Qatar earns USD8bn from chemical output in 2014

MOSCOW (MRC) -- Qatar earned nearly 8bn from its chemical manufacturing portfolio last year, said a report by the Gulf Petrochemicals and Chemicals Association (GPCA), said Menafn.

As the region's largest petrochemical producer, Saudi Arabia's manufacturing portfolio comprised 63% of the region's chemical portfolio and earned 68.3bn, GPCA said. The GCC's total chemical capacity for 2014 exceeded 136.2mn tonnes, it said. With revenues reaching almost 88bn in 2014, the petrochemicals industry contributed to 31% of the GCC's (Gulf Cooperation Council) total manufacturing GDP, the latest GPCA industry report showed. Petrochemical production in the GCC rose by 8.3% in 2014, making the GCC the second-highest growth region in the world.

However, slumping oil prices and economic slowdown in China have had a direct negative impact on petrochemicals prices, with revenues declining from 89.4bn in 2013, according to the 'GCC Petrochemicals and Chemicals facts and figures 2014', which will be released at the 10th Annual GPCA Forum in November 2015.

"The health of the global economy since the decline in oil prices and the slowdown of the Chinese economy combined with the possibility of a nuclear deal with Iran, contributed to weak petrochemicals prices and created a difficult near-term outlook for the global petrochemicals and chemicals sector," said Dr Abdulwahab al-Sadoun, secretary general, GPCA. "Given that the GCC petrochemicals producers are not price-setters, it means that Arabian Gulf producers need to be more agile, collaborative and innovative to succeed."

"Looking ahead, the long term scenario is more positive. The industry has been forecasted to grow at 6% per annum over the next five years, with the region producing over 190mn tonnes of petrochemicals annually by 2020," al-Sadoun added.

"The drive into higher value products, such as speciality and performance chemicals, is gaining momentum and is expected to act as a catalyst for an even stronger growth of the GCC petrochemical industry in the years to come."
The sector attracted considerable number of GCC nationals into its workforce in 2014, with a nationalisation rate of 67% among GPCA member companies.

The GPCA's facts and figures report is an annual publication will be released on November 17. Currently in its fourth edition, the report provides information on wide-ranging subjects for the region's chemicals industry including product capacity, employment and trade.

As MRC informed earlier, Qatar Petroleum and Shell have decided not to proceed with the proposed Al Karaana petrochemicals project, and to stop further work on the project. The decision came after a careful and thorough evaluation of commercial quotations from EPC (engineering, procurement and construction) bidders, which showed high capital costs rendering it commercially unfeasible, particularly in the current economic climate prevailing in the energy industry.
MRC

Success for AkzoNobel at Responsible Business Awards

MOSCOW (MRC) -- AkzoNobel won a major honor – and was highly commended in a second category – at the recent Responsible Business Awards 2015 event, which was held in London, UK, said the producer in its press-release.

As well as being presented with the top prize in the Best Integrated Report category, the company was highly commended for Best Employee Engagement.

Commenting on the achievement, Andre Veneman, AkzoNobel's Corporate Director of Sustainability and HSE, said: "It's always pleasing to receive recognition, but more than anything, this award strengthens our belief that sustainability should sit at the heart of our business strategy."

The award for Best Integrated Report honors the company that clearly shows and explains how it creates and achieves value. The winning report also needs to explain how stakeholder engagement activities have contributed towards developing the company’s materiality matrix.

The highly commended recognition in the Best Employee Engagement category was for the roll-out of the company’s Planet Possible sustainability strategy.

Organized by Ethical Corporation and now in their sixth year, the awards attract entries from all over the world.

AkzoNobel's achievement follows on from success earlier this month, when the company was ranked first in the Materials industry sector on the Dow Jones Sustainability Index for the fourth consecutive year.

As MRC informed earlier, AkzoNobel has opened a new production line for coil coatings at its facility in Garcia, Mexico. As well as doubling current capacity, the new line will also serve local coated steel manufacturers, including Ternium, Zincacero and Galvasid.

Akzo Nobel N.V., trading as AkzoNobel, is a Dutch multinational, active in the fields of decorative paints, performance coatings and specialty chemicals. Headquartered in Amsterdam, the company has activities in more than 80 countries, and employs approximately 55,000 people.
MRC

SM plant of Idemitsu SM Malaysia remains shut

MOSCOW (MRC) -- Idemitsu SM Malaysia continues to keep its styrene monomer (SM) plant shut, said Apic-online.

A source in China informed that the plant remains off-stream since mid-September 2015. The plant was shut owing to mechanical problems. It could not be ascertained as to when the plant will resume production.

Located at Pasir Gudang in Malaysia, the plant has a production capacity of 240,000 mt/year.

As MRC informed earlier, Idemitsu SM Malaysia shut its styrene monomer (SM) plant for maintenance turnaround in June 2015 for around one month.

Located in Pasir Gudang, Malaysia, the plant has a production capacity of 240,000 mt/year.Idemitsu Kosan is a Japanese petroleum company. It owns and operates oil platforms, refineries and produces and sells petroleum, oils and petrochemical products. The company runs two petrochemical plants in Chiba and Tokuyama. The two naphtha crackers can produce up to 997,000 tonnes of ethylene per year.
MRC

GCC petrochemicals industry revenues reach USD88bn in 2014

MOSCOW (MRC) -- With revenues reaching almost USD88bn in 2014, the petrochemicals industry contributed to 31% of the GCC’s total manufacturing GDP, according to the latest industry report by the Gulf Petrochemicals and Chemicals Association (GPCA), said Thepeninsulaqatar.

Petrochemical production in the GCC rose by 8.3 percent in 2014, making the GCC the second-highest growth region in the world. However, the slumping oil prices and the economic slowdown in China have had a direct negative impact on petrochemicals prices, with revenues declining from USD89.4bn in 2013, according to the GCC Petrochemicals and Chemicals Facts and Figures 2014, which will be released at the 10th Annual GPCA Forum in November 2015.

"The health of the global economy since the decline in oil prices and the slowdown of the Chinese economy combined with the possibility of a nuclear deal with Iran, contributed to weak petrochemicals prices and created a difficult near-term outlook for the global petrochemicals and chemicals sector," says Dr Abdulwahab Al Sadoun, Secretary General, GPCA. "Given that the GCC petrochemicals producers are not price-setters, it means that Arabian Gulf producers need to be more agile, collaborative and innovative to succeed."

"The GPCA’s Facts and Figures report, and the Annual Forum, are platforms through which we educate and engage, as well as demonstrating the achievements of the petrochemicals industry and anticipating its future."

The GPCA’s Facts and Figures report is an annual publication will be released at the GPCA’s Annual Forum on November 17, 2015. Currently in its fourth edition, the report provides information on wide-ranging subjects for the region’s chemicals industry including product capacity, employment and trade.

GPCA represents the downstream hydrocarbon industry in the Arabian Gulf. Established in 2006, the association voices the common interests of more than 240 member companies from the chemical and allied industries, accounting for over 95% of chemical output in the Gulf region. The industry makes up the second largest manufacturing sector in the region, producing up to USD102.6 billion worth of products a year.

Committed to providing a regional platform for stakeholders from across the industry, the GPCA manages six working committees – Plastics, Supply Chain, Fertilizers, International Trade, Research and Innovation, and Responsible Care – and organizes six world-class events each year. The association also publishes an annual report, regular newsletters and reports.

As MRC informed earlier, the National Petrochemical Industrial Co. (NATPET), a Saudi joint stock company, has revealed that 74% of the GCC's polymer capacity, totaling 17.6 million tons, was produced in the Kingdom in 2012.
MRC

AkzoNobel opens new coil coatings production line in Mexico

MOSCOW (MRC) -- AkzoNobel has opened a new production line for coil coatings at its facility in Garcia, Mexico. As well as doubling current capacity, the new line will also serve local coated steel manufacturers, including Ternium, Zincacero and Galvasid, said the company in its press release.

Coil coating products that are manufactured at the site support the construction and domestic appliance sectors. In addition, the new line will produce specialty products, including metallic and "wrinkled" finishes. Volumes currently imported from the US will now be manufactured locally in Mexico.

"The Garcia facility will allow us to participate in new regional markets," explained Miguel Rocha, Regional Sales Manager Mexico and Central America for AkzoNobel's Metal Coatings business. "We will also improve our response time and customer service, as well as giving a big sign of our commitment to the Mexican market and to our customers."

Jorge Granillo, Global Procurement Director at Exiros, which purchases on behalf of Ternium, said he appreciates AkzoNobel's focus on customer needs: "With a new coil production channel in Mexico, we will benefit from a faster response time and quicker color matches, which will help us as a customer to be more competitive in our markets."

Commenting on the start-up, Greg Bengtson, Regional Director North America for AkzoNobel’s Metal Coatings business, added: "We are very pleased to be adding local production in Mexico, which is a response to our customers’ needs. Having a local facility will give them much better access to our technologies. There is also a significant sustainability benefit in lowering our carbon footprint by cutting the amount of freight transport from the US to Mexico."

As MRC informed earlier, AkzoNobel Performance Coatings is investing around EUR3 million (USD3.4 million) to expand its research and development (R&D) facilities in Houston, Texas.

Akzo Nobel N.V., trading as AkzoNobel, is a Dutch multinational, active in the fields of decorative paints, performance coatings and specialty chemicals. Headquartered in Amsterdam, the company has activities in more than 80 countries, and employs approximately 55,000 people.
MRC