Arkema declares PVC force majeure in France

LONDON (ICIS) -- Arkema has declared force majeure on polyvinyl chloride (PVC) from all four of its French sites due to restricted feedstock supply, a company source said on Thursday.

The company first declared force majeure on deliveries from its Berre, France, plant on Monday, following a disruption to its upstream vinyl chloride monomer (VCM) supply. Another declaration covering its French sites at Balan, St Fons and St Auban followed on Wednesday.

The problem began with ⌠unforeseen events connected to VCM production that forced reduced capacity in downstream PVC. Because the VCM market in Europe is currently tight, with little product available on the merchant market, it would be difficult for the company to quickly secure VCM supplies from an outside source.

Russian polymers market prospects will be discussed at Russian Polymers Summit on October 14, 2010 organized by ICIS and MRC. For more information please refer to http://www.polmersummit.ru/ Summit official web page.

MRC

SHANGHAI (SIBUR) -- SIBUR, the largest petrochemical holding company in Russia and Eastern Europe, has opened a Chinese trading company Citco (Shanghai) Trading Co., Ltd. The new company, registered in China, will be located in Shanghai and will deal with sales of petrochemical products with payments in the Chinese currency (yuan).

Until now exports of SIBUR's products to China were coordinated through the Shanghai branch of the corporate trading company CITCO (Austria), with payments in U.S. dollars.

The SIBUR product portfolio includes liquefied petroleum gases, synthetic rubbers, plastics, fertilizers and liquid chemical products. Total SIBUR sales in China in 2009 amounted to more than 350,000 tons of petrochemical products with a value of around $500 million. In particular, more than 175,000 tons of plastics, more than 71,000 tons of caprolactam, more than 53,000 tons of liquid chemical products, and more than 47,000 tons of synthetic rubber were sold.

SIBUR Vice-President Sergey Merzlyakov is going to participate in the Russian Polymers Summit on October 14, 2010 organized by ICIS and MRC. For more information please refer to http://www.polmersummit.ru/ Summit official web page.

MRC

(LyondellBasell) -- LyondellBasell's Spheripol process technology has been selected by Pucheng Clean Energy Chemical Company Ltd. for a new 400 KT per year polypropylene plant to be built in Pucheng County, Weinan City, Shaanxi Province, in the Peoples Republic of China. Start up is planned for 2013.

The Spheripol process polypropylene plant will be part of one of China's largest coal-based chemicals production projects, which is expected to produce more than two million tonnes of olefins per year.

MRC

(plastemart) -- Russian petrochemical companies Salavatnefteorgsintez and Kaustik will have to resolve their dispute over ethylene prices within two months, Russian Government Head V. V. Putin said. In the interim Kaustik will receive ethylene at 19,000-19,500 rubles (US$633-650) per ton until the price row is settled. Kaustik will be supplied 4,500 tons of ethylene per month.

Kaustik was compelled to get production to a halt last month when Salavatnefteorgsintez stopped supplying it ethylene. Kaustik accused its supplier of imposing disadvantageous terms for raw material supplies, which the supplier refuted as it was offering its products at market prices, currently 24,500 rubles per ton. Russia's anti-monopoly watchdog has launched a probe into Salavatnefteorgsintez's abuse of its dominant position on the ethylene market.

Russian polymers' market prospects will be discussed at Russian Polymers Summit on October 14, 2010 organized by ICIS and MRC. For more information please refer to http://www.polmersummit.ru/ Summit official web page.

MRC

(prw) -- Work is continuing to complete a delayed Russian project to build a 180,000 tpa polypropylene plant in the western Siberian city of Omsk.

Omsk-based company Titan Group, a producer of synthetic rubber, chemicals and fuel additives, was reported to be preparing to launch the first stage of the project later this year.

It was back in 2005 that Titan Group and the Italian engineering firm Tecnimont planned to construct the Omsk plant, using Basell's Spheripol technology, by 2007. But the $200m scheme was later postponed, reportedly due to delays in the procurement of plant equipment.

Russian polymers' market prospects will be discussed at Russian Polymers Summit on October 14, 2010 organized by ICIS and MRC. For more information please refer to http://www.polmersummit.ru/ Summit official web page.

MRC