Aromatics plant likely to be shut by Idemitsu Kosan

MOSCOW (MRC) -- Idemitsu Kosan, one of Japan’s largest refining and petrochemical companies, is in plans to shut its aromatics plant for maintenance turnaround, reported Apic-online.

A Polymerupdate source in Japan informed that the plant is planned to be shut in July 2014. It is likely to remain shut for around 50 days.

Located in Chiba, Japan, the plant has a PX capacity of 265,000 mt/year, benzene capacity of 577,000 mt/year and MX capacity of 353,000 mt/year.

As MRC informed earlier, Idemitsu Kosan is in plans to shut its SM plant for maintenance turnaround in April 2014. It will remain off-stream for around one month. Located in Chiba, Japan, the plant has a production capacity of 210,000 mt/year.

We remind that in 2013, Dow Chemical signed a long-term ethylene off-take agreement with a new Japanese joint venture that will allow the chemical producer to enhance its performance plastics franchise. The joint venture is being formed between Japanese companies Idemitsu Kosan and Mitsui & Co. to construct and operate a Linear Alpha Olefins unit on the U.S. Gulf Coast.

Idemitsu Kosan is a Japanese petroleum company. It owns and operates oil platforms, refineries and produces and sells petroleum, oils and petrochemical products. The company runs two petrochemical plants in Chiba and Tokuyama. The two naphtha crackers can produce up to 997,000 tonnes of ethylene per year.
MRC

MOSCOW (MRC) -- BASF has signed an agreement to divest PolyAd Services, part of its Plastic Additives business unit, to Edgewater Capital Partners, L.P., a private equity firm based in Cleveland, Ohio, as per the company's press release.

The closing of the transaction is expected to take place in the second quarter of 2014. The parties have agreed not to disclose the financial details of the transaction.

PolyAd Services is a stand-alone global business that offers innovative specialty blends and services to solve additive incorporation problems for the plastics compounding and converting industry globally. The business serves a wide spectrum of plastic applications in industries, such as automotive, building and construction, packaging and electronics.

PolyAd Services has grown over the last few years, however for BASF’s Plastic Additives business, the company’s services business model is a niche business that offers a limited channel to market for its product portfolio.

As MRC informed previously, in late February 2014, BASF signed a contract to divest its liquid masterbatch business in Clermont de l’Oise, France, to Audia International, a large global supplier of polyolefins and color masterbatches. The transaction is expected to close in mid 2014.

BASF is also a leading manufacturer, supplier and innovation partner of additives for the plastics industry such as ultraviolet (UV) light stabilizers, antioxidants and process stabilizers, and other additives.
MRC

MOSCOW (MRC) -- Arkema, a France-based chemical manufacturer and the expert in glass bottle coating solutions, has joined Carlsberg’s program to develop next generation of high quality packaging products, called "upcycling", reported the company on its site.

This "upcycling" approach driven by the Carlsberg Circular Community (CCC) working team follows the Cradle to Cradle analysis method to assess packaging products (eco-toxicological profile, lifecycle analysis) enabling Carlsberg to rethink its packaging materials.

This new generation packaging will still meet all quality standards while also improving environmental impact (reduced dependence on raw materials, increase of recycling). Carlsberg’s target is to achieve Cradle to Cradle certification for at least three products by 2016.

Arkema is one of the six global leading suppliers to the beverage packaging industry to have been selected by Carlsberg to develop a new generation of packaging products that are optimized for recycling and reuse with the scientific institute EPEA as quality assurance evaluator.

"We are very proud to have been selected by Carlsberg to join in this innovative initiative which entails designing eco-responsible and sustainable packaging thanks to comprehensive cooperation with suppliers. Our products significantly improve the lifetime of returnable glass bottles, and so are entirely consistent with this initiative," explains Marc Maggiani, Manager of Arkema’s Glass Coatings business.

As MRC wrote before, in November 2013, Arkema officially started its new 60,000 MTY emulsion polymers facility on its Changshu platform. The plant, part of Arkema’s Coating Resins business unit, will serve customers in the Asia Pacific region with a full line of waterborne emulsion polymers for coatings and adhesives applications.

Arkema with annual revenue of EUR6.4 billion is a leading European supplier of chlorochemicals and PVC. Kynar and Kynar Flex are registered trademarks of Arkema Inc.
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MOSCOW (MRC) -- China National Petroleum Corp., the country’s biggest oil and gas producer, will seek outside investors for its oil and gas exploration and refining businesses as the nation opens up state companies, said Hydrocarbonprocessing.

Six sectors including oil and gas reserves, unconventional oil and gas exploration, pipelines, refining, overseas businesses and financial units have been chosen for possible equity partnerships with private investors, the China Securities Journal reported Wednesday, citing Zhou Jiping, chairman of the state-owned company.

The board hasn’t decided on the shareholding structure of such partnerships, Zhou said.

The move is the latest sign that China’s energy companies are seeking to add outside investors. China Petroleum & Chemical Corp., known as Sinopec, said last month it would seek private investors for as much as 30% of its oil retail unit, which includes more than 30,000 fuel stations.

Chinese premier Li Keqiang said in a speech to the National People’s Congress that non-state capital will be allowed to invest in areas such as banking, oil and resources development.

CNPC is open to all forms of partnerships as long as they are good for risk and profit-sharing and accelerate development of the oil and gas industry, Zhou said.

Investment in individual projects will be judged on a case-by-case basis, though the general principle is to break monopolies and promote competition in those sectors, Zhou said. Beijing-based CNPC is the parent of listed unit PetroChina.

China National Petroleum Corporation (CNPC) is the largest oil & gas company in China in terms of reserves and production. It is wholly owned by the government, and is the largest state-owned enterprise in terms of assets, and second-largest in terms of revenue. Its oil & gas reserves of 23 billion boe and production of 1.67 billion boe also position it among the top five integrated oil & gas companies in the world. Its revenue in 2012 totaled RMB2,683 billion.
MRC

MOSCOW (MRC) -- Bayer MaterialScience has acquired DuPont's aniline production facility in Baytown, Texas, said Hydrocarbonprocessing.

With the acquisition, Bayer assumes responsibility for the facility's direct operating personnel. Financial terms were not disclosed.

Aniline is a primary feedstock used to manufacture methylene diphenyl diisocyanate (MDI), a versatile chemical used to produce rigid polyurethane foams for insulation in the construction industry, as well as coatings, adhesives, sealants, elastomers and binders.

The aniline facility is located within Bayer's Baytown plant — the company's largest manufacturing facility in the US and a critical asset in its global manufacturing portfolio. Adding aniline production fully integrates the Baytown plant along the MDI value chain for enhanced production flexibility.

"North America is poised for strong MDI growth driven by recovery in the construction market, energy code advancement and home comfort trends," said Craig Caputo, vice president of polyurethanes and regional product manager for Bayer MaterialScience. "This strategic acquisition positions Bayer to meet this growing demand while further strengthening our leadership in the polyurethane industry."

The acquisition also reinforces Bayer's commitment to the Baytown facility, according to company officials. Over the last two years, Bayer has invested roughly USD120 million in process, reliability, quality and environmental improvements at the plant, which in addition to MDI produces toluene diisocyanate (TDI) and polycarbonate.

We remind that, as MRC informed previously, Bayer MaterialScience has opened its first Polymer Development & Technology Center in South Korea, with a goal of developing new polycarbonate applications for Korean firms. Located in Yongin, near Seoul, the new center adds to Bayer's global network of research and development hubs, and is supported by its network of major production sites in the Asia Pacific region.

Headquartered in Pittsburgh, Pa., BMS is part of the global Bayer MaterialScience business with approximately 14,800 employees at 30 production sites around the world. The company’s 2011 sales in North America were USD2.9 billion.

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