Borealis buys DuPont share of Belgium-based specialty polymers JV

MOSCOW (MRC) -- Borealis AG is buying out DuPont Co.’s two-thirds share in their Specialty Polymers Antwerp NV joint venture, said the producer in its press release.

No purchase price was disclosedl. Wilmington, Del.-based DuPont will continue to sell ethylene vinyl acetate (EVA) and acrylate compolymers made at the JV’s plant, which is in Zwijndrecht, Belgium.

"The acquisition…is in line with our strategy to grow our polyolefin business in specific market areas," Borealis CEO Mark Garrett said in the release. "Acrylate polymers…are an important building block for our value-added products sold into our core energy and infrastructure market."

As MRC informed before, last summer, Borealis and Borouge announced the dedicated roll-out of the technology platform Borlink in Russia, according to the company's press release. 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).

DuPont is an American chemical company that was founded in July, 1802. The company manufactures a wide range of chemical products, leading extensive innovative research in this field. The company is the inventor of many unique plastics and other materials, including neoprene, nylon, Teflon, Kevlar, Mylar, Tyvek, etc. DuPont was the developer and main producer of Freon used in the production of refrigeration equipment.

Vienna-based Borealis is a leading producer of polyolefins, base chemicals and fertilizers. The firm posted sales of more than USD10 billion in 2013. Borealis is majority-owned by state-owned International Petroleum Investment Co. of Abu Dhabi. IPIC also owns North American ethylene and polyethylene producer Nova Chemicals and Middle Eastern petrochemicals firm Borouge.
MRC

MOSCOW (MRC) -- Japan's ethylene production in July rose 14.6% from June to 553,400 mt, and was up 2.1% on the year, said Apic-online, citing the Ministry of Economy, Trade and Industry.

The steep month-on-month increase in output was attributed to two steam crackers returning from their maintenance shutdowns in July.

Mitsubishi Chemical has on July 1, restarted its No. 2 naphtha-fed steam cracker at Kashima from a turnaround that started May 9. The No. 2 cracker is able to produce 526,000 mt/year of ethylene and 260,000 mt/year of propylene. And Keiyo Ethylene restarted its naphtha-fed steam cracker at Chiba in late June, from a scheduled maintenance that began May 11. The Chiba cracker can produce 700,000 mt/year of ethylene and 400,000 mt/year of propylene.

Japan's ethylene output figure could further increase in August, with another steam cracker having restarted from its turnaround in early August.

Mitsui Chemicals has restarted its naphtha-fed steam cracker at Sakai, western Japan early August after it was shut on June 20 for maintenance. The cracker is able to produce 500,000 mt/year of ethylene and 280,000 mt/year of propylene.

Mitsui Chemicals,a Japanese chemical company, is a part of the Mitsui conglomerate. The company has a turnover of around 15 billion USD and has business interests in Japan, Europe, China, Southeast Asia and the USA. The company mainly deals in performance materials, petro and basic chemicals and functional polymeric materials.
MRC

MOSCOW (MRC) -- Braskem's sales followed the market slowdown and reached 879 kton. Compared to 2Q13, the market dropped by 8% and the Company's sales 7%, said the producer in its release.

Sales of PP in the USA and Europe business unit reached 479 kton, up 4% and 3% from 1Q14 and 2Q13, respectively, reflecting the recovery of local markets, especially in the automotive and retail sectors in the United States.

In 2Q14, Braskem recorded EBITDA of BRL1,130 million, 17% lower than the 1Q14 recurring EBITDA, influenced by the sale mix, reduction of petrochemical spreads in international markets and the Brazilian real appreciation. Compared to 2Q13, EBITDA grew by 6%, driven by resins spreads recovery and the Brazilian real depreciation. In U.S. dollar, EBITDA in 2Q14 amounted to USD507 million.

The Company's leverage stood at 2.73x, in line with 1Q14. In Brazilian real, the leverage ratio stood at 2.62x, decreasing 3%. The construction of the Mexico project reached 75% completion and equipment assembly of large pieces, such as the ethylene tower, was concluded.

In line to its commitment to develop the Brazilian plastics chain, Braskem continued to make progress on the Plastics Chain Competitiveness Incentive Plan and participated in the Agrishow fair, one of the largest agribusiness trade fairs, in order to approach the sector to the latest innovations in plastics.

Braskem announced a project to produce Ultra-High Molecular Weight Polyethylene (UTEC), a 100% Brazilian technology resin with applications in a wide range of industries at its unit in La Porte, Texas (USA).
Braskem figured among the 15 Dream Companies ("Empresa dos Sonhos") to work at according to young professionals in Brazil, in a survey involving undergraduate college students and recent graduates.

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).

MRC

MOSCOW (MRC) -- LyondellBasell has lifted force majeure on deliveries of acetic acid (AA) in Europe as raw material and feedstock issues at its 544,000 mt/year acetic acid unit in LaPorte, Texas, have been resolved, reported Apic-online with reference to a company source's statement.

LyondellBasell Europe receives AA supplies from its US arm.

"We lifted the FM yesterday on acid in Europe, we will receive material from our US branch, and will have normal volumes in September for our customers here," the source said.

The company declared force majeure on European AA supplies in the second week of June.

As MRC informed previously, in May 2014, LyondellBasell received a key permit required in the company's multi-plant ethylene expansion program which, when fully operational, is expected to increase annual ethylene capacity by an estimated USD3.12 billion, for a total estimated capacity of USD19.9 billion in North America. The ethylene expansion program began in 2013 and represents a total investment of approximately USD1.3 billion in the company's Channelview, La Porte and Corpus Christi, Texas plants which benefit from shale gas production.

LyondellBasell Industries NV is a manufacturing company. The Company produces chemicals, fuels, and polymers used for packaging, clean fuels, durable textiles, medical applications, construction materials, and automotive parts. LyondellBasell Industries operates globally and is headquartered in the Netherlands. LyondellBasell is also a leading licensor of polypropylene and polyethylene technologies. The more than 250 polyolefin process licenses granted by LyondellBasell are twice that of any other polyolefin technology licensor.
MRC

MOSCOW (MRC) -- Formosa Petrochemical Corp (FPC) is in plans to shut an ethylene dichloride (EDC) plant for maintenance turnaround, as per Apic-online.

A Polymerupdate source in Taiwan informed that the plant is planned to be taken off-stream on August 16, 2014. It is likely to remain off-stream for around one month.

Located in Mailiao, Taiwan, the plant has a production capacity of 1.1 million mt/year.

As MRC wrote before, the US Environmental Protection Agency (EPA) has recently issued three final GHG Prevention of Significant Deterioration construction permits for the Formosa Plastics facility in Point Comfort, Texas. Formosa is expanding its chemical complex, located near Victoria, and taking three actions with its turbines unit, olefins unit and low-density polyethylene (LDPE) unit. According to the olefins GHG permit, a new ethane cracker and propane dehydrogenation (PDH) unit will have a combined capacity of 1.75 million tpy of "high-purity ethylene product". Meanwhile, the LDPE unit will have a a capacity of 625,500 tpy and be able to produce resin at different grades.

Formosa Petrochemical is involved primarily in the business of refining crude oil, selling refined petroleum products and producing and selling olefins (including ethylene, propylene, butadiene and BTX) from its naphtha cracking operations. Formosa Petrochemical is also the largest olefins producer in Taiwan and its olefins products are mostly sold to companies within the Formosa Group. Among the company's chemical products are paraxylene (PX), phenyl ethylene, acetone and pure terephthalic acid (PTA). The company's plastic products include acrylonitrile butadiene styrene (ABS) resins, polystyrene (PS), polypropylene (PP) and panlite (PC).
MRC