South Korean KPIC to expand ethylene capacity by H1 2017

MOSCOW (MRC) -- The Korea Petrochemical Ind. Co., LTD (KPIC) aims to expand its ethylene production capacity by the first half of 2017, company CEO Jeong Young Tae said.

Jeong said that KPIC’s ethylene capacity expansion for its Ulsan-based Naphtha Cracking Center (NCC) is ongoing and is expected to start commercial operation from Jun 1, 2017, South Korea’s Seoul Economic Daily reported.

Currently, KPIC produces about 470,000 mt/year of ethylene from its Ulsan-based NCC. With the ongoing capacity expansion, the company will be adding 330,000 mt/year of ethylene, and its combined ethylene capacity will reach 800,000 mt/year.

KPIC is one of the key producers of ethylene in South Korea. The company’s ethylene capacity accounts for about 6% of total ethylene production in South Korea.

When the capacity expansion is completed, however, the company’s market share will be increased to nearly 10%.

As MRC wrote before, in July 2015, KPIC awarded GS Engineering & Construction a USD270-million contract to increase ethylene capacity to 800,000 t/y and aromatics capacity to 300,000 t/y from 220,000 t/y currently. The project also includes the capacity to produce 150,000 t/y of propylene.
MRC

MOSCOW (MRC) -- Arkema, a France-based chemical manufacturer, and Xenia have recently signed a cooperation agreement for the development of carbon fiber reinforced long chain polyamides, including the famous Pebax thermoplastic elastomer, as per Arkema's press release.

These compounds will find various applications in sports, optical, and electronics, where toughness and lightness are crucial.

Carbon fiber technology enhances the performance of polymers in the search for lightness and strength. This technology allows the production of ultra-thin and lightweight parts while keeping extremely high stiffness and impact resistance.

In collaboration with Xenia, newly developed Pebax grades will have higher rigidity while keeping the universally recognized features of Pebax TPE. These include enduring elasticity and impact resistance even at extremely low temperature, and also outstanding processability through direct injection moulding.

As MRC wrote before, in 2014, Arkemaand developed two new grades - Luperox organic peroxides and Kynar Flex PVDF resins -specifically designed for electric and electronic wires and cables applications.

Arkema with annual revenue of EUR6.4 billion is a leading European supplier of chlorochemicals and PVC. Kynar and Kynar Flex are registered trademarks of Arkema Inc.
MRC

MOSCOW (MRC) -- Saudi Arabian Fertilizer Company (Safco) is considering plans to buy over the shares in local chemical fertilizer producer Ibn Al-Baytar from petrochemical major SABIC, reported TPS with reference to Safco's statement.

Safco intends to take full-ownership of Ibn Al-Baytar and integrate its business provided it is economically viable and fits in with the company's strategic goals, according to Safco's statement.

Safco emphasized that it was still studying the plan, and had not reached any preliminary agreement on the acquisition of Ibn Al-Baytar.

As MRC wrote before, SABIC reported a 29.4% drop in fourth-quarter 2015 net profit due to lower prices for its products, particularly in its metals division. It was the sixth straight quarter of falling profits for the company, which has been hurt by the fall in oil prices since mid-2014. SABIC made a net profit of 3.08 billion riyals (USD821 million) in the three months to Dec. 31, down from 4.36 billion riyals in the year-earlier period.

Founded in 1985, Jubail-based Ibn Al-Baytar is a 50-50 joint venture owned by SABIC and Safco with a capital of Saudi Riyals 494.7 million (USD131.88 million). The company owns, operates and manages factories producing chemical fertilizers.

Saudi Basic Industries Corporation (Sabic) ranks among the worldпїЅs top petrochemical companies. The company is among the world's market leaders in the production of polyethylene, polypropylene and other advanced thermoplastics, glycols, methanol and fertilizers. SABIC, in turn, owns 42.99% of Safco.
MRC

MOSCOW (MRC) -- Sinopec Hubei Chemical Fertilizer plans to restart a monoethylene glycol (MEG) production following a maintenance turnaround, as per Apic-online.

A Polymerupdate source in China informed that the plant is likely to be resumed operations by end March 2016. The plant was taken off-stream in end-November 2015.

Located at Zhejiang in Hubei province of China, the plant has a production capacity of 200,000 mt/year.

We remind that, as MRC informed previously, Sinopec Hubei Chemical Fertilizer started a new MEG plant on February 8, 2014. Initially the plant was scheduled to start commercial production in late 2013. Located at Zhejiang in Hubei province of China, the plant has a production capacity of 200,000 mt/year.
MRC

MOSCOW (MRC) -- Automotive parts supplier Magna International Inc. is opening a new seat-making facility in China to supply Zhejiang Geely Holding Group Co’s Volvo car group, said Canplastics.

In a statement, Magna said that the 5,200-square-meter facility in Taizhou, China, is to be completed by mid-2016, and will produce complete seating systems for a small crossover utility vehicle.

"This new facility helps us support a new customer and expands our footprint in China, both of which are key to growing our global seating business," Mike Bisson, president of Magna Seating, said in the release.

The new plant will become Magna’s 33rd facility located in China. Aurora, Ont.-based Magna earns about half of its revenue from outside North America.

As MRC informed earlier, Magna International Inc. is aiming to set up a new production facility in Malacky, in Slovakia’s western part. The factory will make various plastic interior car components, the country’s state-run Slovak Investment and Trade Development Agency (SARIO) said in a statement.

Magna owns three manufacturing and assembly facilities in Slovakia, which are operated by a total of 1,100 employees, according to figures from the company. With Eastern Europe and Russia as key growth regions, we have more than 159 facilities and over 46,500 employees throughout Europe. As MRC informed earlier, the Russian company "Avtotor Holding" and Magna International Europe signed an agreement on cooperation in the creation of automotive cluster in the Kaliningrad region. As per the agreement the parterns plan to build 21 plants, 15 of which - for the production of automotive components.

Magna International is headquartered in Aurora, Ont.
MRC