MOSCOW (MRC) -- ExxonMobil Chemical will begin a sales allocation for some grades of polypropylene because of operational difficulties at its Baton Rouge, Louisiana, facility, as per Plastemart.
"Presently, we are assessing the full impact to our polypropylene supply capability at this site," according to the letter, which was sent to customers Tuesday. The letter added that that allocation levels would be communicated to customers as soon as possible, if applicable.
It was unclear what the nature of the operational difficulties were at the Baton Rouge Polyolefins Plant, or which specific grades would be impacted. No timeframe for the allocation was provided in the letter. ExxonMobil Chemical could not be immediately reached for comment.
As MRC wrote before, Mexico's state oil company Pemex and Exxon Mobil Corp signed a non-commercial agreement on Thursday to jointly explore potential upstream and downstream business opportunities. The agreement comes against the backdrop of the landmark constitutional reform, signed into law under Mexican President Enrique Pena Nieto last year, that ended Pemex's 75-year-old oil and gas monopoly.
Exxon Mobil is the world's largest publicly traded international oil and gas company, and produces in nonconventional areas like the deep waters of the Gulf of Mexico on the U.S. side. Pemex is just starting exploration in the deep waters of the Mexican side of the Gulf.