Eastman Chemical expands its plasticizer portfolio with Effusion plasticizer

MOSCOW (MRC) -- Eastman Chemical, a global specialty chemical company, has announced the expansion of its non-phthalate plasticizer portfolio with the addition of Eastman Effusion plasticizer, according to the company's press release.

Effusion is an extremely efficient fast-fusing solution that can enable increased production line speeds and lower processing temperatures, reducing production costs for manufacturers.

In flooring, Eastman Effusion is the ideal plasticizer for use in resilient sheet, luxury vinyl tile, vinyl composite tile, and PVC-backed carpet. Effusion can bring value in lowering both formulation and production costs. Effusion has been shown to have advantages in both efficiency and rheology to standard phthalate plasticizers that this industry has relied upon.

Manufacturers can also take the opportunity to combine Eastman Effusion plasticizer with other plasticizers, to create custom and optimized formulas for their specific processing needs. When utilizing Effusion in combination with general-purpose plasticizers, manufacturers will see better viscosity, stability and improved efficiency at lowering hardness.

Non-phthalate plasticizers are broadly used in products such as toys, childcare items, food contact materials and medical devices, and are also used to provide flexibility to PVC in a wide variety of applications.

As MRC reported earlier, Eastman Chemical is expanding capacity of its Eastman 168 non-phthalate plasticizers at its manufacturing facility in Texas City, Texas, USA. The expansion at the site will increase the overall capacity of Eastman 168 by approximately 15% and is expected to be operational by mid-2014.

Eastman (headquartered in Kingsport, Tennessee, USA) is a global specialty chemical company that produces a broad range of products found in items people use every day. With a portfolio of specialty businesses, Eastman works with customers to deliver innovative products and solutions while maintaining a commitment to safety and sustainability. Its market-driven approaches take advantage of world-class technology platforms and leading positions in attractive end-markets such as transportation, building and construction, and consumables.
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MOSCOW (MRC) -- Mexico's state-owned oil Pemex has signed a memorandum of understanding with Export-Import Bank of Korea on establishing a new USD2 billion finance facility, reported Upstreamonline.

The pact was signed by Pemex director general Emilio Lozoya Austin and bank president Yong Hwan Kim during a visit by Austin to the World Energy Congress in the South Korean city of Daegu.

The explorer said the new credit line would give added financing options to help realise to new projects to lift production, profits and employment rates.

As MRC wrote previously, in mid-September, Pemex and Mexichem entered into a joint venture, which will enable greater competitiveness of the domestic petrochemical industry in the global market through the integration of a new company, which will create value to the chlorine-vinyl chain. The joint venture includes a cash investment and assets contribution up to the amount of USD518 million, of which PEMEX will participate with USD228 million in assets while Mexichem will contribute with both, USD90 million in assets and USD200 million in cash in order to modernize the Pajaritos complex.

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).
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MOSOCW (MRC) -- Brazilian petrochemical company Braskem said it will invest about 50mn reais (USD23mln) in increasing its production capacity of linear low-density polyethylene (LLDPE) by 120,000 tonne a year, said the company in its press release.

Of this total, 100 kton correspond to the Braskem Flexus family, which is the brand under which Braskem's metallocene-based polyethylenes are sold. The Company will convert one of its polyethylene production lines to offer a resin that employs the latest technology in plastic films manufacturing. The decision attests to Braskem's commitment to furthering the development of Brazil's plastics production chain.

The unit located in the Camacari Petrochemical Complex in the state of Bahia will have a line fully dedicated to the resin's production. Braskem has already concluded the engineering studies for the plant's conversion. The production line is expected to start operations in the first half of 2015. "We are expanding our offering of products in the Braskem Flexus line to support our clients' growth in market segments that demand high-tech resins," explained Braskem's vice-president of polyolefins, Luciano Guidolin.

"With this investment, we will be able to meet the growth of the Brazilian market over the coming years and to serve our clients' need for films with higher performance," said Edison Terra, Braskem's polyethylene business director.
Braskem Flexus is used in packaging that requires specific features, such as increased resistance, gloss, transparency and sealing properties. The product line targets manufacturers of specialty films, technical reels and industrial films.

Since 2004, Braskem has led the Latin American market in supplying metallocene-based polyethylenes, with production capacity in excess of 350 kton/y. The Company also offers an application engineering structure that clients can use to develop specific formulations for their films.

As MRC wrote before, Braskem is participating in the bidding to acquire the polyvinyl chloride (PVC) assets of Belgium's Solvay in South America. Braskem said the negotiations had not yet concluded and it could not say when they would be completed.

Braskem is Brazilian main producer of polyethylene and polypropylene. In addition with ongoing plants located in both petrochemical complexes, in April 2008 Braskem opened a 300,000 metric ton polypropylene plant in the city of Paulinia (Sao Paulo).

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MOSCOW (MRC) - Dutch paints and chemicals company AkzoNobel third-quarter core earnings narrowly missed and the company said full-year operating income was unlikely to beat last year's level due to restructuring charges and weak markets, said Reuters.

The company said it expected to incur about 160 million euros in restructuring charges in the fourth quarter, making full-year operating income before incidental items unlikely to exceed 908 million euros (USD1.24 billion).

AkzoNobel, which owns the Dulux paint brand, reported third-quarter earnings before interest, tax depreciation and amortization (EBITDA) of 456 million euros on revenue of 3.78 billion euros.

Analysts in a poll commissioned by Reuters had expected EBITDA of 457 million euros and revenue of 3.76 billion euros.

AkzoNobel reiterated that its performance improvement program was on track to be completed in 2013, giving 500 million euros in EBITDA benefit at the end of the year, a year early. It said full-year restructuring charges were expected to be about 300 million euros.

AkzoNobel - which makes performance coatings for cars, aircraft and ships as well as specialty chemicals for the pulp and paper industry - said in July it would take additional restructuring charges to reflect deteriorating growth prospects in China, India and Brazil.

The company's results over the recent quarters have been hit by fragile consumer demand and weak housing markets in the United States and Europe, as well as high costs of raw materials such as titanium dioxide, a pigment used in paint.

In the past 18 months, it has taken a huge writedown on its purchase of Dulux paint maker ICI and sold its struggling North American decorative paints arm to U.S. rival PPG Industries for USD1.1 billion to focus on its larger European and fast-growing businesses and markets.

"The trading environment behind these results has not changed in that demand remains soft and on a comparative basis Q3 last year was particularly weak," Chief Financial Officer, Keith Nichols, said in a statement.

As MRC wrote before, Akzo Nobel N.V. reported a 4% decrease in revenues in the second quarter compared with the same period last year.

Akzo Nobel N.V., trading as AkzoNobel, is a Dutch multinational, active in the fields of decorative paints, performance coatings and specialty chemicals. Headquartered in Amsterdam, the company has activities in more than 80 countries, and employs approximately 55,000 people.

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MOSCOW (MRC) - U.S. oil major Chevron suspended its search for shale gas at a site in eastern Romania after opposition from local residents, said Reuters.

The company earlier this year won approval to drill exploratory wells in the impoverished eastern county of Vaslui and also has rights to explore three blocks near the Black Sea.

Thousands of people have rallied across Romania in recent months to protest government backing for shale gas exploration and plans to set up Europe's largest open cast gold mine in a small Carpathian town.

In the small town of Pungesti, where Chevron was expected to begin work on its first exploration well, locals blocked access to the site earlier this week. Chevron aimed to set up the first well by the end of the year.

"Chevron can today confirm it has suspended activities in Silistea, Pungesti commune, Vaslui county," the company said on Thursday.

"Chevron is committed to building constructive and positive relationships with the communities where we operate and we will continue our dialogue with the public, local communities and authorities on our projects."

The Pungesti local council decided on Thursday to hold a referendum on Nov. 24 on whether to allow Chevron to explore for shale. The referendum would not be binding, and the company said it has all the necessary permits it needs for the works.

Shale gas faces local opposition due to environmental concerns around hydraulic fracturing, the process of injecting water and chemicals at high pressure into underground rock formations to push out gas.

Many countries in central and southeastern Europe see shale gas as a way to wean themselves off Russian supplies, though Romania only imports about a quarter of what it uses due to conventional reserves.

The U.S. Energy Information Administration estimates that Romania could potentially recover 51 trillion cubic feet of shale gas, which would cover domestic demand for more than a century.

As MRC wrote before, a second regional council in Ukraine on Thursday approved a government draft for a USD10 billion shale gas production-sharing agreement with US supermajor Chevron, clearing the way for it to be signed. Deputies in Lviv region voted by 66-to-3 in favour of the draft, which calls for shale exploration in the Olesska block in the west of the country. A council in the neighbouring Ivano-Frankivsk region, whose approval was also necessary, backed the deal last month in a 62-to-1 vote with 11 abstentions.

Chevron Corporation is an American multinational energy corporation headquartered in San Ramon, California, United States, and active in more than 180 countries. It is engaged in every aspect of the oil, gas, and geothermal energy industries, including exploration and production; refining, marketing and transport; chemicals manufacturing and sales; and power generation. Chevron is one of the world's six "supermajor" oil companies.

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