Solvay opens innovation centre in Singapore

MOSCOW (MRC) -- Solvay announces the opening of a new Research & Innovation center in Singapore, which will be the Group’s core innovation ground for its Consumer Chemicals growth engine in the Asia-Pacific region,said the producer in its press-release.

Located in Singapore’s Biopolis research hub, the 1,100 square-meter laboratory will lead worldwide innovation projects primarily for Solvay’s business unit Novecare, which is active in the fields of Home and Personal Care, Coatings and Oil & Gas. It will also be a regional hub in developing sustainable solutions for the Agrochemical business and provide technical support to Solvay’s regional customers as well as plants in the region.

Solvay, which received strong support from the Singapore Economic Development Board (EDB), invested close to EUR2 million in the laboratory and expects to invest another EUR5 million in the next five years to boost the laboratory’s capabilities, including the hiring of an extra 30 researchers. The laboratory is Solvay’s latest investment in Singapore after Novecare, a global leader in the specialty surfactants industry, announced in April 2013 the construction of a large scale alkoxylation facility.

As MRC reported earlier, in 2012, Solvay Specialty Polymers and Rhodia Engineering Plastics launched a new EUR 21 million compounding plant in Changshu, Jiangsu province. It will serve the Chinese markets for electrical and electronics, wire and cable, automotive, consumer, and industrial applications.

In addition, Solvay is building a new EUR 120 million production plant for fluorinated polymers at its industrial site in Changshu, to meet growing demand in Asia in end-use markets such as automotive, photovoltaic, Li ion batteries, membranes for water purification, and oil and gas applications. The new plant is scheduled to be operational early 2014.

Solvay Specialty Polymers manufactures over 1500 products across 35 brands of high-performance polymers - fluoropolymers, fluoroelastomers, fluorinated fluids, semi-aromatic polyamides, sulfone polymers, aromatic ultra polymers, high-barrier polymers and cross-linked high-performance compounds - for use in aerospace, alternative energy, automotive, healthcare, membranes, oil and gas, packaging, plumbing, semiconductors, wire and cable, and other industries.
MRC

MOSCOW (MRC) -- Borealis announced a new long term agreement to source ethane from Statoil for its flexible steam cracker in Stenungsund. This contract will continue to provide Borealis with an attractive source of feedstock for its petrochemical complex in Stenungsund, said Hydrocarbonprocessing.

Borealis and Statoil have renewed the contract for the supply of ethane from Statoil’s gas plant at Karsto which will secure a significant volume of ethane to Borealis’ cracker in Stenungsund for the coming years. The ethane supply has been agreed at competitive terms for both parties, taking into account the global change of the ethane market due to the availability of United States shale gas. The new contract will start in October 2015 and last for a period of 7 years.

The renewal of the ethane supply contract with Statoil shows the value of our long term partnership, explains Mark Garrett, Borealis CEO. "This new contract will secure that our Stenungsund petrochemical complex will stay ahead of the curve in an increasingly competitive environment for the European industry."

Borealis’ cracker in Stenungsund is one of the most feedstock flexible crackers in Europe. Apart from ethane it can also crack naphtha, propane and butane. Stenungsund has significant LPG storage capacity, allowing the company to source LPG from various sources with vessel sizes up to very large gas carriers.

As MRC wrote before, Borealis and Borouge, the world's leading providers of innovative, value-creating solutions for the wire and cable industry, has announced the dedicated roll-out of the technology platform Borlink in Russia. Borlink was introduced by Borealis and Borouge as a technology platform offering a complete global package of power cable compounds and expertise serving applications for medium and high voltage (MV, HV), including extra high voltage (EHV) and high voltage direct current (HVDC).

Borealis is a leading provider of innovative solutions in the fields of polyolefins, base chemicals and fertilizers. With headquarters in Vienna, Austria, Borealis currently employs around 6,200 and operates in over 120 countries. It generated EUR 7.5 billion in sales revenue in 2012. The International Petroleum Investment Company (IPIC) of Abu Dhabi owns 64% of the company, with the remaining 36% owned by OMV, the leading energy group in the European growth belt. Borealis provides services and products to customers around the world in collaboration with Borouge, a joint venture with the Abu Dhabi National Oil Company (ADNOC).
MRC

MOSCOW (MRC) -- A Spanish conglomerate with interests in designer jewelry, cosmetics and paperboard packaging is set to acquire two plants from the bankrupt PET packaging group La Seda de Barcelona, local press reports say, said Plasticsnews.

They indicate that Cristian Lay group of Jerez de los Caballeros, Spain, has offered around 15 million euros to buy LSB's 170,000 metric ton per year PET polymer plant in El Prat de Llobregat, near Barcelona, along with its 200,000 metric ton per year feedstock plant in Tarragona.

The sale is subject to approval of the Spanish commercial court overseeing the LSB group's liquidation. The court in Barcelona authorized the formal process of selling off the Catalan PET group's polymer, chemicals, packaging and recycling operations at the end of January. It was in June last year that LSB filed for voluntary insolvency when it failed to reach agreement on debt restructuring with its creditors.

La Seda de Barcelona SA is a Spain-based company primarily engaged in the production and marketing of fiber fabrics and plastics. The Company’s activities are structured in two business divisions: Raw Materials, which comprises chemical applications intended for the production of Glicol, and PET & Packaging, which comprises the subdivisions of Artenius PET, focused on the production of polyethylene terephthlate (PET) and Artenius PET- Packaging Europe (APPE), active in integral packaging solutions. La Seda de Barcelona SA is a parent company of Grupo Seda. In January 2013, the Company sold its total stake in Slir SL. In June 2013, the Company entered insolvency proceedings. On October 28, 2013, the Company announced that the Commercial Court No. 1 of Barcelona has notified the Company on its authorization to sell LSB’s stake in Artenius Turkpet AS.
MRC

MOSCOW (MRC) -- Styron Europe GmbH and its affiliate companies in Europe announced today price increases for all polystyrene (PS) and copolymer grades, reported the company on its site.

Effective immediately, or as existing contract terms allow, the February contract and spot prices for the products listed below will increase as follows:

- STYRON general purpose polystyrene grades (GPPS), STYRON and STYRON A-TECH high impact polystyrene grades (HIPS) by EUR40/tonne;
- MAGNUM ABS resins by EUR50/tonne;
- TYRIL SAN resins by EUR40/tonne.

As MRC wrote before, in December 2013, Styron Europe GmbH and its affiliate companies in Europe increased prices for all PS and copolymer grades, as follows:

- STYRON general purpose polystyrene grades (GPPS), STYRON and STYRON A-TECH high impact polystyrene grades (HIPS) by EUR20/tonne;
- MAGNUM ABS resins and TYRIL SAN resins by EUR30/tonne.

PS is a key strategic business for Styron and an industry it will continue to focus innovation efforts on to help their diversified customer-base remain competitive in the different markets they serve such as packaging, appliances, building and construction.

Styron is a leading global materials company and manufacturer of plastics, latex and rubber, dedicated to collaborating with customers to deliver innovative and sustainable solutions. Styron’s technology is used by customers in industries such as home appliances, automotive, building & construction, carpet, consumer electronics, consumer goods, electrical & lighting, medical, packaging, paper & paperboard, rubber goods and tires. Styron had approximately USD 5.5 billion in revenue in 2012, with 20 manufacturing sites around the world, and 2100 employees.
MRC

MOSCOW (MRC) -- The weakening of the rouble against the dollar and stronger domestic demand allowed Russian producers of polyvinyl chloride (PVC) to increase prices in February, according to ICIS-MRC Price report.

Weak demand for suspension PVC (SPVC) in December 2013 and January 2014 in Russia forced local producers to significantly reduce prices. After a January slowdown, February demand for PVC grew in Russia, and the weakening of the rouble against the dollar made imported material unprofitable for local converters. Russian PVC producers announced price increase in February, amid stronger demand and higher imported prices.

Quite a number of converters and major producers of window profiles shut down their plants for maintenance works in January 2014 on the back of almost a complete absence of demand for finished products from PVC and their sufficient stocks at warehouses. As a result, companies were forced to refuse from purchasing of material this month. Converters began to resume their production in February, which led to stronger demand for PVC.

Initially, some Russian producers intended to increase February PVC prices by more than Rb3,000/tonne from January, an increase was virtually proportional to the growth in prices of imported material. However, buyers managed to reduce the amount of the February increase in contract prices on the back of converters' limited working capital and weak demand for finished products from PVC.

Deals for Russian PVC were done in the first half of February in the range Rb44,000-47,600/tonne CPT Moscow, including VAT, for PVC with K = 64/67. Some converters said they managed in December 2013 and January 2014 to negotiate deals for February shipments of Russian PVC at Rb43,000-45,500/tonne CPT Moscow, including VAT.

Devaluation of the rouble led to a more serious price rise in the spot market. Offer prices for Chinese acetylene PVC were heard in the range of Rb47,000-48,000/tonne CPT Moscow, including VAT, for PVC with K = 65. Offer prices for North American PVC were at an average of Rb47,000/tonne FCA Saint Petersburg and Novorossiysk, including VAT.

Some Russian producers do not rule out they will further increase PVC prices in March for the domestic market, amid a serious fall in imports and their higher prices, as well as under the pressure of seasonal demand.
MRC