Sabic extends plastics portfolio by introducing two PP grades for medicine purposes

MOSCOW (MRC) -- Sabic, Saudi Arabia's petrochemical major, has introduced two new pharmaceutical grades of polypropylene (PP) intended for syringes, other medical dosing application devices and also for packaging for healthcare applications, according to the company's press release.

The two grades, SABIC PP PCGR40 and a lubricated variant, SABIC PP PCGR40L, are high-flow random copolymers typically used for producing thin-walled products with high levels of clarity. These PP grades support the production of healthcare products that are highly reliable, very safe to use, and economic to produce.

SABIC PP PCGR40 is - amongst others - well suited to the production of three-piece syringes, in which an elastomeric seal on the plunger provides the required lubrication.

For two-piece syringes the second grade, SABIC PP PCGR40L, can be considered, since the lubrication is supplied by the plunger itself, providing a high level of dosing accuracy. The high levels of transparency of both grades are achieved by the inherent clarity of random PP copolymers plus the use of state-of-the-art clarifying technology.

Together, they provide an extra level of patient safety, since it is very easy to see the levels of liquid in the syringe, and to ensure there are no bubbles. Both new grades are reactor grades, which results in significantly pure materials.

Both new grades have a melt flow rate (MFR) of 40 g/min. This not only enables production of thin-walled medical devices and packaging, it also supports processors to reduce cycle times compared to grades with MFRs of between 30 and 35 g/min that are commonly used within the healthcare industry. This provides advantages for processors in terms of energy consumption, total conversion costs, and overall sustainability - an issue that is increasingly important for healthcare companies.

As MRC informed previously, in May 2013, started producing its new PP impact copolymer (ICP) grade PP77MK40T in China for the local market. PP77MK40T is suitable for production of garden furniture, household items, battery casings, containers, toys, crates and boxes, and enriches the polymers portfolio in Sabic.

Sabic is a diversified manufacturing company, active in chemicals and intermediates, industrial polymers, fertilizers and metals. It is the largest public company in Saudi Arabia. It is the largest company in the Middle East.
Sabic is currently the second largest global ethylene glycol producer and is expected to become number one after the introduction of these new projects. SABIC is the third largest polyethylene manufacturer, the fourth largest polyolefins manufacturer and the fourth largest polypropylene manufacturer. It is also the world's largest producer of mono-ethylene glycol, MTBE, granular urea, polyphenylene and polyether imide.
MRC

MOSCOW (MRC) -- Sinopec Hubei Chemical Fertilizer has started a new monoethylene glycol (MEG) plant, reported Polyestertime.

A Polymerupdate source in China informed that the plant started operations on February 8, 2014.

As MRC wrote previously, initially the plant was scheduled to start commercial production in late 2013.

Located at Zhejiang in Hubei province of China, the plant has a production capacity of 200,000 mt/year.

Another Chinese petrochemical producer Xinjiang Tianye Group is in plans to start a new MEG plant in August 2014. To be located in Xinjiang province, China, the plant will have a production capacity of 250,000 mt/year.

We remind that on 10 November 2013, CNOOC and Shell Petrochemicals Co (CSPC) shut down a MEG plant owing to mechanical issues. A restart date for the plant could not be ascertained. Located in Guangdong province, China, the plant has a production capacity of 320,000 mt/year.
MRC

MOSCOW (MRC) -- INEOS Europe has announced a new ethane purchase agreement with CONSOL Energy in the United States, said Hydrocarbonprocessing.

Ethane will be transported through the Mariner East infrastructure and imported by sea for use in INEOS’ European cracker complexes. Supplies will start from 2015.

"This contract adds to our supply portfolio providing for long term sourcing of advantageously priced US ethane for our European crackers. It will allow us to continue to consolidate the competitiveness of INEOS’ ethylene production in Europe. We are excited about our new business relationship with CONSOL Energy and look forward to future opportunities between our companies" commented David Thompson, INEOS Procurement & Supply Chain Director.

INEOS is the first company to establish seaborne intercontinental ethane transportation, having earlier announced the completion of agreements with Sunoco Logistics for capacity in the Mariner East pipeline and terminal system, with Range Resources for the purchase of ethane, with Evergas for the construction of new customised vessels and with TGE Engineering for the construction of a new tank in its Rafnes cracker. INEOS is presently conducting engineering studies for the construction of an ethane terminal in Grangemouth.

INEOS Group Limited is a privately owned multinational chemicals company consisting of 15 standalone business units, headquartered in Rolle, Switzerland and with its registered office in Lyndhurst, United Kingdom. It is the fourth largest chemicals company in the world measured by revenues (after BASF, Dow Chemical and LyondellBasell) and the largest privately owned company in the United Kingdom.
MRC

MOSCOW (MRC) -- In 2013, Braskem's resin sales totaled 3.7 million tons, with market share of 68%, said the producer in its press-release.

The average cracker capacity utilization rate was 90%. PP sales volume at Braskem America grew by 7% in 4Q13 and 3% in 2013, affected by the production growth, the highest since 2011.

Consolidated EBITDA in the last quarter of the year was Real1,175 million. In U.S. dollar, EBITDA was USD521 million, growing approximately 20% from 4Q12 recurring EBITDA.

In 2013, Braskem recorded EBITDA of Real4,813 million. In U.S. dollar, EBITDA was USD2,217 million, increasing by 11% from 2012.

The construction of the Mexico project continued to advance, with the complex's physical completion reaching 58%. In November, the subsidiary Braskem-Idesa withdrew the second installment of the project finance in the amount of USS547 million. In 2013, withdrawals amounted to USD2,031 million.

Braskem announced the expansion of one of its polyethylene production lines and the signing of a memorandum of understanding (MOU) with Styrolution for the production of styrenics specialties.

Braskem announced that it entered into an agreement with Solvay for the acquisition of the controlling interest in Solvay Indupa, which has 4 plants producing PVC and caustic soda in Brazil and Argentina. With the acquisition, which is still subject to approval by the countries' regulatory agencies.

Braskem is the leading producer of thermoplastic resins in Latin America and the US, following its purchase of polypropylene assets of Dow Chemical. The company serves 70% of Brazilian demand in PP, PE and PVC resins, but foreign resin imports have gained Brazilian market share in recent years. Brazil's annual consumption of PP is estimated at 1.4 million tons this year.
MRC

MOSCOW (MRC) -- The dependence of the Ukrainian polyethylene (PE) market on imports dropped by 8% in 2013. The main reason for weaker demand was the unfavorable economic situation in the country, which led to a fall in demand for finished products, according to MRC Annual report.

PE imports into the Ukrainian market dropped to 306,000 tonnes last year from 331,200 tonnes a year earlier. Demand for low density polyethylene (LDPE) and linear low density polyethylene (LLDPE) slumped in 2013 on the back of reductions of industrial production in Ukraine.

The structure of PE imports by grades looks the following way.

Imports of high density polyethylene (HDPE ) rose to 137,200 tonnes in 2013 from 132,000 tonnes a year earlier. Increased imports were caused by both the outage at the domestic producer (Karpatneftekhim) and stronger demand for finished products in all sectors of consumption, the only exception being a pipe HDPE market (demand dropped by 7%).

LDPE imports fell to 98,500 tonnes last year from 114,300 tonnes a year earlier. The sector of paper lamination (the so-called Tetra Pak packages) accounted for the greatest decline in demand (about 70%) for LLDPE. Demand for LDPE for the production of cable insulation fell by 20%.

LLDPE imports fell by almost a quarter to 57,000 tonnes from 74,200 tonnes. The sectors of cable insulation (approximately 31%) and films (about 26 %) production, including stretch films, showed weaker demand for LLDPE in 2013. At the same time, demand for LLDPE grew in the injection moulding sector (about 25%) and in the sector of rotational moulding of large items (about 6%).

Imports of ethylene vinyl acetate (EVA) rose in 2013 to 9,200 tonnes from 6,500 tonnes because of stronger demand in the injection moulding sector (shoe soles).

Import of other ethylene copolymers dropped to 4,100 tonnes last year from 4,400 tonnes in 2012.

MRC