Indian government is formulating a policy for shale gas exploration

(Plastemart) -- The Indian government is formulating a policy to offer areas for shale gas exploration in near future and add resources in energy base. Six basins - Cambay, Assam Arakan, Gondawana, KG onshore, Cauvery onshore and Indo Gangatic basins - have been identified for offering.
Shale is a natural gas produced from shale formations and has become an increasingly important component of natural gas supply in US.

During President Barack Obama's recent visit, India and the United States signed an agreement for cooperation with respect to shale gas technology.

MRC

(Reuters) - A fire broke out at the No.6 naphtha cracker at Formosa Petrochemical Corp's Mailiao plant in central Taiwan late on Thursday, the company said. No further details were immediately available. The plant had been hit by two fires in a month last July, raising concerns over its safety record.

MRC

(ICIS) -- Logistical problems are threatening US chemical plants along the swollen Mississippi river as water levels continue to rise, sources said on Thursday. Already, the river along Baton Rouge, Louisiana, is at 43.1 feet (13.1m), placing it in a major flood stage, according to the National Weather Service. During such a stage, shipping and industrial activities will be "significantly affected", the National Weather Service said. Unprotected low-lying areas will be flooded.

So far, the US Coast Guard has not increased the safety restrictions imposed on Monday, which required ships to contact a traffic control centre at Baton Rouge.

The river is expected to crest at Baton Rouge on 22 May at 47.5 feet, breaking the record set in 1927, the weather service said.

To relieve pressure on the river, the US Army Corps of Engineers opened the Bonnet Carre Spillway.

The Mississippi flooding has already created delays in the hydrochloric acid (HCl) and caustic soda markets. A barge source said the disruptions along the river were anticipated to last until mid-June.

MRC

(ICIS) -- Malaysian state oil and gas firm Petronas will build an integrated refinery and petrochemicals complex in the country's southern state of Johor, the company said on Friday. According to a Petronas statement, investment costs for the project have been estimated at around USD 20bn (EUR 14m), with the complex expected to be commissioned by the end of 2016.

The country's prime minister, Najib Tun Razak, on Friday outlined details of a feasibility study for the development of the refinery and petrochemical integrated development project (Rapid) in southern Johor.

The project will include a 300.000 bbl/day crude oil refinery for the production of petroleum products, such as gasoline, jet fuel, diesel and fuel oil, the company said in the statement.

The complex will also house a naphtha cracker with a combined annual production capacity of around 3m tonnes of ethylene, propylene, C4 and C5 olefins, it said.

A petrochemicals and polymer facility is also planned for the production of propylene and ethylene oxide derivatives, phenol and bisphenol A (BPA), differentiated polypropylene (PP) and polyethylene (PE), as well as surfactants and additives for lubricants, the statement said.

MRC

MOSCOW (MRC) -- Despite growing contract price for propylene in Europe this month, European producers reduced export prices for polypropylene (PP), according to ICIS-MRC price report.

May contract price for propylene in Europe grew by EUR 35/mt compared to April. Nevertheless, some European producers reduced export prices for polypropylene in May. On average, reduction of export quotations compared to April made EUR 10-20/mt. Some European producers reduced price offer for propylene to EUR 1.280 - 1.330/mt, FCA, for raffia, and EUR 1.330 - 1.370/mt, FCA, for IM polypropylene.

Copolymers of propylene fell less insignificantly, on average, by EUR 10/mt, but not all European producers reduced export prices.

Export prices for impact copolymers of propylene in May were reduced to EUR 1.370 - 1.450/mt, FCA.

Middle East and Asian producers have left their prices on April level.

MRC