FTC approves application from Praxair and Linde for sale of industrial gases plant to Celanese

MOSCOW (MRC) -- The Federal Trade Commission has approved an application from industrial gas suppliers Praxair and Linde to divest a hydrogen gas and carbon monoxide gas plant to Celanese Ltd, as per FTC.

The divestiture of the plant is required under the FTC’s October 22, 2018 proposed order, which requires Praxair and Linde to divest certain industrial gases assets to settle charges that the USD80 billion merger of Praxair and Linde would violate federal antitrust law.

The application proposes that Celanese Ltd. will acquire Linde’s hydrogen gas and carbon monoxide gas plant in Clear Lake, Texas. The Commission vote to approve the application was 4-0-1 (Commissioner Chopra abstaining).

The Federal Trade Commission works to promote competition, and protect and educate consumers.

As MRC reported before, Celanese Corporation, a global chemical and specialty materials company, has raised its February list and off-list selling prices for Vinyl Acetate Monomer (VAM) sold in Asia Outside China (AOC). The price increase below was effective as of 31 January, or as contracts otherwise allow, and was incremental to any previously announced increases. Thus, Celanese raised VAM list and off-list selling prices by USD50/mt for AOC.

Celanese Corporation is a global technology leader in the production of differentiated chemistry solutions and specialty materials used in most major industries and consumer applications. Based in Dallas, Celanese employs approximately 7,600 employees worldwide and had 2017 net sales of USD6.1 billion.
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BASF invests in new mobile emissions catalysts production facility in Shanghai to meet customer demand in China

MOSCOW (MRC) -– BASF is investing in a new production facility for mobile emissions catalysts at its Pudong site in Shanghai, China, as per Hydrocarbonprocessing.

The new 30,000-square-meter facility will house multiple manufacturing lines, providing a full range of emissions control technologies for heavy-duty and light-duty vehicle manufacturers.

Construction is underway, with start-up planned for the end of 2019. The plant will manufacture innovative catalysts for gasoline and diesel vehicles in the growing Chinese market.

The catalysts will help automotive customers meet more stringent emission control requirements ahead of China Stage 6 implementation in 2020. "BASF is committed to supporting customers in China with state-of-the-art environmental catalysts solutions," said Dr. Stephan Kothrade, President Functions Asia Pacific, President and Chairman Greater China, BASF. "We want to greatly contribute to China’s three-year plan to protect blue skies, with advanced mobile emissions catalysts that meet the strictest environmental regulation requirements in China."

"BASF continues to support strong business growth in China through production capacity and innovation capabilities to meet local customer needs," said Dr. Dirk Demuth, Senior Vice President, Mobile Emissions Catalysts, BASF. "Our new facility in China will enable BASF to support our customers in this growing market. The new facility offers flexibility for future expansion and upgrades to adapt to market requirements in the years ahead."

As MRC informed before, in December 2017, BASF’s Coatings division inaugurated a new automotive coatings plant at its Bangpoo manufacturing site, Samutprakarn province, Thailand. The new plant is the first BASF automotive coatings manufacturing facility in ASEAN, and will produce solventborne and waterborne automotive coatings to meet growing market demand in the region.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries.
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Intertape Polymer commissions new line at US plant

MOSCOW (MRC) -- Intertape Polymer Group Inc. announced it has successfully commissioned its second water-activated tapes line at the Midland, North Carolina manufacturing facility on time and on budget, said the producer.

With the commissioning, the second line is producing commercial tapes at scale. Water-activated tapes are primarily used in the e-commerce market for carton sealing which can help reduce both pilferage and workforce injury from repetitive motion as well as provide the option for attractive prints on the tape. All amounts in this press release are denominated in US dollars.

"The e-commerce market is the fastest growing segment of our business. Our expansion at Midland enables us to match production with the growth in demand we are experiencing now and anticipate in the future," said Greg Yull, President and CEO of IPG. “The second line leverages the original investment at the facility, which is on track to meeting our after tax internal rate of return threshold of 15%. As such, we anticipate a step function improvement in the return from the second line once it's operating at optimal production. As a result, the second line is an important element of our two-year capital investment plan in which we targeted $80 to $90 million in deployed capital in fiscal 2017 and 2018. Given the growth in e-commerce as a proportion of the retail market, the expansion at Midland, together with our acquisition of protective packaging solutions, strengthens our product bundle for our direct accounts that are leaders in the e-commerce market."

IPG completed construction of the Midland facility in 2017 and commissioned the first line in the fourth quarter of 2017 for total invested capital of approximately USD48 million. The second line, which is a sister line to the first, doubles the capacity of the facility and was installed for total invested capital of $13.4 million with no new construction required. IPG invested in additional water-activated tapes capacity in anticipation of demand. The first line is at capacity so the second line provides new capacity for growth. The footprint of the site and the design of the facility also allow for additional expansion, if necessary, however expansion of the facility itself may be required. In addition to the Midland facility, IPG also produces water-activated tapes at its Menasha, Wisconsin, facility.

Intertape Polymer Group Inc. is a recognized leader in the development, manufacture and sale of a variety of paper- and film-based pressure sensitive and water-activated tapes, polyethylene and specialized polyolefin films, protective packaging, woven coated fabrics and complementary packaging systems for industrial and retail use. Headquartered in Montreal, Quebec and Sarasota, Florida, IPG employs approximately 3,500 employees with operations in 29 locations, including 22 manufacturing facilities in North America, two in Asia and one in Europe.
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CP Chem hires new CFO

MOSCOW (MRC) -- Chevron Phillips Chemical Company LLC (Chevron Phillips Chemical) announces that effective February 13, 2019, Carolyn Burke joins the company as senior vice president and chief financial officer, said the company.

She will report to Mark Lashier, president and chief executive officer. Burke previously worked for Dynegy Inc. where she held the position of executive vice president, Strategy and Administration. Burke holds a bachelor’s degree in Economics and Political Science from Wellesley College and a Master of Business Administration in Finance and Strategic Planning from the University of Chicago Booth School of Business.

Throughout her career, she has held various positions of increasing responsibility in finance and strategic roles for organizations including J.P. Morgan, NRG Energy Inc., University of Pennsylvania, Yale University and Atlantic Richfield Company (now British Petroleum).

"Carolyn brings deep knowledge and experience in strategy and finance to Chevron Phillips Chemical’s executive leadership team," said Lashier. "Her expertise will serve the company well as we continue to pursue operational excellence, grow our business and deliver value to our stakeholders."

Chevron Phillips Chemical Company LLC is one of the world’s top producers of olefins and polyolefins and a leading supplier of aromatics, alpha olefins, styrenics, specialty chemicals, plastic piping and polymer resins. With approximately 5,000 employees, the LLC and its affiliates own USD16.7 billion in assets, including 31 manufacturing and research facilities in seven countries. Chevron Phillips Chemical Company LLC is equally owned indirectly by Chevron Corporation and Phillips 66, and is headquartered in The Woodlands, Texas.
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Oil and refined product inventories rise in week

MOSCOW (MRC) - U.S. crude, gasoline and distillate stocks rose last week, the Energy Information Administration said Reuters.

Crude inventories rose by 3.6 million barrels in the last week, compared with analysts’ expectations for an increase of 2.7 million barrels.

Crude stocks at the Cushing, Oklahoma, delivery hub fell by 1.016 million barrels, EIA said.

Refinery crude runs fell by 865,000 barrels per day, EIA data showed. Refinery utilization rates fell by 4.8 percentage points.

Gasoline stocks rose by 408,000 barrels, compared with analysts’ expectations in a Reuters poll for an 826,000-barrel gain.

Distillate stockpiles, which include diesel and heating oil, rose unexpectedly by 1.2 million barrels, versus expectations for a 1.1 million-barrel drop, the EIA data showed.

Net U.S. crude imports fell last week by 430,000 barrels per day.
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