TOYO was awarded petrochemical project from Chandra Asri in Indonesia

MOSCOW (MRC) -- Toyo Engineering Group (TOYO) has been awarded a construction project from PT Chandra Asri Petrochemical Tbk (CAP), Indonesia's largest petrochemical company, according to Hydrocarbonprocessing.

This project involves construction of a polyethylene production unit of HDPE, LLDPE and mLLDPE with a total capacity of 400,000 tpy at CAP’s existing petrochemical complex in Cilegon, Banten, on the western tip of Java, Indonesia.

Toyo Engineering Corporation and Toyo Engineering Korea Limited are in charge of detailed engineering and offshore supply services. On the other hand, PT. Inti Karya Persada Tehnik, TOYO’s Indonesian subsidiary is responsible for domestic procurement and construction work, respectively. The plant is scheduled for completion in 2019.

This is an EPC project following the front end engineering design (FEED) contract awarded to Toyo-Korea at the beginning of this year. TOYO’s long-term relationship with CAP and various attractive and aggressive proposals under FEED were highly evaluated, leading to the awarding of this project.

Based on the long-term relationship from the original ethylene plant in the 1990s, and a butadiene plant as well as ethylene expansion in the last half decade, TOYO is now executing several projects such as a synthetic rubber plant with a total capacity of 120,000 tpy for PT. Synthetic Rubber Indonesia (a JV between Michelin and PT Styrindo Mono Indonesia, a subsidiary of CAP) and butadiene expansion project to increase total production capacity from 100,000 tpy to 137,000 tpy for PT Petrokimia Butadiene Indonesia (PBI), a subsidiary of CAP.

As MRC reported before, in September 2016, PT Chandra Asri Petrochemical (CAP) signed an agreement with Univation Technologies, LLC, located in the United States, to use the UNIPOL PE Progress for a new world scale 400KTA polyethylene (PE) plant at its integrated naphtha cracker complex in Cilegon, Banten. The agreement covers process design package, including licence, to produce linear low density polyethylene (LLDPE), high density polyethylene (HDPE) and metallocene LLDPE (mLLDPE).

Chandra Asri Petrochemical (CAP) is the largest vertically integrated petrochemical company in Indonesia with facilities located in Ciwandan, Cilegon and Puloampel, Serang in Banten Province. CAP is Indonesia's premier petrochemical plant incorporating world-class, state-of-the-art technology and supporting facilities. At the heart of CAP lies the Lummus Naphtha Cracker producing high quality Ethylene, Propylene, Mixed C4, and Pyrolysis Gasoline (Py-Gas) for the Indonesian as well as regional export markets.
MRC

MOSCOW (MRC) -- Stavrolen, Russia's major polyolefins producer, began the process of shutting down its polypropylene (PP) production for a long turnaround, according to ICIS-MRC Price Report with reference to the plant's customers.

Yesterday, on 6 September, Stavrolen started to take off-stream its PP production for a scheduled long maintenance. The plant's clients said the outage is to be conducted during two months.

It is also worth noting that Ufaorgsintez intends to shut its production for a turnaround on 10 September. The outage will not be that long and will last for two weeks. The plant's annual production capacity is 120,000 tonnes.

Stavrolen, Lukoil's subsidiary, is Russia's second largest high density polyethylene (HDPE) after Kazanorgsintez and the fifth largest PP producer. Stavrolen's production capacities for HDPE and PP are 300,000 and 120,000 tonnes/year, respectively.
MRC

MOSCOW (MRC) - Interruptions in the supply of plasticizer dioctyl phthalate (DOP) in the Russian market have been seen since the beginning of summer. But the supply shortage became very serious in September, and prices reached record levels, as per MRC analysts.

Traditionally, the lack of supply in the Russian market of plasticizers DOP begins in the summer, the current year was no exception. A shortage of the Russian plasticizer was managed to be closed by supplies from South Korea in August, but the problem of the shortage of local raw materials was fully closed in September due to external supplies. Prices for DOP have reached a record level.

Market participants said the shortage of the Russian DOP was a result of the production problems at Gazprom Neftekhim Salavat, forcing the producer to close its August contract shipments in September. Other Russian producers have also limited production volumes due to a shortage of raw materials - alcohol, diethylhexanol (DEG).

Due to the deficit of DOP, prices in the beginning of September increased to Rb115,000-116,000/tonne, including VAT and delivery, for Russian and South Korean plasticizers.

Some companies fearing problems in the future, began to actively contract the South Korean DOP for deliveries in October. Deals are done in the range of Rb103,000-104,000 /tonne, including VAT and delivery.

MRC

MOSCOW (MRC) -- SIBUR Tobolsk, Russia's largest polypropylene (PP) producer, shut down some of its production capacities. The outage was unscheduled, the exact dates of the resumption of PP production has not been announced yet, according to ICIS-MRC's Price report.

The plant's customers said SIBUR Tobolsk took off-stream one of its two polymerization lines last weekend because of techninal issues. However, shipments of material to customers continued from the Tobolsk and other company's sites.The company's representatives also confirmed the unplanned shutdown at the Tobolsk plant, but the exact reasons for the outage and its duration have not been announced yet. The plant's annual production capacity is 500,000 tonnes.

As reported earlier, two more Russian producers plan to shut their production capacities for maintenance in September: Stavrolen (for two months from 6 September) and Ufaorgsintez (for 12 days in mid-September).

The unscheduled outage of PP production in Tobolsk is critical for the Russian market. Strong seasonal demand already led to a certain shortage of polymer in the domestic market back in August. The shortage of PP began to put pressure on prices.

As per MRC's data, SIBUR Tobolsk produced 40,300 tonnes in July, compared to 44,000 tonnes in June. Overall, SIBUR Tobolsk's PP production reached 304,800 tonnes in January-July 2017, up by 25% year on year. Such a major increase in the output was caused by the absence of the plant's shutdown for a scheduled maintenance this year.
MRC

MOSCOW (MRC) -- AkzoNobel Aerospace Coatings has announced that it is expanding its distribution network by partnering with a distributor in Mexico, known as HiscoMex, making AkzoNobel its preferred paint line, as per the company's press release.

"The aerospace industry in Mexico has experienced tremendous growth over the last few years, turning it into a key market for the global industry," says Tami Swearingin, Sales Manager, North America, for AkzoNobel Aerospace Coatings. "We are proud to partner with HiscoMex, which operates five AS9120 Certified warehouses throughout Mexico. This is a great strategic agreement for AkzoNobel that will allow us to provide industry-leading technical support to our customers in the region."

With the HiscoMex partnership, the entire AkzoNobel Aerospace product line will be available to customers in Mexico, including AkzoNobel’s industry leading Aerodur Base Coat/Clear Coat system, Eclipse topcoat, and the full line of Alumigrip products.

"Hisco is excited to be partnering with a world-class manufacturer like AkzoNobel. Their decision to work with Hisco is indicative of our leading role in the aerospace market throughout Mexico. We look forward to bringing AkzoNobel’s industry-leading products to our customers and working with them to add value to their businesses," says Dave Weitner, Vice President of Marketing at Hisco.

As MRC reported earlier, AkzoNobel has just finalized the acquisition of French manufacturer Disa Technology (Disatech). The acquisition strengthens AkzoNobel’s global leadership position in supplying innovative industrial coatings and aerospace and automotive coatings.
MRC