redcar and Cleveland, in the ceremonial county of North Yorkshire, Northern England. Owned by PD Ports, it is located approximately inland from the North Sea and east of Middl ...
is based on the
River Tees The River Tees (), in Northern England, rises on the eastern slope of Cross Fell in the North Pennines and flows eastwards for to reach the North Sea between Hartlepool and Redcar near Middlesbrough. The modern day history of the river has be ...
and is currently the third largest port in the United Kingdom, and amongst the ten biggest in Western Europe. This port handles over 56 million tonnes of goods per annum which are mainly associated with the local petrochemical, chemical and steel processing industries. The port is important infrastructure for the NEPIC cluster of process companies.


Large-scale integrated chemical processing

The larger, and in a number of instances, integrated chemical producers in the NEPIC Cluster are based on
Teesside Teesside () is a built-up area around the River Tees in the north of England, split between County Durham and North Yorkshire. The name was initially used as a county borough in the North Riding of Yorkshire. Historically a hub for heavy manu ...
on three large chemical sites around the mouth of the
River Tees The River Tees (), in Northern England, rises on the eastern slope of Cross Fell in the North Pennines and flows eastwards for to reach the North Sea between Hartlepool and Redcar near Middlesbrough. The modern day history of the river has be ...
at Wilton,
Billingham Billingham is a town and civil parish in the Borough of Stockton-on-Tees, County Durham, England. The town is on the north side of the River Tees and is governed by Stockton-on-Tees Borough Council. The settlement had previously formed its o ...
and
Seal Sands Seal Sands () is a 294.37 hectare biological Site of Special Scientific Interest in County Durham, England, notified in 1966. Situated in the mouth of the River Tees next to Greatham Creek and Seaton-on-Tees Channel, the site is accessible ...
that were formerly owned and operated by Imperial Chemical Industries (ICI). These locations have a long history of large scale chemical manufacturing even before the creation of ICI. The large scale manufacturing companies operating on these sites are sometimes called " commodity chemical manufacturers" and they make products such as
petrochemicals Petrochemicals (sometimes abbreviated as petchems) are the chemical products obtained from petroleum by refining. Some chemical compounds made from petroleum are also obtained from other fossil fuels, such as coal or natural gas, or renewable sou ...
,
fertilizers A fertilizer (American English) or fertiliser (British English; see spelling differences) is any material of natural or synthetic origin that is applied to soil or to plant tissues to supply plant nutrients. Fertilizers may be distinct from ...
and
polymers A polymer (; Greek '' poly-'', "many" + ''-mer'', "part") is a substance or material consisting of very large molecules called macromolecules, composed of many repeating subunits. Due to their broad spectrum of properties, both synthetic an ...
.


Integrated Manufacturers Group

The large scale, commodity chemical producers on
Teesside Teesside () is a built-up area around the River Tees in the north of England, split between County Durham and North Yorkshire. The name was initially used as a county borough in the North Riding of Yorkshire. Historically a hub for heavy manu ...
work through NEPIC's Integrated Manufacturers Group (IMG) where they exchange information on infrastructure issues and also share intelligence on engineering resources for large maintenance / overhauls and capital investment projects. Such projects in the chemical process sector can require hundreds of additional contract engineers for short intense periods of time and this requires extensive engineering planning. The maintenance of
chemical plant A chemical plant is an industrial process plant that manufactures (or otherwise processes) chemicals, usually on a large scale. The general objective of a chemical plant is to create new material wealth via the chemical or biological transform ...
is an engineering profession in its own right.


Carbon Capture and Storage (CCS)

The NEPIC IMG of manufacturers are amongst the largest single point producers of
carbon dioxide Carbon dioxide (chemical formula ) is a chemical compound made up of molecules that each have one carbon atom covalently double bonded to two oxygen atoms. It is found in the gas state at room temperature. In the air, carbon dioxide is transpar ...
in the United Kingdom and they have created within NEPIC the Process Industry Carbon Capture and Storage Initiative (PICCSI) to study the possibility of a
carbon capture and storage Carbon capture and storage (CCS) or carbon capture and sequestration is the process of capturing carbon dioxide (CO2) before it enters the atmosphere, transporting it, and storing it (carbon sequestration) for centuries or millennia. Usually th ...
(CCS) solution being provided for industry on Teesside as well as for any carbon based energy production. This CCS technology option is being considered as a result of
climate change In common usage, climate change describes global warming—the ongoing increase in global average temperature—and its effects on Earth's climate system. Climate change in a broader sense also includes previous long-term changes to E ...
regulations and the
carbon tax A carbon tax is a tax levied on the carbon emissions required to produce goods and services. Carbon taxes are intended to make visible the "hidden" social costs of carbon emissions, which are otherwise felt only in indirect ways like more sev ...
ation that could become a prohibitive cost for such energy intensive industries.


Shale gas and underground coal gasification

NEPIC members are also studying the prospect of energy production from
unconventional gas Unconventional gas is natural gas obtained from sources of production that are, in a given era and location, considered to be new and different when compared with conventional gas. Sources that are at times considered to be unconventional include ...
sources including
energy from waste Waste-to-energy (WtE) or energy-from-waste (EfW) is the process of generating energy in the form of electricity and/or heat from the primary treatment of waste, or the processing of waste into a fuel source. WtE is a form of energy recovery. Mo ...
, energy from biomass,
shale gas Shale gas is an unconventional natural gas that is found trapped within shale formations. Since the 1990s a combination of horizontal drilling and hydraulic fracturing has made large volumes of shale gas more economical to produce, and some a ...
and
underground coal gasification Underground coal gasification (UCG) is an industrial process which converts coal into product gas. UCG is an ''in-situ'' gasification process, carried out in non-mined coal seams using injection of oxidants and steam. The product gas is brought t ...
. Several energy from waste plants are already present in this region and more are being constructed. The region is close to large reserves of
shale gas Shale gas is an unconventional natural gas that is found trapped within shale formations. Since the 1990s a combination of horizontal drilling and hydraulic fracturing has made large volumes of shale gas more economical to produce, and some a ...
and
coal Coal is a combustible black or brownish-black sedimentary rock, formed as rock strata called coal seams. Coal is mostly carbon with variable amounts of other elements, chiefly hydrogen, sulfur, oxygen, and nitrogen. Coal is formed when dea ...
and commercial exploitation of these reserves is being considered. The shale gas deposits close to this region that are available for exploitation by the process known as "
fracking Fracking (also known as hydraulic fracturing, hydrofracturing, or hydrofracking) is a well stimulation technique involving the fracturing of bedrock formations by a pressurized liquid. The process involves the high-pressure injection of "frack ...
" exceed 1.3 quadrillion cubic feet of
natural gas Natural gas (also called fossil gas or simply gas) is a naturally occurring mixture of gaseous hydrocarbons consisting primarily of methane in addition to various smaller amounts of other higher alkanes. Low levels of trace gases like carbo ...
, although not all of this will be extractable. The extraction of shale gas in the UK has been the subject of two major reports, one from the
Institute of Directors The Institute of Directors (IoD) is a British professional organisation for company directors, senior business leaders and entrepreneurs. It is the UK's longest running organisation for professional leaders, having been founded in 1903 and incor ...
called "Getting Shale Gas Working" and one from the UK Government entitled the "Bowland Shale Gas Study". In addition, the region has substantial unexploited coal reserves in the
Durham Coalfield The Durham Coalfield is a coalfield in north-east England. It is continuous with the Northumberland Coalfield to its north. It extends from Bishop Auckland in the south to the boundary with the county of Northumberland along the River Tyne in the ...
and companies are developing plans to exploit this using modern clean technologies for underground coal gasification (UCG). Linking technologies for UGC or other gas extraction from local coalfields to carbon dioxide capture technologies like those described in the "Teesside Collective Project" gives rise to the prospect of "Clean Coal" as a source of raw materials for the chemical sector in the northeast of England.


Integrating industry

NEPIC has two offices in the region: one in the north in
Sunderland Sunderland () is a port city in Tyne and Wear, England. It is the City of Sunderland's administrative centre and in the Historic counties of England, historic county of County of Durham, Durham. The city is from Newcastle-upon-Tyne and is on t ...
and one in the south at Wilton near Redcar in Teesside. At the Wilton location, NEPIC is amongst several process sector and supply chain companies that work out of the process industry research centre
Wilton International Wilton International is a multi-occupancy industrial site in Redcar, North Yorkshire, England. Originally a chemical plant, it has businesses in a variety of fields including energy generation, plastic recycling and process research. History a ...
. The UK Innovation Catapult, the Centre for Process Innovation, is also based in this multi-occupancy technical development centre.


Chemicals

The chemical companies in the membership of NEPIC can be categorised into three groups:
petrochemical Petrochemicals (sometimes abbreviated as petchems) are the chemical products obtained from petroleum by refining. Some chemical compounds made from petroleum are also obtained from other fossil fuels, such as coal or natural gas, or renewable sou ...
,
commodity chemical Commodity chemicals (or bulk commodities or bulk chemicals) are a group of chemicals that are made on a very large scale to satisfy global markets. The average prices of commodity chemicals are regularly published in the chemical trade magazines an ...
,
fine Fine may refer to: Characters * Sylvia Fine (''The Nanny''), Fran's mother on ''The Nanny'' * Officer Fine, a character in ''Tales from the Crypt'', played by Vincent Spano Legal terms * Fine (penalty), money to be paid as punishment for an offe ...
and speciality chemical companies. The petrochemical and commodity chemical companies are those most likely to utilise large infrastructure such as pipelines, storage facilities, utilities, power stations, port facilities and railways. These companies in this Cluster are almost exclusively based on Teesside, mostly on three chemical industrial parks at Wilton,
Billingham Billingham is a town and civil parish in the Borough of Stockton-on-Tees, County Durham, England. The town is on the north side of the River Tees and is governed by Stockton-on-Tees Borough Council. The settlement had previously formed its o ...
and
Seal Sands Seal Sands () is a 294.37 hectare biological Site of Special Scientific Interest in County Durham, England, notified in 1966. Situated in the mouth of the River Tees next to Greatham Creek and Seaton-on-Tees Channel, the site is accessible ...
. Examples of large scale commodity manufacturers in the NEPIC Cluster are Sabic making ethylene, low-density polyethylene and aromatics,
Ineos INEOS Group Limited is a British multinational chemicals company headquartered and registered in London. , it is the fourth largest chemical company in the world. Ineos is organised into about 20 standalone business units, each with its own b ...
acrylonitrile,
GrowHow {{Infobox company , name = Kemira GrowHow Oyj, type = Wholly owned subsidiary , foundation = 1920 , location_city = Helsinki , location_country = Finland , key_people = Heikki Sirviö, CEO , industry ...
ammonia and ammonia based fertilizers, Ensus bioethanol and animal feed,
Phillips 66 The Phillips 66 Company is an American Multinational corporation, multinational energy company headquartered in Westchase, Houston, Westchase, Houston, Houston, Texas. Its name, dating back to 1927 as a trademark of the Phillips Petroleum Compan ...
oil refining, Omya Calcium Carbonate, Huntsman polyurethane intermediates and titanium dioxide, Harvest Energy biodiesel and
Greenergy Greenergy International Ltd is a British distributor of petrol and diesel for motor vehicles and has over a quarter of the UK market. It blends fuels at terminals on the Thames estuary in the south and on Teesside Teesside () is a built-up ...
fuel blending. These commodity chemical companies used to share logistical, utility and other infrastructure with Sahaviriya Steel Industries (SSI) who made steel in
Redcar Redcar is a seaside town on the Yorkshire Coast in the Redcar and Cleveland unitary authority in the county of North Yorkshire, England. It is located east of Middlesbrough. The Teesside built-up area's Redcar subdivision had a population of ...
until final closure in October 2015. This was Europe's second largest operational blast furnace. TATA Steel still operate steel milling and rolling units on Teesside. The speciality chemical and fine chemical companies in the NEPIC Cluster are spread across all the sub-regions of northeast England including Teesside,
County Durham County Durham ( ), officially simply Durham,UK General Acts 1997 c. 23Lieutenancies Act 1997 Schedule 1(3). From legislation.gov.uk, retrieved 6 April 2022. is a ceremonial county in North East England.North East Assembly About North East E ...
,
Tyne and Wear Tyne and Wear () is a metropolitan county in North East England, situated around the mouths of the rivers Tyne and Wear. It was created in 1974, by the Local Government Act 1972, along with five metropolitan boroughs of Gateshead, Newcastl ...
and
Northumberland Northumberland () is a county in Northern England, one of two counties in England which border with Scotland. Notable landmarks in the county include Alnwick Castle, Bamburgh Castle, Hadrian's Wall and Hexham Abbey. It is bordered by land on ...
. Examples on Teesside: Fine Organics, Chemoxy, Vertellus,
Johnson Matthey Johnson Matthey is a British multinational speciality chemicals and sustainable technologies company headquartered in London, England. It is listed on the London Stock Exchange and is a constituent of the FTSE 250 Index. History Early years ...
,
Koppers Koppers is a global chemical and materials company based in Pittsburgh, Pennsylvania, United States in an art-deco 1920s skyscraper, the Koppers Tower. Structure Koppers is an integrated global producer of carbon compounds, chemicals, and trea ...
, Lucite International and Mitsubishi Chemicals. In County Durham: High Force Research, Newchem Technologies, Thomas Swan, Exwold Technology and Huntsman Tioxide, and Frutarom. In Tyne and Wear and Northumberland Kilfrost,
Akzo Akzo Nobel N.V., stylized as AkzoNobel, is a Dutch multinational company which creates paints and performance coatings for both industry and consumers worldwide. Headquartered in Amsterdam, the company has activities in more than 80 countries, ...
&
International Paint International Paint, abbreviated as International, is a brand of the Marine & Protective Coatings business unit of AkzoNobel. History In 1881, the German brothers Max and Albert Holzapfel, along with Charles Petrie, founded the Holzapfel Composit ...
and Chemson all manufacture speciality chemicals while Aesica, Sterling Pharma Solutions and Piramal make and use fine chemical intermediates mostly as pharmaceutical intermediates. Companies in the NEPIC footprint are also involved in the scale up, manufacture and commercialisation of
Graphene Graphene () is an allotrope of carbon consisting of a single layer of atoms arranged in a hexagonal lattice nanostructure.
, Applied Graphene Materials and Thomas Swan Limited. The UK Government has also chosen this Cluster to base its National Graphene Applications Centre. The above chemical companies are also supported by specialist utility providers and speciality gas providers such as Sembcorp and BOC-Linde, bulk storage businesses such as Simon Storage and
Vopak Royal Vopak N.V. ( nl, Koninklijke Vopak) is a Dutch independent multinational company that stores and handles products ranging from chemicals, oil, gases and LNG to biofuels and vegoils. Its purpose is to "Store vital products with care", which ...
, while speciality packaging and formulation of chemicals is provided by companies such as Banner Chemicals, MP Storage and Exwold who also all operate Teesside facilities. Throughout the whole region
Northumbrian Water Northumbrian Water Limited is a water company in the United Kingdom, providing mains water and sewerage services in the English counties of Northumberland, Tyne and Wear, Durham and parts of North Yorkshire, and also supplying water as Essex and ...
can provide bulk water and also
waste water treatment Wastewater treatment is a process used to remove contaminants from wastewater and convert it into an effluent that can be returned to the water cycle. Once returned to the water cycle, the effluent creates an acceptable impact on the environme ...
facilities to the all sectors of the process industry. The region is self-sufficient in water and can allocate industrial quantities to new investors due to the development of the Kielder Reservoir.


Polymers

Polymer manufacturing in the northeast of England Process Industry Cluster has some large-scale activity based on Teesside. SABIC operate one of the world's biggest
low-density polyethylene Low-density polyethylene (LDPE) is a thermoplastic made from the monomer ethylene. It was the first grade of polyethylene, produced in 1933 by Imperial Chemical Industries (ICI) using a high pressure process via free radical polymerization. Its ...
(LDPE) plants, which makes the United Kingdom a net exporter of LDPE. Lotte Chemical manufacture both purified terephthalic acid (PTA) and
polyethylene terephthalate Polyethylene terephthalate (or poly(ethylene terephthalate), PET, PETE, or the obsolete PETP or PET-P), is the most common thermoplastic polymer resin of the polyester family and is used in fibres for clothing, containers for liquids and foods ...
(PET).
Ineos INEOS Group Limited is a British multinational chemicals company headquartered and registered in London. , it is the fourth largest chemical company in the world. Ineos is organised into about 20 standalone business units, each with its own b ...
manufacture
acrylonitrile Acrylonitrile is an organic compound with the formula and the structure . It is a colorless, volatile liquid although commercial samples can be yellow due to impurities. It has a pungent odor of garlic or onions. In terms of its molecular ...
, an intermediate used for
Nylon 66 Nylon 66 (loosely written nylon 6-6, nylon 6/6, nylon 6,6, or nylon 6:6) is a type of polyamide or nylon. It, and nylon 6, are the two most common for textile and plastic industries. Nylon 66 is made of two monomers each containing 6 carbon atoms, ...
and acrylics. Speciality polymer products are also made there. Ineos, for example, also manufacture aqueous polyvinylchloride PVC products in County Durham whilst
Victrex Victrex plc is a British-based supplier of high performance polymers. It is a constituent of the FTSE 250. The company's headquarters and manufacturing facilities are based in the UK with technical and customer support facilities in multiple mark ...
manufacture all the monomer for their polyether ether ketone (PEEK) product at their facility on Teesside. There are also new biopolymers and resins in development and scale up by companies such as Plaxica, which is developing new processes to commercialise
polylactic acid Polylactic acid, also known as poly(lactic acid) or polylactide (PLA), is a thermoplastic polyester with backbone formula or , formally obtained by condensation of lactic acid with loss of water (hence its name). It can also be prepared by rin ...
(PLA) and Cambridge Biopolymers, who are commercialising functional bioresins; both are based at the Teesside process industry research centre
Wilton International Wilton International is a multi-occupancy industrial site in Redcar, North Yorkshire, England. Originally a chemical plant, it has businesses in a variety of fields including energy generation, plastic recycling and process research. History a ...
. New processes for the recycling of polymers have also been commercialised at Wilton. For example, Biffa Polymers recycle a large percentage of the UK's plastic milk bottles into polymer chip. This was one of the first technology applications which allowed food-grade polymer packaging to be recycled without passing through a melted phase. In 2013, SNF announced that they intend to build a polymer manufacturing unit on Teesside to make
polyacrylamide Polyacrylamide (abbreviated as PAM) is a polymer with the formula (-CH2CHCONH2-). It has a linear-chain structure. PAM is highly water-absorbent, forming a soft gel when hydrated. In 2008, an estimated 750,000,000 kg were produced, mainly fo ...
emulsion for the oil industry. Although not strictly a polymer, the acrylic
Perspex Poly(methyl methacrylate) (PMMA) belongs to a group of materials called engineering plastics. It is a transparent thermoplastic. PMMA is also known as acrylic, acrylic glass, as well as by the trade names and brands Crylux, Plexiglas, Acrylite ...
is a well known plastic like material; it and other acrylic products are manufactured in Teesside and County Durham by Lucite International, which is a subsidiary of
Mitsubishi corporation is Japan's largest trading company (sogo shosha) and a member of the Mitsubishi keiretsu. As of 2022, Mitsubishi Corporation employs over 80,000 people and has ten business segments, including finance, banking, energy, machinery, chemicals, an ...
. The region also has a significant number of polymer extrusion and forming companies that supply a number of advanced engineering supply chains notably the automobile supply chain which, in northeast England, is dominated by
Nissan , trade name, trading as Nissan Motor Corporation and often shortened to Nissan, is a Japanese multinational corporation, multinational Automotive industry, automobile manufacturer headquartered in Nishi-ku, Yokohama, Japan. The company sells ...
's European automobile manufacturing plant at
Sunderland Sunderland () is a port city in Tyne and Wear, England. It is the City of Sunderland's administrative centre and in the Historic counties of England, historic county of County of Durham, Durham. The city is from Newcastle-upon-Tyne and is on t ...
. The automobile supply chain in this region is represented by the North East Automobile Alliance (NEAA).


Pharmaceuticals

This region has an active, modern pharmaceutical industry and the northeast of England has a full capability in the pharmaceutical
value chain A value chain is a progression of activities that a firm operating in a specific industry performs in order to deliver a valuable product (i.e., good and/or service) to the end customer. The concept comes through business management and was firs ...
, including pre-clinical drug discovery and development, clinical research and development,
clinical trial Clinical trials are prospective biomedical or behavioral research studies on human participants designed to answer specific questions about biomedical or behavioral interventions, including new treatments (such as novel vaccines, drugs, dietar ...
management, pilot-scale manufacturing, full-scale pharmaceutical ingredient and intermediate manufacturing, as well as final product formulation, packaging and distribution. Furthermore, pharmaceutical businesses are underpinned by an experienced and successful supply chain. Within the NEPIC cluster there are companies that provide laboratory facilities, manufacturing sites, logistics, construction and procurement, analytical sciences, validation consultants, maintenance, operation and financial services, public relations and contingency planning. Fundamental
medical research Medical research (or biomedical research), also known as experimental medicine, encompasses a wide array of research, extending from "basic research" (also called ''bench science'' or ''bench research''), – involving fundamental scientif ...
is done in this region at several of its universities. For example,
Newcastle University Newcastle University (legally the University of Newcastle upon Tyne) is a UK public university, public research university based in Newcastle upon Tyne, North East England. It has overseas campuses in Singapore and Malaysia. The university is ...
was the first to receive a licence in the UK to perform research on
stem cells In multicellular organisms, stem cells are undifferentiated or partially differentiated cells that can differentiate into various types of cells and proliferate indefinitely to produce more of the same stem cell. They are the earliest type o ...
and this is a leading centre for such research today. Indeed
Karim Nayernia Karim Nayernia ( fa, کریم نیرنیا) is an Iranian biomedical scientist and a world expert on stem cell biology and Personalized medicine. He carried out pioneering work that has the potential to lead to future therapies for a range of medi ...
was the first to isolate spermatogonial stem cells at this University. Many new healthcare developments have arisen from this research work. Industrial
drug development Drug development is the process of bringing a new pharmaceutical drug to the market once a lead compound has been identified through the process of drug discovery. It includes preclinical research on microorganisms and animals, filing for re ...
continues at ARCINOVA in Alnwick. Small molecule drug
scale-up SCALE-UP, Student-Centered Active Learning Environment with Upside-Down Pedagogies, is a classroom specifically created to facilitate active, collaborative learning in a classroom. The spaces are carefully designed to facilitate interactions betwe ...
and
process development Process simulation is used for the design, development, analysis, and optimization of technical processes such as: chemical plants, chemical processes, environmental systems, power stations, complex manufacturing operations, biological processes, ...
and manufacture is provided to
current good manufacturing practice Current good manufacturing practices (cGMP) are those conforming to the guidelines recommended by relevant agencies. Those agencies control the authorization and licensing of the manufacture and sale of food and beverages, cosmetics, pharmaceutica ...
(cGMP) standards to pharmaceutical companies around the world by several NEPIC Cluster members such as Aesica Pharmaceuticals, Sterling Pharma Solutions, Piramal Healthcare, all of which are based in
Northumberland Northumberland () is a county in Northern England, one of two counties in England which border with Scotland. Notable landmarks in the county include Alnwick Castle, Bamburgh Castle, Hadrian's Wall and Hexham Abbey. It is bordered by land on ...
and also by Fine Organics on
Teesside Teesside () is a built-up area around the River Tees in the north of England, split between County Durham and North Yorkshire. The name was initially used as a county borough in the North Riding of Yorkshire. Historically a hub for heavy manu ...
. Aesica, Sterling, Piramal (Northumberland) are companies that perform primary manufacture of
active pharmaceutical ingredients An active ingredient is any ingredient that provides biologically active or other direct effect in the diagnosis, cure, mitigation, treatment, or prevention of disease or to affect the structure or any function of the body of humans or animals. The ...
(APIs) to cGMP standards. While Aesica, Piramal, MSD (Northumberland),
Sanofi Sanofi S.A. is a French multinational pharmaceutical and healthcare company headquartered in Paris, France. Originally, the corporation was established in 1973 and merged with Synthélabo in 1999 to form Sanofi-Synthélabo. In 2004, Sanofi-Syn ...
(Tyne & Wear),
GlaxoSmithKline GSK plc, formerly GlaxoSmithKline plc, is a British multinational pharmaceutical and biotechnology company with global headquarters in London, England. Established in 2000 by a merger of Glaxo Wellcome and SmithKline Beecham. GSK is the ten ...
, Quantum Pharmaceuticals and Bristol Laboratories in (County Durham) are all secondary pharmaceutical manufacturers with large facilities in the region. These companies formulate and package finished pharmaceuticals ready for consumer use. Small quantity and speciality pharmaceutical formulations are also manufactured by contract manufacturers Specials Labs and SCM Pharma in Northumberland, which was acquired by Shire Pharmaceuticals in 2014. While Fujifilm Diosynth Biotechnologies (Teesside), formerly Avecia is one of the largest investments in the world in
biopharmaceutical A biopharmaceutical, also known as a biological medical product, or biologic, is any pharmaceutical drug product manufactured in, extracted from, or semisynthesized from biological sources. Different from totally synthesized pharmaceuticals, t ...
& biologics medicines manufacturing, the company manufactures, under contract, active biopharmaceuticals for a number of pharmaceutical companies. Pharmaceuticals make up a significant proportion of the exports of the northeast of England. The region produces 33% of the UK's GDP in pharmaceutical manufacturing with 95% of finished product exported to global markets


Biotechnology

Biotechnology has become widely used in many industrial and academic activities and the following classifications have become established. Red Biotechnology – Medical, Health care and Pharmaceutical Biotechnology.
White Biotechnology Biotechnology is the integration of natural sciences and engineering sciences in order to achieve the application of organisms, cells, parts thereof and molecular analogues for products and services. The term ''biotechnology'' was first used b ...
– Biotechnology for industrial products. Green Biotechnology – Biotechnology applied to environmental issues. Blue Biotechnology – Biotechnology based on marine organisms. The northeast of England has strengths in all these areas. Industrial and academic biotechnological research in Red Biotechnology has been well established in the northeast England and has developed into strengths in
diagnostics Diagnosis is the identification of the nature and cause of a certain phenomenon. Diagnosis is used in many different disciplines, with variations in the use of logic, analytics, and experience, to determine "cause and effect". In systems engineer ...
,
bioinformatics Bioinformatics () is an interdisciplinary field that develops methods and software tools for understanding biological data, in particular when the data sets are large and complex. As an interdisciplinary field of science, bioinformatics combi ...
,
Biomanufacturing Biomanufacturing is a type of manufacturing or biotechnology that utilizes biological systems to produce commercially important biomaterials and biomolecules for use in medicines, food and beverage processing, and industrial applications. Biomanufa ...
, Biocatalysis & Bio-transformations,
Bioremediation Bioremediation broadly refers to any process wherein a biological system (typically bacteria, microalgae, fungi, and plants), living or dead, is employed for removing environmental pollutants from air, water, soil, flue gasses, industrial effluent ...
, Pharmaceutical research, Microbiological analysis and testing, Production of
antibodies An antibody (Ab), also known as an immunoglobulin (Ig), is a large, Y-shaped protein used by the immune system to identify and neutralize foreign objects such as pathogenic bacteria and viruses. The antibody recognizes a unique molecule of the ...
,
proteins Proteins are large biomolecules and macromolecules that comprise one or more long chains of amino acid residues. Proteins perform a vast array of functions within organisms, including catalysing metabolic reactions, DNA replication, respo ...
and
peptides Peptides (, ) are short chains of amino acids linked by peptide bonds. Long chains of amino acids are called proteins. Chains of fewer than twenty amino acids are called oligopeptides, and include dipeptides, tripeptides, and tetrapeptides. A p ...
. Leading edge research is done at the region's Universities, for example
Newcastle University Newcastle University (legally the University of Newcastle upon Tyne) is a UK public university, public research university based in Newcastle upon Tyne, North East England. It has overseas campuses in Singapore and Malaysia. The university is ...
was the first institution in Europe, second in the world, to receive permission to pursue stem-cell research in human embryos. New industries that have now developed form a significant sector in the Northeast of England Process Industry Cluster (NEPIC). Fujifilm Diosynth Biologics at Billingham now employs over 550 people, the majority of them being graduate-level skills in biotechnology, to develop new products and innovative processes for the pharmaceutical industry. Within a mile of the Fujifilm complex are small companies working on the building blocks of life. Cambridge Research Biochemicals (CRB) supports discovery research activities by providing custom-made research reagents, principally peptides and antibodies. In Sunderland, Immuno Diagnostic Systems (IDS) are producing medical test kits and in Hartlepool Hart Biologicals produce diagnostic products for use in the detection, prevention, and monitoring of a number of medical conditions. In Morpeth, Northumberland
Piramal Healthcare The Piramal Group is an Indian multinational conglomerate that has presence across various sectors such as healthcare, life sciences, drug discovery, financial services, alternative investment and real estate. History In the early 1980s, Ajay ...
invested into bio-pharmaceutical manufacturing facilities. Across the region, companies such as Leica Biosystems, Orla Proteins, Helena Bioscience, Thermo Fischer Scientific and Millipore are significant contributors to the growing strength of the sector and its supply chain. Industrial,
White Biotechnology Biotechnology is the integration of natural sciences and engineering sciences in order to achieve the application of organisms, cells, parts thereof and molecular analogues for products and services. The term ''biotechnology'' was first used b ...
includes manufacturing, alternative energy (or "bioenergy"), and biomaterials and is also well established in the region. The manufacturers of the food protein Quorn, Marlow Foods, now part of
Premier Foods Premier Foods plc is a British food manufacturer headquartered in St Albans, Hertfordshire. The group owns many well-known brands, including Mr Kipling, Ambrosia, Bird's Custard, Angel Delight, Homepride cooking sauces, Lyons, Sharwood's, Loyd ...
, developed their technology here and still operate in this region.
Northumbrian Water Northumbrian Water Limited is a water company in the United Kingdom, providing mains water and sewerage services in the English counties of Northumberland, Tyne and Wear, Durham and parts of North Yorkshire, and also supplying water as Essex and ...
has invested in two large scale
anaerobic digestion Anaerobic digestion is a sequence of processes by which microorganisms break down biodegradable material in the absence of oxygen. The process is used for industrial or domestic purposes to manage waste or to produce fuels. Much of the ferm ...
facilities to recover energy from their domestic and industrial waste water streams. In
Stockton-on-Tees Stockton-on-Tees, often simply referred to as Stockton, is a market town in the Borough of Stockton-on-Tees in County Durham, England. It is on the northern banks of the River Tees, part of the Teesside built-up area. The town had an estimated ...
, Cleveland Biotechnology has been pioneering natural solutions to handling effluents and waste materials. In
Billingham Billingham is a town and civil parish in the Borough of Stockton-on-Tees, County Durham, England. The town is on the north side of the River Tees and is governed by Stockton-on-Tees Borough Council. The settlement had previously formed its o ...
, Biochemica is applying new biotechnology solutions to industrial water treatment. Biotechnology is also being applied to manufacture polymers by Plaxica and functional resins by Cambridge Biopolymers. Several of the Cluster's Fine and Specialty chemical companies are utilising enzymatic transformations in their manufacturing processes. Developments such as these are being supported by The Centre for Process Innovation (CPI) which hosts the National Industrial Biotechnology Facility (NIBF) at
Wilton International Wilton International is a multi-occupancy industrial site in Redcar, North Yorkshire, England. Originally a chemical plant, it has businesses in a variety of fields including energy generation, plastic recycling and process research. History a ...
.


Renewables and bioresources

Members of the North East England Process Industry Cluster (NEPIC) are also focusing on development of
biorefinery A biorefinery is a refinery that converts biomass to energy and other beneficial byproducts (such as chemicals). The International Energy Agency Bioenergy Task 42 defined biorefining as "the sustainable processing of biomass into a spectrum of bio ...
concepts which could impact on fine, speciality and
commodity chemicals Commodity chemicals (or bulk commodities or bulk chemicals) are a group of chemicals that are made on a very large scale to satisfy global markets. The average prices of commodity chemicals are regularly published in the chemical trade magazines an ...
,
pharmaceuticals A medication (also called medicament, medicine, pharmaceutical drug, medicinal drug or simply drug) is a drug used to diagnose, cure, treat, or prevent disease. Drug therapy (pharmacotherapy) is an important part of the medical field and rel ...
,
agrochemicals An agrochemical or agrichemical, a contraction of ''agricultural chemical'', is a chemical product used in industrial agriculture. Agrichemical refers to biocides (pesticides including insecticides, herbicides, fungicides and nematicides) and syn ...
and
bio-fuels Biofuel is a fuel that is produced over a short time span from biomass, rather than by the very slow natural processes involved in the formation of fossil fuels, such as oil. According to the United States Energy Information Administration ...
such as
bioethanol Ethanol (abbr. EtOH; also called ethyl alcohol, grain alcohol, drinking alcohol, or simply alcohol) is an organic compound. It is an Alcohol (chemistry), alcohol with the chemical formula . Its formula can be also written as or (an ethyl ...
and
biodiesel Biodiesel is a form of diesel fuel derived from plants or animals and consisting of long-chain fatty acid esters. It is typically made by chemically reacting lipids such as animal fat (tallow), soybean oil, or some other vegetable oil with ...
. Large scale biofuels plants are already operating on
Teesside Teesside () is a built-up area around the River Tees in the north of England, split between County Durham and North Yorkshire. The name was initially used as a county borough in the North Riding of Yorkshire. Historically a hub for heavy manu ...
by Ensus and Harvest Energy, while
Greenergy Greenergy International Ltd is a British distributor of petrol and diesel for motor vehicles and has over a quarter of the UK market. It blends fuels at terminals on the Thames estuary in the south and on Teesside Teesside () is a built-up ...
(note: Harvest and Greenergy are all now part of the Interterminals Group) operate a biofuel blending facility.
CF Industries CF Industries Holdings, Inc. is an American manufacturer and distributor of agricultural fertilizers, including ammonia, urea, and ammonium nitrate products, based in Deerfield, Illinois, a suburb of Chicago. It was founded in 1946 as the Centra ...
(formerly GrowHow) who manufacture fertilizer is capturing
carbon dioxide Carbon dioxide (chemical formula ) is a chemical compound made up of molecules that each have one carbon atom covalently double bonded to two oxygen atoms. It is found in the gas state at room temperature. In the air, carbon dioxide is transpar ...
from their ammonia based fertilizer business and this is being used to aid the growing of tomatoes in an industrial market garden on Teesside. This reduces emissions and eliminates road miles from former European imports. Sembcorp operate a 30 MW biomass power plant known as Wilton 10 using both waste wood and coppiced wood, which is integrated into the existing chemical processes on the Wilton Chemical Site. A number of other biomass and waste to energy plants are in development within the Cluster such as Wilton 11 and MGT Power are building their Teesport Renewable Energy Plant. SITA already operate an energy from waste unit in Middlesbrough. Many of the Cluster companies working on Renewables and Bioresources projects to develop a lower carbon future for the sector collaborate through the NEPIC Clusters Bioresources Collaborative Thrust Team. The Cluster's growing strength in low carbon, sustainable industry has gained national recognition. The drive to industrialise
biorefinery A biorefinery is a refinery that converts biomass to energy and other beneficial byproducts (such as chemicals). The International Energy Agency Bioenergy Task 42 defined biorefining as "the sustainable processing of biomass into a spectrum of bio ...
technologies within the NEPIC Cluster is mostly aimed at reducing
carbon emissions Greenhouse gas emissions from human activities strengthen the greenhouse effect, contributing to climate change. Most is carbon dioxide from burning fossil fuels: coal, oil, and natural gas. The largest emitters include coal in China and larg ...
or at making manufacturing more sustainable by counterbalancing the emissions by the reabsorption of
carbon dioxide Carbon dioxide (chemical formula ) is a chemical compound made up of molecules that each have one carbon atom covalently double bonded to two oxygen atoms. It is found in the gas state at room temperature. In the air, carbon dioxide is transpar ...
through the growth of an equivalent amount of biomass. Alternatively they are implementing technologies that enable the use of societal waste as a new basic raw material. The
Chemical Engineering Chemical engineering is an engineering field which deals with the study of operation and design of chemical plants as well as methods of improving production. Chemical engineers develop economical commercial processes to convert raw materials int ...
technologies that are being implemented include advanced
gasification Gasification is a process that converts biomass- or fossil fuel-based carbonaceous materials into gases, including as the largest fractions: nitrogen (N2), carbon monoxide (CO), hydrogen (H2), and carbon dioxide (). This is achieved by reacting ...
and
Air Products and Chemicals Air Products and Chemicals, Inc. is an American international corporation whose principal business is selling gases and chemicals for industrial uses. Air Products' headquarters is in Allentown, Pennsylvania, in the Lehigh Valley region of Pen ...
are implementing their
plasma gasification Plasma gasification is an extreme thermal process using plasma which converts organic matter into a syngas (synthesis gas) which is primarily made up of hydrogen and carbon monoxide. A plasma torch powered by an electric arc is used to ionize ...
technology on Teesside, the company has announced that a second such unit is also to be built in this location. Others are developing projects utilising
pyrolysis The pyrolysis (or devolatilization) process is the thermal decomposition of materials at elevated temperatures, often in an inert atmosphere. It involves a change of chemical composition. The word is coined from the Greek-derived elements ''py ...
to recover useful materials from carbon wastes and also new processes to manufacture biosynthetic natural gas (SNG)and fuels from air being developed by Air Fuels Synthesis. Depolymerisation processes are also under investigation. The Cluster companies and new investors collaborating through the Northeast of England Process Industry Cluster (NEPIC) on renewables and bioresources projects do so through the Cluster's Bioresources Thrust Team.


Supply chain

The Chemical, Pharmaceutical, Speciality, Biotechnology companies cannot operate without the support of an extensive local
supply chain In commerce, a supply chain is a network of facilities that procure raw materials, transform them into intermediate goods and then final products to customers through a distribution system. It refers to the network of organizations, people, acti ...
. Supply Chain companies within NEPIC include Analytical and Measurement Science Companies,
Chemical Engineering Chemical engineering is an engineering field which deals with the study of operation and design of chemical plants as well as methods of improving production. Chemical engineers develop economical commercial processes to convert raw materials int ...
,
Control Engineering Control engineering or control systems engineering is an engineering discipline that deals with control systems, applying control theory to design equipment and systems with desired behaviors in control environments. The discipline of controls o ...
,
Mechanical Engineering Mechanical engineering is the study of physical machines that may involve force and movement. It is an engineering branch that combines engineering physics and mathematics principles with materials science, to design, analyze, manufacture, and ...
,
Process Engineering Process engineering is the understanding and application of the fundamental principles and laws of nature that allow humans to transform raw material and energy into products that are useful to society, at an industrial level. By taking advantage ...
,
Project Engineering Project engineering includes all parts of the design of manufacturing or processing facilities, either new or modifications to and expansions of existing facilities. A "project" consists of a coordinated series of activities or tasks performed by ...
, Construction Engineering, Maintenance Engineering,
Toolmaker Tool and die makers are highly skilled crafters working in the manufacturing industries. Variations on the name include tool maker, toolmaker, die maker, diemaker, mold maker, moldmaker or tool jig and die-maker depending on which area of concent ...
s, Business and Site Security,
Safety Management Safety is the state of being "safe", the condition of being protected from harm or other danger. Safety can also refer to the control of recognized hazards in order to achieve an acceptable level of risk. Meanings There are two slightly dif ...
,
Disaster A disaster is a serious problem occurring over a short or long period of time that causes widespread human, material, economic or environmental loss which exceeds the ability of the affected community or society to cope using its own resources ...
and Business Recovery Management, Engineering Equipment Suppliers, Laboratory Equipment Suppliers, Business Performance Improvement Consultants, Legal Firms, Management & Strategy Consultants,
Process Development Process simulation is used for the design, development, analysis, and optimization of technical processes such as: chemical plants, chemical processes, environmental systems, power stations, complex manufacturing operations, biological processes, ...
, Publicity Firms, Publishers and Printers, Purchasing Companies, Recruitment Companies, Research Institutions etc. The concentration of such supply chain businesses in the northeast of England is internationally significant. In 2009 Service Network commissioned Shared Intelligence and Gavurin to undertake an assessment of the Knowledge Intensive Business & Services (KIBS) sector in the northeast of England. The report concludes that KIBS companies are distributed across the whole of the region. It identifies that the region has a particular strength in Architectural & Engineering Activities & Related Technical Consultancy (AETC) workplaces with 2810 such firms employing 13,385 people. The report also identifies that the concentration of ATEC business is the highest in the UK and around
Stockton-on-Tees Stockton-on-Tees, often simply referred to as Stockton, is a market town in the Borough of Stockton-on-Tees in County Durham, England. It is on the northern banks of the River Tees, part of the Teesside built-up area. The town had an estimated ...
the concentration is amongst the highest for such businesses in Europe.


Role of the cluster

According to Christian Ketels of
Harvard Business School Harvard Business School (HBS) is the graduate business school of Harvard University, a private research university in Boston, Massachusetts. It is consistently ranked among the top business schools in the world and offers a large full-time MBA p ...
"
Globalisation Globalization, or globalisation (Commonwealth English; see spelling differences), is the process of interaction and integration among people, companies, and governments worldwide. The term ''globalization'' first appeared in the early 20t ...
has not only raised the relative role of location and Clusters, it has raised the bar in terms of the demands that successful clusters have to meet." Ketels suggests that this is because competition between clusters has increased and rival locations are vying for any new investment in their sectors. It is this that pressurises Cluster organisations to meet the best practice of clusters in other regions. Such competition has driven clusters to become more specialised and there is now much more differentiation, for example, some clusters are R&D Hubs while others focus on manufacturing or are service orientated. Ketels' premise is that this increasing level of specialisation has increased linkages between cluster bodies and that the ability of the cluster management teams to make such linkages and partnerships has become an important key strength. In the past, Ketels suggests, clusters were like islands competing with each other whereas now they are part of Global supply chains often competing and co-operating at the same time. Ketels' observations are borne out by the work of the Northeast of England Process Industry Cluster (NEPIC) which uses its cluster to cluster links in two ways to meet the strategic needs of its Industrial Leadership Council. Firstly, to meet its Internationalisation aims, NEPIC's cluster to cluster activities build up a wider international understanding of the capabilities of the industry in its region and also of its members specific businesses. Secondly, it uses cluster to cluster relationships to help develop the business, particularly of its
Small and Medium Enterprise Small and medium-sized enterprises (SMEs) or small and medium-sized businesses (SMBs) are businesses whose personnel and revenue numbers fall below certain limits. The abbreviation "SME" is used by international organizations such as the World Bank ...
(SME) members, with the aim of strengthening SME businesses in its local supply chain. NEPIC does this by using its international linkages and partnerships to de-risk the initial development of international trade for its members. This is achieved by reciprocal knowledge and support of partner clusters and trade bodies and their members. NEPIC's approach is to develop formal Memoranda of Understanding (MOUs)with industry clusters and business associations around the world and build partnerships to create knowledge sharing opportunities. In Europe, NEPIC has projects and agreements with the following Cluster bodies: Axelera, and through the WIINTECH consortium, Plastipolis in France, Proplast in Italy, Chemie-Cluster Bayern (CCB) in Germany, Clusterland in Austria, Plastival in Spain, Veneto Nanotech in Italy and Poolnet in Portugal. In India, with the Indian Chemical Council (ICC), the Karnataka Drug and Pharmaceutical Manufacturers Association (KDPMA), Gujarat Chemical Association, Vapi Industries Association, Mangalore Special Economic Zone (MSEZ) and Plastindia. In Brazil, with the Suape Coplexo Industria Portuario and in China the Jiangsu Association of Science and Technology (JASTI). NEPIC has participated in joint meetings and projects with these organisations and has often managed reciprocal visits from groups of companies associated with the aforementioned bodies and countries. These partnerships can lead to joint projects, for example, NEPIC and the Indian Chemical Council (ICC) jointly organised the Indian Chemical Industry Outlook Conference in 2013. Furthermore member companies have found new business via such Cluster to Cluster relationships, for example one SME business attending the Indian Outlook Conference in India in 2013 reported in the market visit blog that "the quality, seniority and number of attendees that NEPIC (and ICC) have attracted are of great credit to them. I have calculated that it would have taken me at least 4 years to meet the executives that have met in one week on this trip." At the same time others reported new business being created during their first market visit with the Cluster. By 2017 NEPIC had become a key partner of the Indian Chemical Council (ICC) helping to define the agenda for their Annual Outlook Conference. The 2017 NEPIC led and UK
Department for International Trade The Department for International Trade (DIT) is a Departments of the Government of the United Kingdom, department of Government of the United Kingdom, His Majesty's Government responsible for striking and extending trade agreements between the U ...
(DIT)
trade mission Trade mission is an international trip by government officials and businesspeople that is organized by agencies of national or provincial governments for purpose of exploring international business opportunities. Business people who attend trade ...
to India had grown to include 21 business delegates who travelled to
Bangalore Bangalore (), officially Bengaluru (), is the capital and largest city of the Indian state of Karnataka. It has a population of more than and a metropolitan population of around , making it the third most populous city and fifth most ...
,
Pune Pune (; ; also known as Poona, (List of renamed Indian cities and states#Maharashtra, the official name from 1818 until 1978) is one of the most important industrial and educational hubs of India, with an estimated population of 7.4 million ...
and
Mumbai Mumbai (, ; also known as Bombay — the official name until 1995) is the capital city of the Indian state of Maharashtra and the ''de facto'' financial centre of India. According to the United Nations, as of 2018, Mumbai is the second- ...
meeting companies the company members of the
Karnataka Karnataka (; ISO: , , also known as Karunāḍu) is a state in the southwestern region of India. It was formed on 1 November 1956, with the passage of the States Reorganisation Act. Originally known as Mysore State , it was renamed ''Karnat ...
Drug and Pharmaceutical Association (KDPMA), Tata Research Development and Design Centre and the members of the Indian Chemical Council. With companies such as Jacobs Engineering, SMEs such as Biochimica UK Limited (water treatment), Micropore Technologies Limited (innovative dispersion & emulsification technology) and Harrison Goddard Foote (HGF) (patent agents) being very positive about their experience and showing the supply chain diversity. These companies show the diversity of the chemical process industry
supply chain In commerce, a supply chain is a network of facilities that procure raw materials, transform them into intermediate goods and then final products to customers through a distribution system. It refers to the network of organizations, people, acti ...
.


See also

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Institution of Chemical Engineers The Institution of Chemical Engineers (IChemE) is a global professional engineering institution with over 33,000 members worldwide. It was founded in 1922 and awarded a Royal Charter in 1957. It has offices in Rugby, London, Melbourne, Wellingto ...
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UK Trade & Investment , type = Non-ministerial government department , nativename = , nativename_a = , nativename_r = , logo = UKtrade.svg , logo_width = 190px , logo_caption = , seal = , seal_width = , seal_caption = , picture = Department for Business, Enter ...
* Economic clusters *
Chemical Industries Association The Chemical Industries Association (CIA) is the leading national trade association representing and advising chemical and pharmaceutical companies located across the United Kingdom. Chemicals manufacturing in the UK is largely concentrated i ...
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Commodity chemicals Commodity chemicals (or bulk commodities or bulk chemicals) are a group of chemicals that are made on a very large scale to satisfy global markets. The average prices of commodity chemicals are regularly published in the chemical trade magazines an ...
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Fine chemicals In chemistry, fine chemicals are complex, single, pure chemical substances, produced in limited quantities in multipurpose plants by multistep batch chemical or biotechnological processes. They are described by exacting specifications, used fo ...
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Speciality chemicals Speciality chemicals (also called specialties or effect chemicals) are particular chemical products which provide a wide variety of effects on which many other industry sectors rely. Some of the categories of speciality chemicals are adhesives, agr ...
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Pharmaceuticals A medication (also called medicament, medicine, pharmaceutical drug, medicinal drug or simply drug) is a drug used to diagnose, cure, treat, or prevent disease. Drug therapy (pharmacotherapy) is an important part of the medical field and rel ...
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Biotechnology Biotechnology is the integration of natural sciences and engineering sciences in order to achieve the application of organisms, cells, parts thereof and molecular analogues for products and services. The term ''biotechnology'' was first used b ...
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Chemical plant A chemical plant is an industrial process plant that manufactures (or otherwise processes) chemicals, usually on a large scale. The general objective of a chemical plant is to create new material wealth via the chemical or biological transform ...
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Chemical Engineering Chemical engineering is an engineering field which deals with the study of operation and design of chemical plants as well as methods of improving production. Chemical engineers develop economical commercial processes to convert raw materials int ...


References

{{Reflist, 2 Chemical industry in the United Kingdom Industry in England Michael Porter North East England Science and technology in County Durham Science and technology in North Yorkshire