Ikea launching products made from recycled plastics

MOSCOW (MRC) -- Swedish retailer Ikea announced that their new cabinet line will be made from recycled plastic bottles and reclaimed wood.

Ikea’s current cabinets are constructed from man-made wood planks and topped with veneer, while the new Kungsbacka line will be made from reclaimed wood planks and the veneer will be made from melted plastic bottles and painted black.

The Kungsbacka line will be available in North America starting in February 2017.

And on the heels of Kungsbacka, Ikea is also launching the Odger chair, made from 70 per cent recycled plastic and 30 per cent renewable wood.

As MRC informed earlier, Ikea has developed plastic pallets to replace the traditional wooden pallets when shipping goods across its global operations. The plastic shipping pallets, called the OptiLedge, weighs less than two pounds and are durable and 100% recyclable.An Ikea spokesperson told the OptiLedge are made from copolymer polypropylene, and feature many advantages over paper platforms.

MRC

MOSCOW (MRC) - Imports of polyethylene (PE) into Kazakhstan dropped to about 41,500 tonnes in January-May 2016, down 10% compared with the same time a year earlier, according to MRC analysts.

Demand for low density polyethylene (LDPE) and high density polyethylene (HDPE) decreased significantly, according to MRC analysts. May PE imports into Kazakhstan were about 10,800 tonnes, almost at the April level. Local companies increased their purchases of HDPE, while the delivery of other types of polyethylene was reduced. Total PE imports into the country were about 41,500 tonnes in January - May 2016, compared with 46,000 tonnes in the same time a year earlier.

Structure of PE imports into the country in the reporting period was as follows.

May HDPE imports into Kazakhstan rose to 9,600 tonnes from 8,800 tonnes a month earlier. The main increase in the purchases provided local producers of pipes, which increased volumes of polyethylene procurement in Russia. Kazakhstan's HDPE imports totalled about 31,900 tonnes in the first five months of the year, down 8% year on year.

May imports of LDPE into the country decreased to 900 tonnes, compared with 1,100 tonnes in April. Further decline in imports was a result of limited export quotas from Russian producers due to the severe shortage in their own market. Total imports of LDPE into the country were about 7,600 tonnes in the first five months of the year, down 21% year on year.

Purchases of linear low density polyethylene (LLDPE) by local companies in May were reduced to 351 tonnes compared to 826 tonnes a month earlier. LLDPE imports reached about 2,000 tonnes in January-May 2016 versus 1,900 tonnes a year earlier.

MRC

MOSCOW (MRC) -- Mitsui Chemicals Inc. says that its wholly owned subsidiary, Sunrex Industry Co. Ltd. (Yokkaichi, Japan), will expand production capacity for high-performance nonwoven fabrics, which are primarily used in premium diapers, said Chemweek.

Nonwoven fabrics production capacity at Yokkaichi will be increased by 6,000 m.t./year, using the company’s proprietary technology, to 55,000 m.t./year. The expansion is expected to be completed in November 2017. The expansion is in response to rising demand for premium disposable diapers, Mitsui says.

As MRC informed earlier, Mitsui Chemicals Inc. commenced operations at its new Korean subsidiary, Mitsui Chemicals Korea, Inc., on 1 Apr 2016.

Mitsui Chemicals is a leading manufacturer and supplier of value added specialty chemicals, plastics and materials for the automotive, healthcare, packaging, agricultural, building, and semiconductor and electronics markets. Mitsui Chemicals is a Japanese Chemicals company, a part of the Mitsui conglomerate. The company has a turnover of around 15 billion USD and has business interests in Japan, Europe, China, Southeast Asia and the USA. The company mainly deals in performance materials, petro and basic chemicals and functional polymeric materials.

MRC

MOSCOW (MRC) -- Clariant, a world leader in specialty chemicals, today announced the acquisition of Carboflex's 50% stake in the consortium that built and operates the Guanabara Bay plantsaid the company on its site.

The facility, located in Rio de Janeiro, Brazil, produces chemicals used in oil and gas wells. The acquisition is part of the investment strategy of Clariant's Business Unit Oil and Mining Services and allows the company to take full control of the plant to further expand its chemical offering to offshore customers, while optimizing delivery times.

"The completion of this acquisition consolidates an operation that has been developed over the past few years and is a key part of our strategy to improve supply chain capabilities and more promptly meet the demands of the Brazilian offshore industry," highlights John Dunne, Global Head of the Business Unit Oil and Mining Services. "Our plans to further expand our technical portfolio and expertise will allow us to work more closely with operators in the Brazilian oil and gas market to meet their challenges."

The plant produces a full line of drilling and completion fluids that adhere to strict safety and environmental protection standards. It also comprises extensive infrastructure, including offices, warehouses, laboratories and a private-use port terminal, which enables Clariant to offer an integrated production and logistics solution.

"In addition to producing fluids that are critical to the exploration and production of oil, the plant's infrastructure enables Clariant to store and ship chemical solutions, via the terminal, to offshore customers operating throughout the country," explains Carlos Tooge, Vice President of the Business Unit Oil and Mining Services for Latin America.

As MRC informed earlier, in June 2016, Clariant inaugurated its new production plant for water-based pigment preparations in Mexico. The new plant located in Santa Clara doubles Clariant’s Mexico annual production capacity for water-based pigment preparations and enhances its ability to serve customers across North and Latin America.

Clariant is a global leader in pigment preparations, with worldwide production and technical service and support. Its broad range of products covers the whole color index.
MRC

MOSCOW (MRC) -- Abu Dhabi will merge two of its most important investment funds, Mubadala Development Co. and International Petroleum Investment Co. (IPIC), responding to the impact of lower oil prices by pooling their investment power and consolidating operations, as per Reuters.

With oil prices still below half the levels they were at two years ago, all Gulf sovereign funds are having to adjust their strategies to cope with lower inflows. Mubadala did not receive any new cash from the government in 2015 for the first time in at least eight years.

The combined fund would have assets worth around USD135 billion, according to Reuters calculations based on both funds' latest financial statements.

On Wednesday, in a statement published by the state news agency, Abu Dhabi said it had formed a committee led by Deputy Prime Minister Sheikh Mansour bin Zayed al-Nahayan to oversee the combination of Mubadala and IPIC.

"The merger of the two companies augments the investment advantages and economic revenue for Abu Dhabi, and creates a body capable of achieving the highest level of integration and growth in multiple sectors, including energy, technology and space industry," the agency said.

The tie-up, which was being approached as a merger of equals, should be completed by the end of 2017, a source close to the discussions told Reuters on condition of anonymity due to the sensitive nature of the subject.

While not adopting the radical approach of neighboring Saudi Arabia, which aims to completely revamp its economy through a national transformation plan, Abu Dhabi has been slowly reforming key parts of its economic infrastructure to cope with reduced oil revenues.

Abu Dhabi National Oil Company is just one of the state-owned entities to have shed thousands of jobs in recent months, while two of its largest lenders, National Bank of Abu Dhabi and First Gulf Bank, confirmed earlier this month they were in merger talks.

"It's a sensible move at a time when there's a need for Abu Dhabi to slim the budget and consolidate organizations that are doing similar things," said one analyst who covers sovereign wealth funds, who declined to be named due to company policy.

Mubadala's role had been to make investments to help advance Abu Dhabi's economy, both domestically through ownership of firms such as satellite operator Yahsat and aerospace components manufacturer Strata, but also through stakes in global names including General Electric and Carlyle Group.

It also has a petrochemicals division and a number of investments in energy projects, including ownership of clean energy firm Masdar, which would fold neatly into IPIC's traditional energy sector remit.

IPIC owns Spanish energy firm Cepsa, Canadian petrochemical maker NOVA Chemicals and has a majority stake in Austrian plastics company Borealis.

The improved ability to raise money from international markets was also a rationale behind the tie-up, according to the source close to the discussions.

IPIC's debt levels have been regarded as an issue for some time, with rating agency Standard & Poor's saying in a June 28 note that while its business risk was satisfactory, its financial position was "highly leveraged".

IPIC is also in the midst of a row with 1MDB. The Abu Dhabi fund has asked a London court to arbitrate in a dispute with the Malaysian state fund over a debt restructuring in which IPIC is claiming about USD6.5 B.

While unlikely to impact these proceedings, the sovereign wealth fund analyst said the scandal had undermined IPIC's reputation and so a tie-up with Mubadala, which is considered one of the better-run state investment funds in the region, would be beneficial.

As MRC wrote before, in May 2015, Nova Chemicals Corporation announced the appointment of His Excellency Suhail Mohamed Faraj Al Mazrouei, Managing Director of International Petroleum Investment Company (IPIC) to its Board of Directors and the position of Chairman of the Board of Directors.
MRC