Kuwait petrochemical JV in China to set back

(Arabian oil and gas) -- A source close to Kuwait Petroleum Corporation (KPC) revealed that China has stipulated that KPC should pay USD 500m as guarantee to allow the lay down of the foundations related to the joint venture petrochemical complex in China, Kuwaiti local news paper al-Ray al-Aam reported.


⌠This condition is insuperable, which will oblige the company to go ahead with the project even if the feasibility study proves its un-feasibility, the newspaper quoted the source as saying. ⌠Shall KPC pay the money, as an installment of cost of the project, without having a strategic partner after the exit of Shell Chemicals, and without receiving the final approvals? - the source said.


He also added that the initial studies conducted by Foster Wheeler related to a seperate refinery project in Vietnam cost only USD 45m without paying an installment.


MRC

BASF to present engineering plastics, polyurethanes and masterbatch preparations at the Fakuma

(BASF) -- This year again, BASF is presenting its engineering plastics, polyurethanes and masterbatch preparations at the Fakuma, the international trade fair for plastics processing in Friedrichshafen, Germany. Styrolution and its styrenics will also be there.


A special highlight will be the world's first all-plastic wheel rim that is suitable for high-volume production. It will be shown on the new smart concept car ⌠smart forvision which includes many more BASF innovations. The wheel rim is made from Ultramid Structure, the long fiber reinforced polyamide that BASF presented at K 2010 for the first time. The material can be used not only in the automotive sector, but also for facade curtain walls and special wall plugs.


Particularly interesting for the automotive sector are also the highly heat-stabilized Ultramid Endure, which is especially well-suited for use on turbocharged engines, and Ultrason E Dimension, the polyether sulfone that combines dimensional stability, stiffness and good processability thanks to a new formulation.


From its PBT line, BASF will be discussing the new Ultradur LUX. Compared to PBT grades currently on the market, this material exhibits twice the laser transparency, creating previously unknown opportunities for reliable laser welding of PBT parts.


In the field of photovoltaics BASF has, in the meantime, become very active with its polyamides Ultramid A3X2G7 and Ultramid A3XZG5 for connectors and junction boxes. Both materials are certified on the basis of the f1 weathering test (UL).


MRC

Dow Chemical reaffirmed its near-term goal of USD 10bn in EBIDTA

(ICIS) -- Dow Chemical reaffirmed on Tuesday its near-term goal of USD 10bn in earnings before interest, taxes, depreciation and amortisation (EBITDA). Dow has already achieved USD 8.6bn (EUR 6.5bn) in EBITDA for the last four quarters combined, chief executive Andrew Liveris said at Dow's investor day. ⌠We see bright spots in recession-resistant sectors such as agriculture, food packaging, energy and health and nutrition, he said.


⌠Furthermore, our diversified and well-balanced portfolio provides us with significant advantages in rapidly growing regions of the world - which continue to grow, he added.
Liveris said that Dow also has benefitted from a significant feedstock advantage in the form of liquids-rich shale gas plays in the US.


Additionally, he said, Dow has divested businesses that represented USD 8bn in revenue, but which had only single digit EBITDA margins, such as Styron and its polypropylene (PP) segment.


MRC

Dow Chemical will conduct a feasibility study for the construction of EPDM plant

(ICIS) -- US-based Dow Chemical will conduct a feasibility study for the construction of a world-scale metallocene ethylene propylene diene monomer (EPDM) plant, the company said on Tuesday.
The study will identify potential partners and locations for the facility, Dow said. End uses for the product include automotive weather-stripping, automotive hoses and belts, building profiles, footwear soling and general rubber products.


⌠The new facility will position Dow to meet the increasing global demand for EPDM by offering high performance products that serve key automotive, building and construction and consumer markets; maintain Dow's cost-competitive position; and demonstrate the company's commitment to invest in specialty products that bring performance advantages to the marketplace, said Kim Ann Mink, general manager, Dow Elastomers.


According to Dow, the automotive industry, which is a key market for EPDM, is projected to grow by 5%/year, with growth rates of approximately 10%/year in China and south Asia.


MRC

Shell to shut its 800 KTa mixed-feed cracker at Bukom Island

(ICIS) -- Shell is expected to shut its 800 KTa mixed-feed cracker at Bukom Island in Singapore as soon as at the end of this week, when its inventory of feedstocks runs out, traders said on Wednesday. The company's 500,000 bbl/day Bukom refinery, which provides naphtha feedstock to the cracker, was forced shut last week by a blaze that took 30 hours to completely extinguish.
"It might be possible the cracker will sooner or later be down," said a trader. The cracker is currently running at low operating rates, according to market sources.


Shell produces an estimated 250,000 tonnes of naphtha per month from the Bukom refinery. A fifth of the naphtha output is supplied to feed into the Bukom cracker, while Petrochemical Corp of Singapore gets 100,000 tonnes, said a market source.


MRC