PVC prices resumed their growth in non-CIS markets

MOSCOW (MRC) -- PVC demand in Asia started recovering after a long-term slump. Demand recovery has led to price increase, August prices in Europe, Asia and North America went up by average USD 20-50/mt - according to MRC PVC market Price reports.

PVC prices in Asia, particularly, in China, started declining in May. The biggest exporters from North America and northeastern Asia were forced to drop the prices. Actions of Chinese government to defend the country's economy against overheating served the main reason of PVC demand decrease. In late July buying activity in Asia started growing gradually, after long-term fall PVC prices also resumed their growth.

PVC price offers for the Russian market went up by average USD 20-50/mt. North American suppliers have raised PVC prices for August by average USD 40/mt to the level USD 940 - 980/mt, CFR Saint-Petersburg. Resin from northeastern Asia is offered at average USD 980 - 1.040/mt, CFR Saint-Petersburg.

European producers also lifted suspension prices for August by EUR 15-45/mt despite the decrease of ethylene contract prices. The increase of Euro/Ruble exchange rate to the level 39,2 and July car transport price hikes in Europe should also be mentioned.


For more information about prices in the Russian PVC market please refer to MRC Price reports.

Blast at Moscow refinery

(Rossiyskaya Gazeta) -- On Wednesday in Moscow refinery's territory fire was commited, and yesterday hydrogen leakage happened. According to preliminary data, no victims appeared.

About noon breach of hydrogen line happened at one of the production lines. Rescuers and plant staff are working at the accident scene, cooling the gas flowing out as it can blow in high temperature. Simultaneously efforts to switch off the unit for further repairs of the blast spot are being made.


Salavatnefteorgsyntez exceeds pre-crisis production volumes

(Salavatnefteorgsynthez) -- In H1 production shippings via railway transport 15% increased compared with pre-crisis period, H1 2008. Maximum shipping plan for one month went up by 20% comparing with 2008.

The increase of shippings testifies about trends of Salavatnefteorgsyntez production volumes increase. Oil products such as gasolines, diesel oil and mazuts are dominating in the structure of shipped products.


Ineos sued for ┬200m by Italian interpreneur

(prw) -- Fiorenzo Sartor, an Italian entrepreneur, has filed a ┬200m lawsuit against UK-based chemical company Ineos over the sale of a PVC plant.

Sartor bought Ineos Vinyls in 2009 but the plant went into special administration in July, as an attempt to find a solution to its financial crisis. Vinyls Italia had been struggling with a debt of some ┬80m that it owes to energy and chemicals giant Eni for the supply of ethylene and dichloroethane from its Polimeri and Syndial subsidiaries.

According to news reports, Sartor had hoped to revamp the plant but was dependant on Ineos Chlor supplying raw materials at discounted prices for 30 months after the sale. The supply agreement was reportedly not honoured.

MRCMRC Reference

Ineos is a petrochemical group.
In Russia Ineos's interests are represented by Ineos Polyolefins and IneosChlorVinyls.

The share in the Russian market in 2008:
PVC - 4.5%;

polyethylene - 1.9%
(HDPE - 2.8%, LDPE - 1.2%);
polypropylene - 1.4%
(PP-random - 22.1%, PP-impact - 2.0%);
polystyrene - 0.9%.

Imports by polymers processing technologies:
profile extrusion;
pipe extrusion;
film extrusion;
injection molding.

Production resumed at Shell's Singapore ethylene cracker

(Reuters) -- Royal Dutch Shell's new 800,000 tpa ethylene cracker in Singapore has resumed operations, after a brief disruption caused by a compressor trip. It remains unclear if the plant, which flared on Tuesday, was partially or completely shut, but it resumed operations around late on Wednesday.

Industry sources say that the unit has been hit by occasional problems since it was commissioned in March with some parts being shut during its four-month operation. The plant is reported to be faced with operational problems since it started because the technology is relatively new and the equipment is very sensitive.