MOSCOW (MRC) -- Ukrainian producer Linik stopped on Monday the production of polypropylene (PP). The suspension of production resulted from the lack of feedstock for PP production, the production is to be resumed after the 20th of May, according to MRC analysts.
On Monday, Ukrainian producer Linik stopped the production of PP. The suspension resulted from the company's stoppage of oil refining in mid-March, and long-term turnaround of Ryazan refinery (TNK-BP Group), which is the main supplier of propane-propylene fraction (PPF) for the production of polypropylene.
After stoppage of its oil refinery Linik had to switch to the imported feedstock (PPF) from Ryazan oil refinery. Last month, Ukrainian producer managed to produce about 6,400 tonnes of polypropylene using both own stocks of PPF and feedstock from Russian refinery.
In April, Ryazan refinery stopped on long-term turnaround (about 45 days), and therefore the supply of PPF to Ukraine was suspended, and as a consequence, Linik had to stop the production of PP. Over the last fortnight, Linik produced about 2,800 tonnes of polypropylene. However, in late May Linik plans to resume the production of PP.
Over less than four months 2012, Linik produced about 23,600 tonnes of PP, which by one third down year on year.