Braskem to have alternative feedstock source by 2013

(Plastemart) -- By 2013, Braskem will have yet another alternative feedstock source besides sugarcane ethanol. The company will begin using naphtha made from post-consumption recycled plastic, to be supplied by Novaenergia, a company from the Wastech group located in Bahia state. Novaenergie is to build its first advanced recycling plant along in Salvador, Bahia.

Braskem is expected to initially source 1.4 mln ltrs pa of naphtha made from plastic waste, which will be processed at its Basic Petrochemicals Unit in the Camacari Complex. Installation of Novaenergia's recycling unit in Bahia will require investment of some R$ 25 mln, with startup expected by end of 2012.

MRC

(Arabian Oil and Gas) -- National Oilwell Varco (NOV), the largest US oilfield equipment maker, has announced it's purchase of Singaporean firm STSA for an undisclosed sum. STSA services subsea blowout preventers and related pressure control equipment for offshore drilling rigs in the Asia Pacific region. The company has 160 employees, and has two main manufacturing locations in Singapore and India.

In a company statement, NOV chairman Pete Miller said: ⌠We are pleased to add this fine organisation to NOV, and believe STSA will enhance the level of service and technology we can provide our customers in the BOP and pressure control equipment market, especially in the Asia Pacific. Earlier this month NOV purchased fiberglass pipe provider Ameron USD 772 mln.

MRC

(ICIS) -- The European propylene market is coming under intense downward pressure because of lower-than-expected demand. This is caused by technical problems at certain derivatives exacerbating an already weak situation on its key derivative polypropylene (PP), market sources said on Friday.

Reduced consumption means propylene supplies are building, and some producers and even some consumers are urgently looking to offload volumes. This is despite some cracker reductions that had been implemented in June and ramped up in some areas in July, to re-balance the ethylene market.
As a result, spot prices have been falling and latest indications suggest that even EUR 850-900/tonne (USD 1.214-1.285/tonne) CIF (cost insurance freight) NWE (northwest Europe) for polymer-grade is finding no buying interest.

Chemical-grade prices are being heard at around EUR 800/tonne on the inland market, while on the coastal market prices could be below EUR 700/tonne and near the propane value to make an export workable.

MRC

(Plastics Today) -- For its third acquisition in just four months, custom plastic profile extrusion processor Pexco will bring AllWest Plastics Inc. into its fold. AllWest's specialty is in custom profile extrusions for the aerospace and lighting industries, both of which are key end-use markets for Pexco. Selling AllWest is Scott Leishman, who acquired the company in 1986.

Pexco is headquartered in Atlanta, GA with nine processing facilities pread across the U.S. and Mexico. In April the plastics processor acquired Patrician Products in New York, and then in May closed on Multitube Medical Devices of Mexico.

AllWest Plastics is based in Huntington Beach, California. The company was created to extrude plastic commercial lighting fixture components but in the late 1980s and early 1990s entered the market for higher-performance applications, most notably components for the aerospace industry. Its airplane interior components now are marketed to Boeing, Airbus, Bombardier, and Embraer. The company also services the airline aftermarket through distributors and parts suppliers.

MRC

MOSCOW (MRC) -- In July, Russian pipe polyethylene (PE) keeps on cheapening on low sales of PE pipes, as per ICIS-MRC Price report.

The first half of the year was rather difficult for Russian producers of PE pipes. Low demand for PE-pipes was accompanied with steadily increasing prices of feedstock. By mid-June, prices of pipe HDPE had been corrected in the domestic market, but it didn't result in significant increase of demand for finished PE-pipes.

July isn't marked with growing buying activity in the pipe market. Moreover, this year demand for PE pipes for the gas pipeline has reduced considerably. A share of gas pipes in some producers'output doesn't not exceed 10% in total.

There are no problems with the availability of raw pipe material in the market. This year Russian producers have increased production of colored pipe PE80 and PE100 up to 106 KT (excluding overall production of 273- 83 PE), uncolored PE100 (so-called uncoloured matrix) to 70 KT. The increase in production of uncoloured pipe HDPE and significant price difference between colored and uncolored PE100 determine the preferences of Russian converters in the use of uncoloured material.

This week price offer for the Russian colored PE100 has been reduced to RUB 63.000 - 64.500/t, including VAT, FCA Kazan. Uncoloured PE100 is offered, on average, for RUB 56.500 - 57.000/t, including VAT, FCA Nizhnekamsk Salavat.

MRC