Samyang Innochem to restart BPA plant in South Korea

MOSCOW (MRC) -- Samyang Innochem is in plans to restart its bisphenol A (BPA) plant following maintenance turnaround, as per Apic-online.

A Polymerupdate source in South Korea informed that the plant is likely to be restarted in end-June 2015.It was shut on May 24, 2015.

Located in Gunsan, South Korea, the plant has a production capacity of 150,000 mt/year.

As reported earlier, South Korean petrochemical company LG Chem restarted its BPA plant in South Korea after maintenance turnaround in late November 2014. It was shut on October 26, 2014. Located in Yeosu, South Korea, the plant has a production capacity of 150,000 mt/year.

Besides, as MRC wrote previously, in early 2015, Badger Licensing, a 50-50 joint venture between ExxonMobil and Technip, was selected by Lihuayi Weiyuan Chemical to provide its proprietary technology for a 120,000 tpy grassroots bisphenol-A (BPA) plant being built in Lijin, Shandong Province, People’s Republic of China. The new BPA plant is under construction and is scheduled for mechanical completion and start up in 2015. Lihuayi operates a cumene plant using Badger technology at the same site.

BPA is a type of engineering plastic for use in automobiles, mobile phones, and electronics appliances.
MRC

Kazanorgsintez to suspend PC production in July

MOSCOW (MRC) - Kazanorgsintez (KOS), the only producer of polycarbonate (PC) in the Russian Federation to suspend the production of PC granules from 2 to 29 July because because of scheduled maintenance works, according to MRC ScanPlast report.

A source at the plant said that maintenance works were postponed until mid-summer because of the high demand in May and the shortage of material in the Russian market. The producer will focus on the production of extrusion PC in August because the seasonal increase in demand in September in the construction sector.

However, because the outflow of investment from the country and the closure of large-scale projects, the demand may be lower compared with the last year. Converters closed the spring season with a gain in sales and in production and cost volumes compared to the same time a year earlier.

The demand was supported mainly by small wholesale and retail from the agricultural sector and private households.
As it was previously reported, production of PC granules by Kazanorgsintez was 23,400 tonnes in the first four months of the year, down 5% year on year. Thus, 87% from the produced polymer occurred for sheet extrusion grades.

MRC

PET prices slightly dropped in early June in Russia

MOSCOW (MRC) - Prices for polyethylene terephthalate (PET) in Russia have declined slightly in early June on the back of weak demand and lower price for imported Asian material, according to ICIS-MRC Price Report.

Domestic prices for Russian PET this week were heard in the range of rouble (Rb) 75,000-77,000/tonne FCA, including VAT. The lower end of the price fell by Rb1,000/tonne, compared with the last week of May.

The price for the domestic market was cut by the largest PET producer in Russia - SIBUR. Spot sales of PET chips from two producer's sites in Tver and Blagoveshchensk were announced in the range of Rb75,000-76,000/tonne FCA, including VAT.

Spot PET prices from Polief's warehouse with the delivery in Central region was at Rb77,100-78,100/tonne CPT Moscow, including VAT. PET prices from Senege were heard in the range of Rb76,000-77,000/tonne CPT Moscow, including VAT. A converter said the company was ready to make concessions to buyers. Producer's PET prices in the spot market was at Rb75,700/tonne CPT Moscow, including VAT.

Domestic PET prices from Alco-Naphtha were heard in the range of Rb76,000-77,000/tonne CPT Moscow, including VAT. The company has not yet cut the price.

Market players said the prices of Russian PET have not fallen because of the devaluation of the rouble. However, market demand remains at a low level as for the beginning of the summer.

There was no seasonal summer rush in the spot market. At the same time converters continue to look for the procurement of PET chips in the foreign markets. Some buyers are expected Russian PET prices to be cut in June and do not make purchases, using stocks inventories.

MRC

European pipe HDPE increased by EUR120/tonne for CIS markets in June

MOSCOW (MRC) - June contract price of ethylene in Europe was agreed up by EUR60/tonne from the May level.
But because of the shortages European producers once again announced a twofold increase in prices for pipe high density polyethylene (HDPE) in comparison with the ethylene price, according to ICIS-MRC Price Report.

The deficit in the European polyethylene (PE) market for the fourth consecutive month has strong pressure on prices. In June, the European producers of pipe HDPE announced increase in export prices for the CIS markets of EUR120/tonne, compared with the May level.

At the same time, in spite of such a serious rise in prices, European producers continued in most cases refrain from PE shipments in June. Negotiations on the June supply of coloured PE100 last week were done in the range of EUR1,555 - 1,635/tonne FCA, while the May deals had been done in the range of EUR1,435 - 1,520/tonne FCA.

June is the fourth consecutive month of pipe PE price rise in Europe. Thus, European pipe PE prices have rise by EUR525 - 615/tonne since February to June 2015.

Many companies are hoping that PE prices in July at least will stop to rise so dynamically and export quotas from European producers increase significantly. Some market participants even forecast a drop in prices in the next month.

MRC

Evonik Industries completes acquisition of Monarch Catalyst in India

MOSCOW (MRC) -- Evonik Industries said on Monday that it has completed the acquisition of Monarch Catalyst (Dombivli, India), said the producer in its press-release.

Evonik announced plans to acquire Monarch Catalyst in March, subject to certain closing conditions. The company employs approximately 300 people and will be renamed Evonik Catalysts India. All of Evonik’s future catalyst activities in India will be operated through the newly acquired company. Financial details of the transaction have not been disclosed.

As it was said earlier, on March 11, 2015, Evonik signed an agreement with Monarch Catalyst Pvt. Ltd., Dombivli (India) to acquire 100% of the company’s shares.

Evonik with its Business Line Catalysts is a global leader in producing specialty catalysts, custom catalysts and catalysts components for the Life Sciences & Fine Chemicals, Industrial & Petrochemical and Polyolefines market segments. This bolt-on acquisition in India with annual sales in the low double-digit million euro range complements Evonik’s leading positions in activated base metal catalysts and precious metal catalysts. Monarch’s global oils & fats hydrogenation catalysts business is a broadening of the Evonik catalysts portfolio. Monarch Catalyst has about 300 employees.

Evonik, the creative industrial group from Germany, is one of the world leaders in specialty chemicals. Its activities focus on the key megatrends health, nutrition, resource efficiency and globalization. Evonik benefits specifically from its innovative prowess and integrated technology platforms. Evonik is active in over 100 countries around the world.
MRC