MARS Rising: 3rd Party Relocation That Secures Supply and Superior Economics

PRODUCT INNOVATION — FINALIST — Performance Products

HUNTSMAN, THROUGH ACQUISITION, was the original innovator of the butane to maleic anhydride (“MAn”) technology. Key to that success was the co-development of a series of catalysts known collectively as the Maleic Anhydride Reaction System (MARS). This catalyst was toll-manufactured on behalf of Huntsman for many years by a series of owners at the Erie, Pennsylvania location, until manufacturing ceased there in 2020.

Following Huntsman’s departure from the MAn catalyst market, the two remaining producers of significant size substantially increased prices faced by Huntsman, both in the near term and into the foreseeable future. In addition, these catalysts have not demonstrated superior performance relative to Huntsman’s own MARS catalyst. This project was initiated in response to that market situation, with the objective of reestablishing access to MARS catalyst supply on more competitive and sustainable terms while supporting long-term reliability, operating flexibility, and economics across Huntsman’s MAn reactor network.

To reinitiate MARS production and reintroduce it into the MAn catalyst market, Huntsman concluded a technology license in February 2025 with a foreign venture capital firm seeking to enter production of MAn catalyst using Huntsman’s technology. The license includes the details of manufacture for the MARS catalyst, which were delivered in full in August 2025. In addition, Huntsman provides support through catalyst evaluations and testing at its HATC MAn pilot plant to help ensure catalyst quality and suitability for use in Huntsman’s MAn reactors. Additionally, Huntsman negotiated an option to purchase MARS catalyst at a competitive price. This annual option quantity, sufficient to repack one jumbo-sized reactor, can supply Huntsman’s entire network of MAn reactors over their catalyst life cycles.

The ongoing value to Huntsman is expected to derive from the superior butane selectivity of the MARS catalyst, the catalyst’s broader operational and performance benefits including energy savings, and the lower catalyst acquisition cost enabled by more favorable production economics in China. Collectively, these advantages position MARS as a sustainable long-term solution for Huntsman.