Plastipak expands in Louisiana, closes on purchase in Europe

MOSCOW (MRC) -- Plastipak Packaging Inc. is investing USD9 million to expand a manufacturing facility in Louisiana, a move that will add 20 jobs, said Plasticsnews.

The maker of rigid plastic containers is adding three PET product manufacturing lines at its Pineville, La., location, the Plymouth, Mich.-based company said. Along with the 20 new direct jobs, officials estimate that 38 new indirect jobs will be created through the expansion, according to Louisiana Economic Development, a state agency.

Plastipak was founded in 1967 and has been in Pineville since 2003. News of the Louisiana expansion comes as Plastipak also finalized the acquisition of Artenius PET Packaging Europe, or APPE.

APPE has been rebranded Plastipak Packaging, the company said July 1. "The acquisition will significantly strengthen Plastipak's position in Europe and provide a solid platform for further growth into surrounding regions," Plastipak Packaging CEO William Young said in a statement. "The combination of the strong leadership teams of both companies, positions Plastipak to be the global leader in rigid packaging."

Plastipak Packaging blow molds containers for the food, beverage, and consumer products industries. The company is No. 3 in the Plastics News ranking of North American blow molders, with estimated relevant sales of USD1.84 billion.

The company now has more than 37 sites and more than 5,000 workers in the United States, South America and Europe.

Plastipak was the winning bidder for APPE last fall, submitting an offer to buy the firm from the liquidating La Seda de Barcelona SA for more than USD300 million.

Back in Louisiana, new production line installation is expected to begin this quarter at the 862,000-square-foot facility, the state said. Work should be completed by the end of the first quarter.
MRC

Styrolution Luran SC sets the standard for automotive bumper brackets

MOSCOW (MRC) -- In search of a material solution to enhance the performance and functionality of automotive bumper brackets, Rehau, a leading systems and service provider for polymer-based solutions, partnered with Styrolution, the global leader in styrenics, and identified a grade of Luran SC as the material of choice, reported Styrolution on its site.

Luran SC, which has become a trusted staple in automotive exterior applications, was selected due to its high impact resistance, overall toughness, UV stability and resistance to creep and heat. Given its successful application, the Luran SC bumper bracket from Rehau and Styrolution will be implemented as the standard material for several top automotive manufacturers.

Pierre Juan, Vice President Global Automotive, Styrolution: "The automotive industry continues to turn to innovative styrenic materials to advance innovation and performance as it relates to safety and design. Through its unique combination of properties, Luran SC sets the standard for material excellence in automotive exteriors, empowering customers to realize a greater competitive advantage due to its toughness, versatility and property retention. We are honored to further our partnership with Rehau through the development of this automotive solution."

The Styrolution Group GmbH is a global provider of styrenics , headquartered in Frankfurt am Main. In mid-November 2014, Ineos completed the purchase of BASF's 50% share in Styrolution, a joint venture between the companies. Styrolution's main focus is on the production of monomer, polystyrene, styrenic specialties, and ABS. The company offers styrene plastics for a variety of everyday products from different industries, such as automotive, electronics, construction, household, leisure, packaging, medicine and health.
MRC

Formosa Plastics Corp to build a new polypropylene line at Point Comfort, Texas

MOSCOW (MRC) -- Formosa Plastics Corporation, U.S.A. will build a new, state-of- the-art polypropylene (PP) production line at its Point Comfort, Texas site, reported Plastemart.

This will be the first new PP production to be built in the US in many years. It continues the company’s longstanding commitments to its customers, its employees and the communities in which it operates.

The project team has been assigned, detailed engineering design is proceeding and applications for environmental permits are being prepared for submittal. No details on the plant’s investment, capacity, technology, construction or anticipated completion/startup are being released.

As MRC informed previously, in August 2014, The US Environmental Protection Agency (EPA) 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".

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).
mrcpast.com

Sadara commissioning key infrastructure, will begin PE production by end of year

MOSCOW (MRC) -- Sadara Chemical Co. has begun the commissioning and start-up of key utilities and infrastructure, and the first production units will come on stream during the second half of this year, with initial polyethylene (PE) production near the end of 2015, as per GV.

Sadara, a joint venture of Dow Chemical and Saudi Aramco, is building a USD 20-billion complex in Jubail, Saudi Arabia, comprised of 26 world-scale manufacturing units.

Dow noted that overall construction is now about 94% complete and the units are scheduled for a sequenced start-up process, beginning with the polyolefins envelope to maximize timing in the ethylene cycle, followed by ethylene oxide/propylene oxide and their derivatives, with the polyurethanes portfolio in the final phases. Full site operations are on track for the end of 2016.

As MRC wrote previously, in June 2013, Dow Chemical, an American multinational chemical corporation, announced the signing of the main financing for the Sadara project.

Sadara Chemical Company (Sadara), Dow's joint venture with Saudi Aramco, entered into definitive agreements with certain export credit agencies, commercial banks and the Public Investment Fund of the Kingdom of Saudi Arabia for approximately USD10.5 billion of additional project financing.

The financing supplements the USD2 billion raised through a Sukuk Islamic bond issuance in April, 2013, bringing the total Sadara project financing raised to approximately USD12.5 billion, which will be used to fund the construction and start-up of the joint venture.
MRC

Evonik acquires share in JeNaCell

MOSCOW (MRC) -- Evonik has for the first time acquired shares in a young technology company in Germany via its venture capital arm, said Evonik in the press release.

The Group invested in JeNaCell GmbH and now holds a minority share in the spin-off of Friedrich Schiller University in Jena. JeNaCell is a specialist for nanocellulose generated with biotechnology methods and has a production process that is unique in this field. The parties agreed not to disclose the volume of the transaction.

Among other applications, nanocellulose enables optimized treatment of burn wounds as well as chronic wounds. This is made possible thanks to its special material properties, which combine the benefits of plant-based cellulose with those of nanostructured materials. Nanocellulose is not only particularly absorbent, but also extremely tear-resistant. In addition, it stands out for its high biocompatibility. The material has a pleasant feel on the skin, regulates the moisture level of wounds, and can be removed painlessly because it does not stick to the skin.

Nanocellulose can be manufactured with biotechnology methods, using bacteria in a nutrient medium. The microorganisms produce the material in fiber network at the surface to protect themselves against drying out and other risks. It had previously not been possible to automate the production; fermentation had to be restarted after every harvest from the resting culture media. JeNaCell has now developed an automated production technology for nanocellulose in a continuous loop. The product is regularly removed without interfering with fermentation. This allows for producing large quantities of the material while reducing costs.

Evonik wants to invest a total of EUR100 million in promising start-ups with innovative technologies and in leading specialized venture capital funds as part of its venture capital activities. Regional focus areas are Europe, the USA, and Asia. Evonik currently holds shares in six start-ups and three funds.

As MRC informed earlier, Evonik Industries completed the acquisition of Monarch Catalyst (Dombivli, India). 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.

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