Lotte Pakistan PTA focuses on plant expansion

(Plastemart) -- Lotte Pakistan PTA Ltd is currently focusing on expansion of its plant with an investment of USD 400 mln to serve the domestic market, as well as the export market. 40% of the company's output will go towards exports, as per Pakistan Observer. Lotte Pakistan's USD 490 mln is the single largest foreign direct investment to date in Pakistan's petrochemical industry. The company is seeking incentives including rationalized tariff rates, tax holiday before going into expansion. Besides expansion of the project, Lotte is also mulling plans to invest in Hydero Power generation, setting up a Mango Processing Plant in Pakistan.

Currently, the company produces Purified Terephthalic Acid (PTA), an essential raw material for Pakistan's textile and PET packaging industries and forms the backbone of the polyester chain, including Polyester Staple Fibre, Filament Yarn and PET (bottle grade) resin. In addition to its own manufacturing facilities, the Company has helped create a large infrastructure network at the Port Qasim vicinity, which includes a chemical jetty, raw water pipeline and manufacture of industrial gases through third party contracts. It has therefore been a trendsetter in industrial investment in Pakistan.


US ethylene margins slump 13%

(ICIS) -- US ethylene margins fell by 13% last week after weakening demand pushed spot prices sharply lower, ICIS margin reports showed on Monday. Ethylene margins fell to 30.31 cents/lb (USD 0668/tonne, EUR 474/tonne) last week, from 34.96 cents/lb a week earlier, using ethane as a feedstock.

The average US ethylene spot price dropped by 8% in the week ended 24 June, pressured by softer demand and a drop in derivative prices, market sources said.

Ethylene for June traded at 57.50-63.00 cents/lb, down from 65.25-66.00 cents/lb a week ago, while July ethylene traded at 56.50-63.00 cents/lb, down from 64.25-65.50 cents/lb in the previous week.

The slump in spot prices last week reflected weaker demand for polyethylene (PE) in both the domestic and export markets, sources said, adding that some PE producers were actually selling ethylene instead of PE.


Solvay to invest EUR 120 mln in a plant

(Plastemart) -- Solvay is to invest around EUR 120 mln in a plant to produce Solef Polyvinylidene Fluoride (PVDF), Tecnoflon, Fluoroelastomers (FKM) and their monomer VF2 in China. The plant, to be located at Changshu in Jiangsu province, will become operational at the beginning of 2014, and meet Asia's growing demand.

"This new production plant will enable Solvay to capture a part of the huge growth potential in this region," said Solvay plastics sector group general manager Jacques van Rijckevorsel. "We'll bring our customers more value-added polymers which will help them improve their environmental footprint and sustainability profile."


Russian producers to decrease domestic prices for PVC

MOSCOW (MRC) -- Reduction of export prices for American PVC in July suspended. Some Russian producers were forced to reduce July contract prices, according to ICIS-MRC Price Report.

North American producers completed their offers for July shipment to external market, and this month they don't plan to decrease prices. Over the month, export quotations for American PVC fell more than by USD 100/mt.

European producers will start discussion of export prices for PVC in July only at the end of the week, after contract prices for ethylene in Europe will be formed. Some market players suppose that last week decrease of oil quotations may result in reduction of contract price for ethylene by EUR 80-100/mt.

Under the pressure of considerable decrease of prices in the external markets, some Russian producers also declared decrease of PVC prices for domestic market. Talks on the level of contract prices still go on, but some converters confirmed that they had managed to reduce prices by 1.500 RUB/t.


LyondellBasell has launched two new low density polyethylene resins

(LyondellBasell) -- LyondellBasell has launched two new low density polyethylene (LDPE) resins that offer enhanced performance for a wide range of film applications. The new grades are produced using the company's Lupotech T high pressure tubular process technology.

Lupolen 3420J and Lupolen 3426J feature numerous benefits compared to standard LDPE products used in film such as higher stiffness, optimized puncture and tear resistance, optimum optics and low gel levels. Key beneficiaries of this technology include producers of label, hygiene, overwrap and lamination film, tissue packaging and surface protection film.

LyondellBasell is one of the world's largest plastics, chemical and refining companies. The company manufactures products at 58 sites in 18 countries.