Asian benzene hit the highest seen in almost three months

(ICIS) -- Asia's benzene values hit the highest seen in almost three months on the back of rising downstream styrene monomer (SM) prices in this region and an overnight hike in US benzene prices, said traders and producers on Friday.


Spot benzene values were assessed at USD 1.210-1.220/tonne (EUR 847-854/tonne) FOB (free on board) Korea at 12:00 hours Singapore time on Friday, USD 15-20/tonne up from the previous day's close and the highest seen since early May 2011.


Two deals were reported on Friday morning at USD 1.210/tonne FOB Korea for September and at USD 1.220/tonne FOB Korea for October shipment. Bids for prompt September cargoes reached USD 1.205-1.210/tonne FOB Korea, amid limited offers.


The spike in US prices could be also due to expectations about the tightening of supply later this quarter, following limited exports from Asia in June-July, said some traders. The US market is also watching the hurricane season closely and its possible impact on production there, they added.


Meanwhile, sentiment in the Asian benzene market was well supported by the spike in the region's SM values to above USD 1.500/tonne CFR (cost & freight) China, said traders. Some are hoping this price increase will translate to better demand from this key sector in the near term, they added.


MRC

Bechtel Corporation and Linde AG to build ethylene cracker plants in North America

(Reuters) -- Bechtel Corporation and Linde AG announced today they will work together to expand and build ethylene cracker plants in North America. The combination of Bechtel's unmatched engineering, procurement, and direct-hire construction (EPC) capabilities and Linde's proven ethylene technology provides customers a complete EPC/Technology provider.


The alliance builds on the companies' previous work together at the Borouge petrochemicals complex in the United Arab Emirates (UAE). Together, they performed engineering, procurement, construction, and start-up for the ethylene plant, off-site facilities, and utilities at the complex, which was successfully completed on schedule in February 2002.


⌠With the growth in shale gas production in North America, ethylene producers are planning new grass-roots projects and major expansions, and they need a world-class team to deliver them. The agreement between Bechtel and Linde creates that team, said Jack Futcher, president of Bechtel's Oil, Gas & Chemicals unit. ⌠Linde's record of success makes the company a strong partner for Bechtel. We are thrilled to be working with them again.


MRC

SABIC to add new production lines of Lexan polycarbonate in China

(Plastemart) -- Sabic Innovative Plastics strategic business unit is to add new production lines of the company's world-renowned Lexan polycarbonate (PC) resins and films in Shanghai and Nansha, China. These additions are part of the company's strategy to support the dynamic growth of key plastics sectors in this region, particularly the consumer electronics, electrical, solar, security and automotive industries. Building on over 80 years of advanced technology breakthroughs, Innovative Plastics continues to be a leader in the plastics industry with its flagship PC material. It is continually developing distinctive new Lexan material solutions to meet evolving technological, environmental, performance and regulatory challenges.


MRC

NOVA Chemicals and Statoil ink MOU for ethane supply

(Plastemart) -- NOVA Chemicals, a developer and manufacturer of plastic resins, chemicals and end-products, and Statoil Marketing and Trading (Statoil) have entered into a memorandum of understanding (MOU) for ethane supply from the Marcellus Shale Basin.


Statoil will supply additional ethane to NOVA Chemicals' cracker project in Corunna, Ontario. Randy Woelfel, CEO of NOVA Chemical stated that the ethane supply will help in the diversification of the company's supply base for the Corunna project and will also support the future growth plans. Statoil's President, Martin Jones commented that they have been working with NOVA Chemicals for several years and seek to continue the commercial relationship. The company is delighted to sign a purchase and sale agreement with NOVA Chemicals to deliver ethane from the Marcellus Shale Basin.


In addition to this definitive supply agreement and customary reviews and approvals, NOVA Chemicals has ended up with a pipeline transportation agreement to ship ethane from the basin to the petrochemical market in Sarnia, Ontario.


MRC

Hengyi Petrochemical to set up PTA plant

(Plastemart) -- Hengyi Petrochemical plans to set up a 1.5 mln tpa Purified Terephthalic Acid (PTA) plant. As per Chemical Weekly, upon completion of the project in about two years' time, the PTA production capacity of the company's subsidiary Zhejiang Yisheng Petrochemical will increase to 2.56 mln tons.


The company also plans to invest in two lines to produce caprolactam (CPL), to increase overall caprolactum capacity to 100 KT.


MRC