Fushun Petrochemical to resume operations at PP plant after maintenance

MOSCOW (MRC) -- Fushun Petrochemical will restart its polypropylene (PP) plant following a maintenance turnaround, according to Apic-Online.

A Polymerupdate source in China informed that the plant will be restarted in mid-June 2013. It was shut on May 15, 2013.

Located in Liaoning, China, the plant has a production capacity of 300,000 tonnes per year.

As MRC reported earlier, a subsidiary of PetroChina - Fushun Petrochemical - in the second half of this year, started production of basic petrochemical products at its new plant in Fushun, Liaoning Province, China. The design capacity of the petrochemical complex is 300,000 tonnes per year of polypropylene (PP), 350,000 tonnes per year of high density polyethylene (HDPE) and 450,000 tonnes per year of linear low density polyethylene (LLDPE).

PetroChina Company Limited is a Chinese oil company and is the listed arm of state-owned China National Petroleum Corporation (CNPC), headquartered in Dongcheng District, Beijing. It is China's biggest oil producer and the most profitable company in Asia.
MRC

MOSCOW (MRC) -- Solvay Polyamide & Intermediates has decided to temporarily stop one of its three production lines on Belle-Etoile industrial platform in Saint-Fons, France, reported Plastemart.

Belle-Etoile facility is dedicated to the manufacturing of the Company Nylon 6.6 polymer product range Stabamid.

This decision will be maintained until better economic conditions are recovered.

Solvay Polyamide & Intermediates strives continuously to counteract this situation with productivity programs and new developments as illustrated by the recent announcement on PA 6.10 new range polymers, confirming its long term commitment to Nylon 6.6 market.

As MRC wrote previously, Solvay will invest EUR 75 million to build a new 85,000 t/y highly dispersible silica (HDS) plant in Wloclawek, Poland. The site is located in a designated Special Economic Zone (SEZ) integrated within the industrial site of Anwil, a subsidiary of the Polish refining and energy company PKN Orlen. The completion is expected in the third quarter of 2014.

We remind that in October, 2012, SIBUR and Solvay agreed to establish RusPAV joint venture for the production of surface-active agents (surfactants) and products for the oil industry in Dzerzhinsk, Russia. As per the recent announcement, investments in the construction of the new plant in Dzerzhinsk, which is planned to be launched in 2015, will amount to EUR100 million. SIBUR Holding already has a joint venture with Solvay/SolVin - RusVinyl situated in Kstovo district, Nizhny Novgorod region, where the complex for the production of polyvinyl chloride (PVC) with a capacity of 330,000 t/y is being built.

Solvay Polyamide & Intermediates, one of the world's leading players in Adipic Acid-based intermediates and in Polyamide 6.6, responds to challenges and opportunities in the automotive, consumer goods, industrial equipment, construction and electrical & electronic component markets. The GBU is one of the few market operators to control the entire Polyamide chain, from the initial upstream stages (production of Adipic Acid and HMD-based intermediates) to downstream operations (Polymers). Working closely with its customers, P&I boasts a global presence - with seven industrial sites and three R&D centers - to provide manufacturers with increasingly adapted solutions.
MRC

MOSCOW (MRC) -- Mexican state-owned oil company Petroleos Mexicanos said it produced an average of nearly 2.54 million barrels per day in the first four months of 2013, nearly half of which was destined for export, said Foxnews.

Of the average of 2,538,000 barrels produced per day, 54% was heavy crude, 33% light oil and remainder super-light crude, Pemex said in a statement.

Pemex exported an average of 1.22 million bpd to its international customers in the year's first four months, generating USD14.97 billion in cash flow from those sales.

The bulk of Pemex's exports (917,000 bpd) were shipped to markets in the Americas, while 188,000 bpd went to Europe and the rest to the Far East. Pemex said it exported an average of 1.28 million bpd in April, up 172,000 from March.

Last year, Pemex produced an average of 2.55 million bpd, less than 2008's total of 2.79 million bpd. The company said it expected to boost production to 2.6 million bpd by the end of 2013. Pemex, the world's fifth-leading oil producer, has a monopoly on the production of hydrocarbons (crude and natural gas) and refined products in Mexico.

Though production has recently stabilized and the country said last year it had achieved a reserve-replacement ratio of 100%, Mexico's output has suffered from the natural decline of the once-super giant Cantarell offshore field and a lack of sufficient investment. In addition to exploring deep-water areas in the Gulf of Mexico, Pemex also is looking to boost energy production by assessing its non-conventional reserves.

As MRC wrote before, Pemex signed a noncommercial agreement with Exxon Mobil to share technical and scientific information of mutual interest. Pemex said in a press release that the five-year agreement renews the two oil companies' relations in matters of cooperation.

Pemex, Mexican Petroleum, is a Mexican state-owned petroleum company. Pemex has a total asset worth of USD415.75 billion, and is the world"s second largest non-publicly listed company by total market value, and Latin America's second largest enterprise by annual revenue as of 2009. Company produces such polymers, as polyethylene (PE), polypropylene (PP), polystyrene (PS).

MRC

MOSCOW (MRC) -- Asahimas Chemical, a joint venture between Japan’s Asahi Glass Company and Indonesia’s Rodamas Group, plans to invest up to USD400 million to expand its petrochemical facility in Cilegon, Banten, reported GV.

The company has scheduled to start construction this year, according to Eddy Sutanto, a director of Asahimas Chemical.

This expansion will allow for the increased production of caustic soda to 700,000 tonnes a year from the current 500,000 tonnes a year and will increase production of polyvinyl chloride (PVC) to 600,000 tonnes from 280,000 tonnes.

"Construction will take at least two to two-and-a-half years. The factory is expected to start producing by the end of 2015," he added.

Asahimas has identified an increasing demand for caustic soda and PVC from domestic and regional industries and has decided to make Indonesia the production base for both chemicals.

Around 80% of the current chemicals produced at Asahimas are for domestic markets, while the remainder is shipped abroad.

Industry Minister M.S. Hidayat said that Asahimas’s plan demonstrates the opportunities available in Indonesia’s petrochemical industry.

Panggah Susanto, director general for the manufacturing industry at the ministry, said that Indonesia will need at least USD18 billion in further investments in the petrochemical industry, USD15 billion of which should go towards building three new oil refineries.

Panggah said that due to the lack of domestic processing facilities, Indonesia needs to import USD8 billion worth of petrochemical products this year. He added that demand for petrochemical products is growing by 10% a year.

As MRC informed earlier, in April 2013, Thailand's PTT Global Chemical Public Company (PTTGC) and Indonesia’s Pertamina have signed a Heads of Agreement (HoA) this week to jointly invest up to USD5bn in a giant petrochemical complex in Indonesia. The facility will be operational by 2017.

PT Asahimas Chemical operates integrated Chlor Alkali-Vinyl Chloride plants in Cilegon, Banten, Indonesia, and produces basic chemicals for many of downstream industries.
MRC

MOSCOW (MRC) -- A. Schulman Inc. said it expected to cut positions on its restructuring plans in its Europe, Middle East and Africa region, citing the poor economic climate in Europe, reported The Wall Street Journal.

The maker of plastic compounds, which supplies a wide swath of markets such as packaging, construction, electronics and personal care, had been hurt in recent quarters by its heavy exposure to Europe's economy. Since 2010, the company has executed a series of cost-cutting programs in the continent as demand as waned.

"We have confidence in the long-term strength of our EMEA business, and we continue to focus on growth opportunities in markets such as the Middle East, Turkey and Russia," said Chief Executive Joseph M. Gingo.

Also, A. Schulman announced that it intends to sell its rotational compounding business in Brisbane, Australia. The business, which the company described as a very small portion of its portfolio, recorded revenue of about USD25 million in fiscal 2012. The company plans to engage a financial adviser to help it sell the business and it expects to complete the sale within 6 to 12 months. The operating results of the business, which were previously part of the company's Asia Pacific segment, will be recorded as discontinued operations in future financial statements.

As MRC wrote previously, A. Schulman Inc.'s fiscal second-quarter earnings rose 30% with a boost from a tax benefit, though the company said it was continuing restructuring efforts in Europe to address weakening market trends and was initiating consolidation efforts in Brazil.

A. Schulman is a global plastics supplier, headquartered in Akron, Ohio, and a leading international supplier of high-performance plastic compounds and resins, which are used as raw materials in a variety of markets. A. Schulman has 33 manufacturing facilities globally. It reported net sales of USD2.2 billion for the fiscal year ended August 31, 2011.
MRC