Arkema plans to lift PVC force majeure

(ICIS) -- Arkema is on schedule to lift its declaration of force majeure on polyvinyl chloride (PVC) supplies from its unit at Lavera, France, while LVM will shut down one PVC line at its unit in Beek, the Netherlands, at the end of June, company sources said on Friday. Arkema plans to resume production at its oxychlorination and vinyl chloride monomer (VCM) unit in Lavera, France, by the end of May, a company source said.

If there are no problems, the company should be in a position to lift its declaration of force majeure on PVC supplies from Lavera at the end of May or early June, the source added.

LVM, part of the Belgium-based Tessenderlo Group, plans to carry out maintenance at its 225 KTa unit in Beek, the Netherlands, which has four lines, a company source said.

One of the lines will be shut down for one week at the end of June, which is unlikely to have any significant impact, the source added.

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(ICIS) -- The market can expect a rollover in the US June methanol contract unless crude prices drop significantly, buyers said on Thursday. The monthly contract range has been perched at 126-128 cents/gal for the past four months as energy prices have seesawed. Front-month natural gas futures have declined about 6% since early February, while crude futures have increased 7%.

Months of listless trading in the spot market have cooled the arguments of sources who often push for contract reductions based on energy prices. One buyer said a rollover was just a better bet right now.

Spot prices currently range from 107-108 cents/gal.

Methanex and Southern Chemical Company (SCC) historically have set the monthly North American contract methanol range with their nominations.

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(BP) -- BP has reached agreement with MOEX Offshore 2007 LLC (⌠MOEX) and its affiliates, Mitsui Oil Exploration Co., Ltd. and MOEX USA Corporation to settle all claims between the companies related to the Deepwater Horizon accident.

MOEX - which had a ten per cent interest in the Macondo well - has joined BP in recognising and acknowledging the findings by the Presidential Commission that the accident was the result of a number of separate risk factors, oversights and outright mistakes by multiple parties and a number of causes.

Like BP, MOEX Offshore has also recognised and acknowledged the conclusions of the United States Coast Guard that, among other things, the safety management systems of both Transocean and its Deepwater Horizon rig had significant deficiencies that rendered them ineffective in preventing the accident. MOEX has concluded that entering into a settlement with BP is in its best interest. The agreement is not an admission of liability by any party regarding the accident.


Under the settlement agreement, MOEX USA Corporation, the parent company of MOEX Offshore 2007, will pay BP USD 1.065 billion. BP will immediately apply the payment to the USD 20 billion trust it established to meet individual, business and government claims, as well as the cost of the Natural Resource Damages.

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(Plastics Today) -- The moldmaking industry in China continues to grow, even as it also bounces back in North America and Europe, sign that a growing global economy can lift moldmakers' ships around the world. Here in Guangzhou at this year's Chinaplas trade show, Bruce Wasilewski, managing director for DME's operations in Asia, Europe and North America, spoke with PlasticsToday about how his company has changed to better serve the Chinese moldmaking market.

One key to DME's ongoing success here, said Wasilewski, has been the company's ability to transition in the past few years from mostly a supplier of components, to its greater focus now on supply of hot runners.

One of the stand's highlights was the first showing in China of DME's new valve gate design. He explained that the new design is especially useful in easing maintenance on these, a plus point as molds made here often are put to work 1000s of miles away from where they we built.

DME has been active in the country for more than 25 years and three years ago bought out its partner. Its main offices are in Shenzhen but it also has two other sales/service offices.

DME does weekly air shipments of parts to its Shenzhen offices, where it has a large warehouse to stock parts most often requested. Air shipment remains the best means to stay flexible in handling customers' requests, he said. In China the company outsources most of its manufacturing to local partners.

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(Plastemart) -- China's petrochemical industry is expected to realize 15 trillion yuan (USD 2.31 trln) of gross domestic output value by the end of 2015, said Li Yongwu, chairman of China Petroleum and Chemical Industry Fedration(CPCIF), as reported by Asia Pulse. The industry has made rapid growth during the Eleventh Five-Year Program period (2006-2010) with the gross domestic output value reaching 8.88 trillion yuan in 2010.

Li added that the output value of China's petrochemical industry soared 160% from 2005 to 2010. Crude oil production hit 203 mln tons in 2010 while crude runs reached 420 mln tons and ethylene 14.19 mln tons.

The industry achieved many breakthroughs in coal chemical technology, petroleum exploration and development, catalysis technology and energy-saving technology during the Eleventh Five-Year Program. Its exports and imports gained 130% to USD 458.78 bln in 2010 and accumulatively attracted 427.18 billion yuan of foreign investment in the year.

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