Sinopec to shut down PX plant in China for maintenance

MOSCOW (MRC) -- Top Asian refiner China Petroleum & Chemical Corp. (Sinopec) is in plans to shut a paraxylene (PX) plant for maintenance turnaround, reported Apic-online.

A Polymerupdate source in China informed that the plant is planned to be shut in end-October 2014. It is likely to remain off-stream for around one month.

Located at Zhenhai in China, the plant has a production capacity of 650,000 mt/year.

As MRC informed previously, in August 2014, Sinopec posted a better-than-expected 7.5% increase in first-half profit as refining margin at Asia’s biggest refiner widened and production climbed.

We also remind that in November 2013, Sinopec won initial approval last month from China's top economic planner for a plan to build a USD10-billion refinery and petrochemical complex in Shanghai. China, the world's largest net importer of oil, is likely to add 3 million barrels per day, or a quarter of new refining capacity, between 2013 and 2015 to fuel economic growth, industry officials and Chinese media estimate.

China Petrochemical Corporation (Sinopec Group) is a super-large petroleum and petrochemical enterprise group established in July 1998 on the basis of the former China Petrochemical Corporation. Sinopec Group's key business activities include the exploration and production of oil and natural gas, petrochemicals and other chemical products, oil refining.
MRC

MOSCOW (MRC) -- Ufaorgsintez, owned by United Petrochemical Company, has announced an adjustment in its contract polypropylene (PP) prices for shipments from 15 October, according to ICIS-MRC Price report.

The company reduced its contract prices of propylene homopolymer (homopolymer PP) of raffia grade by Rb1,300/tonne from 1 October. The plant's contract prices of injection moulding homopolymer PP dropped by Rb3,000/tonne from the beginning of the month. Prices of some grades of block copolymers of propylene (PP-impact) were also reduced by Rb800/tonne.

Ufaorgsintez OAO was founded in 1956 and is based in Ufa, Russia. Ufaorgsintez OAO manufactures organic synthesis products in Russia and Europe. Its products include ethylene, propylene, ethanol, cumol, ethyl benzol, phenol, acetone, copolymer rubber, polyolefines, poly vinyl chloride and polyethylene items, thinners, and dilutants. The company was incorporated in 1984. Ufaorgsintez produced about 89,600 tonnes of PP over the first nine months of 2014.

United Petrochemical Company owns 87.76% of Ufaorgsintez's capital. Bashneft sold Ufaorgsintez to United Petrochemical Company in May 2013.
MRC

MOSCOW (MRC) - Imports of polyamide (PA) and engineering plastics based on polyamide (PA-plastics) decreased to 9,500 tonnes in the last nine months of the year, down 16% year on year, according to MRC DataScope Report.

The most significant reduction in supply was seen in the sector of unfilled PA 6, with imports fallen to 2,000 tonnes, down 34% year on year. Imported PA 6 mostly processed by technology of films extrusion for food packaging.

Imports of PA copolymers decreased to 5,300 tonnes in the first nine months of the year, down 8% year on year. Main application of PA copolymers in Russia - injection of various parts for industrial purposes, as well as - production of packaging film.

Imports of unfilled PA 66 were 614 tonnes in the first nine months of the year, down 2%. This material is used for the injection of various automotive components.

Imports of PA-emulsions have increased to 1,400 tonnes in the first nine months of the year, up 2% compared to the same time a year earlier. Emulsions are used to impregnate the leather, paper, textiles, in order to increase their strength and moisture repellent properties.

Prices for PA and PA-plastics market are traditionally higher than the price of basic polymers. This material is a high-tech and has a high cost.
Because of the rouble devaluation, the domestic price of PA and PA-plastics have increased , which constrains converters in purchases.

MRC

MOSCOW (MRC) - Russia's polyvinyl chloride (PVC) production increased by 2% in the first nine months of 2014. Bashkir Soda Company and Khimprom Volgograd showed a significant increase in PVC production, according to MRC ScanPlast.

September production of unmixed PVC in Russia increased to 55,200 tonnes, compared with 30,100 tonnes in August on the back of scheduled maintenance works at the largest Russian manufacturer - SayanskKhimPlast. Total PVC production in Russia grew to 464,600 tonnes in January - September this year, (excluding RusVinyl's production), compared with 454,400 tonnes year on year. The biggest increase in PVC production showed Bashkir Soda Company on the back of bigger production rates and Khimprom Volgograd, which worked without scheduled maintenance works this year.

Structure of PVC production over the reported period looked as follows. SayanskKhimPlast produced 26,300 tonnes of PVC in September.
Total PVC production at SayanskKhimPlast in the first nine months of the year remained practically steady at 206,800 tonnes, compared with the same time a year earlier (206,100 tonnes) .

Bashkir Soda Company (BSC) in the current year has expanded its PVC capacities to 230,000 tonnes/year, having increased capacities by 20,000 tonnes/year. September PVC production at the plant was 19,800 tonnes. Total PVC production at the company increased to 172,200 tonnes in the first nine months of this year, from 155,700 tonnes year on year. The producer plans to increase its PVC capacities to 240,000 tonnes/year.

Kaustik (Volgograd) produced 7,700 tonnes of SPVC in September, compared with 8,100 tonnes in August. Total SPVC production at the plant was 71,900 tonnes in the first nine months of the year, compared with 70,000 tonnes year on year.

The only producer of emulsion polyvinyl chloride (EPVC) in Russia - Kaustik Volgograd has been in the verge of bankruptcy in recent months. The producer had to reduce its capacity utilisation. Kaustik's EPVC production was 1,400 tonnes in September, remaining practically at the August level. Total EPVC production at the plant was 13,800 tonnes in the first nine months of the year, up 12% year on year on the back of reduced time of turnaround.

As it was already written, RusVinil (JV of SIBUR and SolVin) launched SPVC production in August in test mode. The producer did not give official data on the August and September PVC production volumes.


MRC

MOSCOW (MRC) - Production of polypropylene (PP) in Russia increased by 12% in In first nine months of this year, compared to the same period of 2013. The largest increase in production volumes continued to show new production sites in Omsk and Tobolsk, according to MRC ScanPlast.

September PP production in Russia exceeded 100,000 tonnes, reaching a record level in the history; August PP production were 63,200 tonnes because of scheduled maintenance works at Ufaorgsintez and Poliom. Total PP production in Russia reached 724,200 tonnes in January - September 2014, compared with 617,700 tonnes year on year. A significant increase in production showed Poliom and Tobolsk-Polymer other producers because of high production rates showed more modest results.

Structure of PP production over the reported period was as follows. Poliom (GK Titan, Omsk) increased PP production in September to 15,800 tonnes, compared with 6,400 tonnes in August. The producer's PP output was 125,300 tonnes in the first nine months of 2014, up 70% year on year.

Tobolsk-Polymer (SIBUR group) produced about 36,000 tonnes of PP in September, having reached record high monthly level since the launch of the plant. Total PP production at Tobolsk-Polymer was 150,700 tonnes in January - September 2014.

PP production at Nizhnekamskneftekhim and Ufaorgsintez increased by 3% in the first nine months of the year, reaching 160,200 tonnes and 89,600 tonnes respectively. Tomskneftekhim due to many factors, including the initially high level of capacity utilisation showed only 1% increase in PP production in the first nine months of this year, reaching 92,900 tonnes.

Neftekhimiya (Kapotnya), on the contrary, reduced PP production in January-September by 5% to 87,400 tonnes.

As it was written earlier, Stavrolen resumed PP production on Monday, 13 October following the emergency outage from 26, February.
The company's customers said the company began the first shipment of polypropylene in the domestic market from 15, October. The plant's annual production capacity is 120,000 tonnes.


MRC