High Butadiene Costs Urged Huayu Rubber Co to Shut Down Butadiene Rubber Facility for Jan 2012

(chemmonitor) -- Huayu Rubber Co., Ltd (China) shut down a 80,000 ton/year butadiene rubber facility at Heze, Shandong province for Jan 2012 due to high feedstock costs. Butadiene costs went too high and the company could not afford it.

Meanwhile, Huayu Rubber runs its 80,000 tonne/year butadiene rubber facility at the same site which is operating at its ultimate capacity.

Being the key butadiene rubber manufacturer in Shandong province, Huayu Rubber's plant closure should soothe the current excess supply picture in the domestic market.


China's Befar shuts PO line on mechanical problems

(ICIS) -- China's Befar Group has shut its 80,000 tonne/year propylene oxide (PO) line in Shandong because of mechanical problems, a company source said on Friday.

The unexpected shutdown occurred on 29 December in the evening, the source said, adding that the company did not know when the unit would be able to be restarted.

The company's other 110,000 tonne/year PO line at the same site is operating normally, according to the source.

PO prices are at CNY12,100-12,400/tonne (USD 1,915-1,962/tonne) DEL (delivered) north China for spot customers, according to data from Chemease.

Befar primarily supplies PO to end-users in northern and eastern China.


China's Sinopec Beihai Petrochemical starts up new refinery

(ICIS)--Sinopec Beihai Petrochemical has started up its new 5m tonne/year refinery at Beihai in Guangxi and will offer oil products from next month, a company source said on Friday.

The company also plans to start up all auxiliary units, primarily a 1.7m tonne/year fluid catalytic cracker, a 2.6m tonne/year gasoil hydrogenation unit, a 1.2m tonne/year delayed coker and a 200,000 tonne/year polypropylene (PP) plant at the same site before the Lunar New Year holiday (22-28 January).

However, initially the units will not run at high operating rates, the source said.
⌠We will begin to supply oil products in January, the source added.
The refinery was previously scheduled to start on 18 December, but production was delayed until late December as a fluid catalytic unit was not ready for operation at the time.

Production at this refinery will help to push up Sinopec's crude throughput in 2012, industry sources said.


Thailand's Formosa Plastics to complete IIR plant in 2013

(ICIS) -- Formosa Plastics Group (FPG), the biggest plastics group in Taiwan, will complete the construction of 50,000 tonnes/year isobutylene isoprene rubber (IIR) plant at Ningbo of Zhejiang province at the end of the second quarter of 2013, a company source said on Friday.
The company, with investment of yuan (CNY) 18bn (USD2.84bn), started the construction of the plant in September 2011, according to the source.

⌠Domestic IIR producers will facing a challenging market because IIR output is expected to exceed downstream demand in the future, a market player said.


Happy New Year and Merry Christmas!

Dear friends! MRC is wishing you happy New Year and Merry Christmas! May each day of the New Year bring happiness, good cheer and sweet surprises to you and all your dear ones!
Sincerely yours MRC.