PME spot prices in Asia fell this week

(ICIS) -- Palm methyl ester (PME) spot prices in Asia fell this week, dragged down by declining values of feedstock crude palm oil (CPO), with the market weakness likely to persist in the weeks ahead, industry sources said on Friday.


PME was trading at USD 1.170-1.190/tonne (EUR 807-812/tonne) FOB (free on board) SE (southeast) Asia on Friday, down USD 40/tonne from the previous week, while CPO for July delivery was at USD 1.029/tonne.


CPO prices started to fall early last week after official data showed a 13.7% month-on-month spike in May production to 210,243 tonnes.


⌠The increase in CPO production in May has exerted downward pressure on CPO prices, a Singapore based palm oil trader said.


MRC

New Engel technology aimed at the production of optical components

(Plastics Today) -- Engel has introduced new injection molding technology specifically aimed at the production of optical components, offering machines with plasticizing unit components optimized for running transparent polymers and an overmolding process to create thick lenses. Called optimelt, the process starts with the production of a pre-molded part that is recoated with additional layers (usually of the same material) in one or more subsequent stages.


Engel pursued the technology at a time when it says more and more high quality optical components are switching from glass to polymers, propelled by greater cost efficiencies and more flexibility in product design. "The challenge now is to strike the right balance between superior optical quality and high cost effectiveness," Engel noted in a release.


Utilizing injection molded plastics does pose its own challenges, however, including microstructures on the surface of light-guide elements that must be precisely molded across the entire flow path, and the need to minimize residual stress in molded parts, especially where a subsequent coating will be applied. Finally, the optically effective surfaces on lenses with large differences in thickness must be accurately contoured.


Engel says a primary advantage of its multi-layer overmolding process compared to single-layer designs is that the recoating covers sink marks and other defects on the surface of the previous layer, helping ensure high optical quality. The company says this particular benefit makes the process especially attractive to manufacturers of thick- section components such as LED lenses. Engel also notes that studies on multi-layer components in the area of lighting technology have shown that boundary layers between coatings have no effect on the function of illumination optics.


MRC

PetroLogistics is in talks with Bayer Corp. about acquiring some of its property

(Plastemart) -- PetroLogistics is in talks with Bayer Corp. about acquiring some of its property in West Virginia to develop a facility to convert ethane from Marvellus Shale gas and turn it into ethylene. PetroLogistics currently operates the world's largest propane dehydrogenation plant on the Houston Ship Channel. The plant converts propane into propylene, which is used in such products as paint, solvents, and various automotive products.


MRC

BP awarded Petrofac the Operations and Maintenance contract at Rumaila oil field

(Arabian Oil and Gas) -- Petrofac has announced that BP has awarded it and its joint venture partner, China Petroleum Engineering & Construction Corporation, an inspection, maintenance and repair contract worth USD 90 mln for the Rumaila oil field in Southern Iraq.


This is the second deal for Petrofac in Iraq this year. The firm bagged a USD 240 mlon contract from the Shell Petronas joint venture partnership for production facilities at the Majnoon oilfield.


Petrofac's Offshore Engineering & Operations business will lead the one-year contract, which is effective from 28 June 2011, and is worth USD 63 mln to the group. Work will commence following a short transition and the scope of the contract covers rotating machinery, degassing stations and cluster stations. The project is being undertaken in partnership with CPECC, a company which has well established operations and infrastructure in Iraq. As part of the agreement Petrofac's staff will be based at CPECC's accommodation facilities in Rumaila.


The Rumaila oil field, discovered by BP in 1953, is located in Southern Iraq, 32km from the country's border with Kuwait.


MRC

In Asia liquid epoxy resins prices to decline further in July

(ICIS) -- Asia's liquid epoxy resin (LER) prices are expected to continue falling in line with the region's weak downstream demand and declining feedstock epichlorohydrin (ECH) and bisphenol A (BPA) prices, industry sources said on Wednesday.


LER prices fell by USD 200/tonne (EUR 140/tonne) over the last four weeks to settle at USD 3.250-3.550/tonne FOB (free on board) northeast (NE) Asia (iso-tank) on 28 June, according to ICIS.


The Chinese government has imposed two interest rate hikes and raised the reserve requirement ratio six times this year, causing the poor performance in the country's downstream markets, several Chinese producers said.


The weak downstream demand in China is causing regional LER prices to decline, as end-users are finding difficulty in raising capital for their purchases, Chinese producers said. LER prices are likely to soften further if downstream demand in China continues to weaken.


MRC