IPP’s expertise in the evolving used process plant market highlighted

International Process Plants currently has 20 used process plants in its vast inventory of plants, systems and equipment.

The used process plant market is experiencing a significant transformation as manufacturers increasingly repatriate production to the United States and Europe, driven by concerns over logistics and supply chain security. This shift has opened new avenues for companies like International Process Plants (IPP), which specializes in the sale of used plants and process plants.

In an interview with Chemical Processing, Ross Gale, vice president and director of acquisitions and consultancy at IPP, said this trend has led to a geographical realignment in the marketplace.

“There are always areas of growth and contraction/restructuring,” Gale said, emphasizing that IPP’s operational centers in the U.S., U.K., and Germany provide a strategic advantage in navigating these changes.

(Read the complete Chemical Processing interview)

A notable example of International Process Plants’ adaptability is its partnership to market ammonia, methanol, and melamine plants from BASF’s Ludwigshafen Verbund site in Germany. These facilities, affected by shifts in the European energy market, are slated for relocation to regions with more favorable energy conditions.

In the U.K., IPP expanded its portfolio by acquiring a 170-acre active pharmaceutical ingredient manufacturing facility in Grimsby, formerly owned by Novartis. This integrated site boasts over 1,000 m³ of reaction capacity and supports high-volume, multi-purpose chemical syntheses, including hydrogenation and Grignard reactions.

 IPP: A one-stop solution for all process plants and equipment

Ross Gale explains how IPP is well positioned to help buyers or sellers with a used process plant transition.

The business model at International Process Plants focuses on purchasing assets from major multinationals and selling them to small and medium-sized enterprises (SMEs) with an entrepreneurial approach. Gale explains that these companies recognize the advantages of used assets, such as shorter return on investment, which outweigh perceived risks. “This is how you achieve more for less in a significant way,” he said.

The primary motivation for choosing second-hand equipment is the significant reduction in lead times. Customers can achieve up to 50% savings on “as new” equipment and up to 70% on entire plants. Delivery times for rotating equipment, which typically have lead times exceeding two years when ordered new, can be reduced by up to 90%.=

To enhance customer engagement, IPP recently relaunched its website, integrating AI tools and extensive data accumulated over 46 years to efficiently guide potential customers to suitable solutions. This digital approach is complemented by prompt responses to inquiries, with typical reply times within 48 hours. For critical needs, such as replacing a failed glass-lined reactor in a high-value pharmaceutical production campaign, IPP’s responsiveness is crucial to minimize downtime and financial impact.

By focusing on time and cost savings, IPP continues to provide valuable solutions in the evolving second-hand process plant market.

(Contact IPP for Used Plant Solutions)