BASF and SINOPEC to build new plant for neopentylglycol in China

MOSCOW (MRC) -- BASF and SINOPEC will build a new world-scale production plant for neopentylglycol (NPG) at their state-of-the-art Verbund site, BASF-YPC Co., Ltd., a 50-50 joint venture in Nanjing, China, as per BASF's press release.

The plant, with a total annual capacity of about 40,000 metric tons is planned to go on stream at the end of 2015. The new NPG plant will benefit from backward integration into the Nanjing Verbund site, allowing high delivery reliability and maximizing efficient use of energy and resources.

NPG is a unique polyalcohol offering superior performance in many end-use applications such as coatings, textiles and construction due to its high chemical and thermal stability. It is mainly used as a building block in polyester resins for coatings, unsaturated polyester and alkyd resins, lubricants and plasticizers. As the global market leader, BASF has NPG production facilities in Ludwigshafen, Germany; Freeport, USA and Jilin, China.

"With this new plant, we are responding to our customers’ growing demand for high-quality neopentylglycol, especially in the Asia Pacific region, and at the same time strengthening our position as the global leading supplier of NPG," said Sanjeev Gandhi, President, BASF Intermediates division.

As MRC informed previously, in April 2014, BASF and Sinopec inaugurated two new plants for acrylic acid and superabsorbent polymers (SAP) at their state-of-the-art Verbund site, BASF-YPC Co., Ltd., a 50-50 joint venture in Nanjing, China. Additionally, a new butyl acrylate plant will begin production later this year.

BASF-YPC Co., Ltd. is a 50-50 joint venture between BASF and Sinopec, founded in 2000, with a total investment of USD4.5 billion. The integrated petrochemical site produces 3 million tons of chemicals and polymers for the Chinese market annually. The products serve the rapid-growing demand in multiple industries including agriculture, construction, electronics, pharmaceutical, automotive and chemical manufacturing. BASF-YPC posted sales of EUR2.84 billion in 2013 employed 1,993 people as of the end of that year.

China Petroleum & Chemical Corporation (SINOPEC) is a large scale integrated energy and chemical company with upstream, midstream and downstream operations. SINOPEC is China"s largest manufacturer and supplier of major petrochemical products.

BASF is the worldпїЅs leading chemical company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas.
MRC

MOSCOW (MRC) -- With immediate effect, or as contract terms allow, BASF, the world's petrochemical major, will be increasing prices for all its Lupranat MDI (methylene diphenyl diisocyanate) basic products by EUR70 per metric ton and for its Lupranat TDI (toluene diisocyanate) basic products by EUR50 per metric ton in the EMEA region (Europe, Middle East and Africa), reported the company on its site.

This increase is driven by high raw material costs and a strong demand from major business segments.

As MRC wrote earlier, BASF has recently increased prices in Europe, Africa and Western Asia for HDI (hexamethylene di-isocyanate) and derivatives range (Basonat) by 3% to 5% with immediate effect or as contracts allow. The price increase was necessary due to the current market situation and the significant rise in the cost of raw materials. The products affected by the price increase are used mainly as raw materials in the coatings, printing and packaging industries.

BASF is the world’s leading chemical company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas. BASF had sales of about EUR74 billion in 2013 and over 112,000 employees as of the end of the year.
MRC

MOSCOW (MRC) -- AkzoNobel N.V.has inaugurated its new, highly efficient chlorine membrane electrolysis plant in the Rhein-Main area of Germany, said the producer in its press release.

The Frankfurt-based, state-of-the-art plant is the result of a major conversion and expansion project begun in 2011 and involving a EUR140 million investment by the company. Capacity has been increased by 50% whilst at the same time reducing the plant's overall ecological footprint by some 20%, says the company.

"This investment in our Specialty Chemicals business highlights the steps we are taking to strengthen our market positions and further improve our performance as a company," said AkzoNobel CEO Ton Buchner. "We are constantly looking for new and innovative ways to improve our operational efficiency, drive our sustainability agenda and improve our service to customers."

Added Werner Fuhrmann, the company's executive committee member responsible for Specialty Chemicals: "This plant produces building blocks for the manufacture of products we all use on a daily basis ranging from pharmaceuticals and tooth paste to door and window frames. By radically improving our efficiency and increasing our use of renewable energy, we can take significant steps in making these everyday essentials even more sustainable."

The facility has been converted to the latest-generation membrane technology. Radical efficiency improvements will reduce energy consumption by 30% per metric ton (m.t.) of product. Boosting chlorine production capacity up to 250,000 m.t./yr will also reinforce the company's leading positions in Europe's chlor-alkali markets.

Products from the salt-chlorine chain, including chlorine, caustic lye, and derivatives, are essential basic chemicals and are used in countless everyday products and processes, ranging from water disinfection to clothing, amongst other things in the manufacture of epoxies, polyurethanes, polycarbonates, PVC and titanium dioxide. They are also used in the manufacture of more than two thirds of all pharmaceuticals.

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.
MRC

МOSCOW (MRC) -- INEOS Olefins & Polymers Europe has today confirmed that it has reached an agreement with Evergas to expand its contract for a series of state-of-the-art ethane vessels, that are currently under construction in China, to six vessels, said the producer in its press release.

In January 2013 INEOS agreed a 15-year shipping agreement with Evergas for the transportation of ethane into Europe from the US Mariner East project, as the world’s first US ethane export contract.

INEOS and Evergas have now expanded the agreement to secure additional capacity for long-term shipping of advantageously priced US ethane for INEOS’ European crackers at Rafnes (Norway) and Grangemouth (Scotland).

INEOS will be the first company to establish seaborne intercontinental ethane transportation, having earlier announced agreements with Sunoco Logistics for capacity in the Mariner East pipeline and terminal system, with Range Resources and CONSOL Energy for the purchase of ethane. Evergas will provide customized vessels for the transportation.

The company has also confirmed today that it has reached an agreement with Enterprise Products for ethane capacity at their recently announced ethane export facility on the Texas Gulf coast. The design and build of highly advanced, sustainable vessels has been an important consideration in supporting INEOS’ competitive business model.

David Thompson, Chief Operating Officer INEOS Trading & Shipping says: "Having worked successfully with EVERGAS for more than a decade we are very confident that these vessels will provide long term security and competitiveness of our feedstock supplies".

The new vessels will enter into service in 2015. They are tailored to meet the specific needs of this project and will be built to the latest specifications matching highest environmental and efficiency performance measures. They are the largest, most flexible and advanced multigas carriers yet to be built. They will provide INEOS with a flexible solution for their ethane supplies with the option of transporting LNG, LPG as well as petrochemical gases including ethylene.

Martin Ackermann, CEO of EVERGAS says: "The advanced design of these vessels offers very high efficiency and unparalleled flexibility to INEOS securing the longevity and strong position of their business." The dual-fuelled vessels will use clean LNG in state-of-the-art engines securing high efficiency, low emissions and reduced fuel cost.

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) -- BASF has doubled capacity of its non-phthalate plasticizer Hexamoll DINCH from 100,000 metric tons to 200,000 metric tons per year at its site in Ludwigshafen, Germany, said the producer in its press release.

With a second Hexamoll DINCH plant BASF will satisfy growing customer demand and strengthen supply security worldwide while continuing to ensure consistently high quality. The plant has started up successfully and the expanded capacity is available from now on.

Hexamoll DINCH is a non-phthalate plasticizer especially developed for applications with close human contact. Due to steadily growing demand since its market launch in 2002, Hexamoll DINCH has become an established plasticizer in food packaging, medical devices and toys. During the last few years there was also an increasing demand in the flooring and wall covering industry.

With its excellent toxicological profile and low migration rate Hexamoll DINCH has set high quality standards and is the ideal choice for a wide range of applications. Several leading brand owners and market players put their trust in Hexamoll DINCH.

"In the last few years we have been experiencing a strong customer demand for alternatives to traditional phthalates and a market change to non-phthalate plasticizers," said Prof. Dr. Rainer Diercks, President of BASF’s Petrochemicals Division. "With our second Hexamoll DINCH plant and the doubled capacity we support our customers in managing this change and making the move to Hexamoll DINCH."

As MRC informed previously, in January, 2014, BASF and China Petroleum & Chemical Corporation (Sinopec) broke ground on the construction of its world-scale isononanol (INA) plant in Maoming Hi-tech Industrial Development Zone, Maoming, China. At start-up in 2015, the plant, which is the first of its kind in China, will serve the increasing market demand for next-generation plasticizers. A newly-formed 50-50 joint venture company has been created, BASF MPCC Company Limited.

BASF is the world’s leading chemical company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas. BASF had sales of about EUR74 billion in 2013 and over 112,000 employees as of the end of the year.

MRC