Cnooc's deal to buy BP's $7.1 bln stake in Argentine crude producer Pan American Energy collapsed

(Bloomberg) -- Cnooc Ltd. (883)'s deal to buy BP Plc (BP/)'s $7.1 billion stake in Argentine crude producer Pan American Energy LLC collapsed, 10 days after Argentina's president ordered oil companies to repatriate export revenue. BP will repay a $3.5 billion deposit it had received for the sale by Nov. 14, the company said after Bridas Corp., equally owned by Cnooc and the billionaire Bulgheroni family, announced Nov. 5 that the deal was canceled for ⌠legal reasons. Bridas owns 40 percent in Pan American and the purchase of the remaining 60 percent was pending Argentine antitrust approval.


The failure of the deal to buy Argentina's biggest oil exporter means Cnooc, China's largest offshore energy explorer, may struggle to meet its production growth targets next year, according to Gordon Kwan, Mirae Asset Securities Ltd.'s head of regional energy research in Hong Kong.


⌠It's going to be very challenging for the company, Simon Powell, a CLSA Ltd. analyst, said by phone today from Hong Kong. ⌠Cnooc is going to have to try do more M&A deals globally to make up for it.


Cnooc dropped 2.2 percent to HK$14.92 in Hong Kong, taking its decline this year to 19 percent. BP fell as much as 2.2 percent in London trading.


The decision comes less than two weeks after Argentina's President Cristina Fernandez de Kirchner, re-elected on Oct. 23, ordered energy and mining companies to repatriate future export revenue in a bid to slow accelerating capital flight from South America's second-biggest economy.


MRC

IMCD extends its current product portfolio with two new compounds

(IMCDGroup) -- IMCD Business Group Plastics announces extension of its current product portfolio with the two new compounds from Teknor Apex Company. Apex P-55003 and P-55004 are jacketing compounds based on blends of polyvinyl chloride (PVC) and thermoplastic polyurethane (TPU) that provide outstanding resistance to the aggressive end-use conditions often encountered by industrial cables.


Apex P-55003 and P-55004 compounds not only have advanced abrasion resistance and excellent tensile properties associated with TPUs, but they also provide resistance to oil and chemicals, toughness at low temperatures, and elevated oxygen indices. The two new compounds are therefore recommended for applications such as factory automation networks, industrial robots, and other plant systems that call for data or control cable.


MRC

Swedish injection moulder Nolato expands plant in Hungary

(PlastEurope) -- At an investment cost of about SEK 30m (EUR 3.3m), the Medical division of Nolato is to expand its production site in Mosonmagyarovar/Hungary. The Swedish group plans to build a new hall with a production area of 3,500 m2. Subsidiary Nolato Magyarorszagdie will be able to use the new space, which includes additional clean room capacity, from 2013 onwards. According to local media reports, the expansion will result in raising current employee levels from 400 to around 450.


For the nine months up to September 2011, Nolato has seen sales decline by 11% to SEK 2.243 bn (EUR 248m). Operating income (EBITA) slipped by 24% to SEK 151m.


MRC

Foam bead supplier and molder JSP Corp. presenting at IPF show

(Plastics Today) -- Foams made from polystyrene, polypropylene, polycarbonate, and even biodegradable polylactic acid (PLA) will play a key role in vehicle lightweighting moving forward according to foam bead supplier and molder JSP Corp. (Tokyo, Japan). The company sees potential for another 10 kg of foam use in addition to the 5-6 kg that is estimates is currently used.


On show at the IPF show in Japan was a concept foam sandwich door, with partially bio-derived unsaturated polyester (UP) resin covering both sides of an expanded PLA foam. While the UP resin is currently glass fiber, theoretically natural fiber could also be used as a reinforcing material according to Hidehiro Sasaki, General Manager of the Development Department at JSP. The door weighs in at 9 kg, including around 1 kg of PLA foam.


Prototype door module comprises unsaturated polyester sandwiching polylactic acid (PLA) foam. Polycarbonate foam (orange tag) may join expanded polypropylene (blue tags) in auto applications.
Rear seat bases represent a substantial potential market for foamed plastics.


Expanded polystyrene finds use as a protective packaging material for automotive components. Fellow IPF exhibitor Sekisui Chemical (Osaka, Japan) pegs foam usage at 10 kg per vehicle for the OEMs that it serves. The company's strategic product is a blend of PS foam and polyethylene foam, Piocelan, that exhibits superior compression strength as compared to EPP foam and can be molded on conventional EPS machines.


MRC

Arab Petroleum Investments sold 12.5% of its stake in the Bahrain National Gas Co.

(Plastemart) -- Arab Petroleum Investments Corp., the multilateral development bank of the Organization of Arab Petroleum Exporting Countries, has sold 12.5 percent of its stake in the Bahrain National Gas Co. (Banagas) to Kuwait-based Boubyan Petrochemical Co. "The divestment was approved recently by Apicorp's board of directors," as per the company. The Saudi government owns a 17% stake in Apicorp.


Apicorp CEO Ahmad bin Hamad Al-Nuaimi said since the time it invested in Banagas 33 years ago, the company has evolved into a highly successful leading local, regional and international company. "As a result of its continued success, we feel it is appropriate to monetize our share in Banagas by transferring it to a strategic GCC-based investor so that we can advance our plans to initiate and develop other oil and gas projects," said Al-Nuaimi. Banagas was founded by the Bahraini government (currently represented by the National Oil and Gas Holding Co.), Chevron and Apicorp in 1978 with stakes of 75%, 12.5% and 12.5% respectively.


The company's principal business comprises extracting and marketing propane, butane and naphtha, by processing associated gas from Bahrain's oil field, for the local, regional and international markets. Banagas is estimated to produce 4,720 bpd of naphtha, 1,230 bpd of butane and 1,310 bpd of propane. With more than 400 employees and a large volume of exports, Banagas plays an important role in the Bahrain national economy.


MRC