Braskem swung to a third-quarter loss because of currency fluctuations

(ICIS) -- Brazil's Braskem swung to a third-quarter loss of reais (R) 1.05bn ($588m, ┬435m) because of currency fluctuations, the company said on Thursday. Braskem reported earnings of R532m ($298m, ┬221m) in the third quarter of 2010. Earnings before interest, taxes, depreciation and amortisation (EBITDA) dropped 9% to R940m from R1.04bn in the third quarter of 2010.
⌠The effect of the 19% devaluation of the real on Braskem's net dollar exposure had a negative impact of R1.6bn on the [third quarter] financial result, the company said. Meanwhile, net revenue increased to R8.7bn from R7.5bn, Braskem added. Financial losses amounted to R2.1bn, compared with a gain of R180m in the same period last year, the company added.

Perspectives of development of polymer markets, pricing issues and other important aspects will be discussed at The Polymers Summit-2011, which will be held in Moscow on November 30, 2011 at the Ritz Carlton Hotel. The Summit will be organized by MRC with the support of ICIS. The main idea of the Summit is to find a "the golden mean" between producers and converters. When producers receive exactly such margin of production, which helps them to invest in production expansion in order to substitute polymers imports, and the converters receive such price of feedstock that helps them to compete imported finished products. The Summit site gives an access to the live video of the Summit, speakers" presentations, as well as opportunities to ask questions or make appointments to any Summit partcipant.

MRC

(ICIS) -- Spot butadiene rubber (BR) prices in Asia may continue to nosedive after shedding about $1,000/tonne (┬740/tonne) from early October, tracking the decline in values of natural rubber (NR) and feedstock butadiene (BD), industry sources said on Friday. BR prices fell below $3,000/tonne this week, and were assessed at $2,800-3,000/tonne CFR (cost and freight) northeast (NE) Asia on 10 November, according to ICIS data.

On Thursday, NR prices slumped by more than $600/tonne from the start of the month, falling below $3,200/tonne, according to the Malaysian Rubber Board. Asian prices of BD, the feedstock for BR production, meanwhile, plummeted by about $900/tonne from early October to around $1,550/tonne CFR NE Asia on 4 November, according to ICIS data.

In the domestic Chinese market, spot BR values fell by more than yuan (CNY) 9,000 over the past month to around CNY 22,000 this week, market sources said. Weak demand given worries over the ongoing eurozone debt crisis and the floodings in Thailand also contributes to the slumping BR prices, market sources said.

Perspectives of development of polymer markets, pricing issues and other important aspects will be discussed at The Polymers Summit-2011, which will be held in Moscow on November 30, 2011 at the Ritz Carlton Hotel. The Summit will be organized by MRC with the support of ICIS. The main idea of the Summit is to find a "the golden mean" between producers and converters. When producers receive exactly such margin of production, which helps them to invest in production expansion in order to substitute polymers imports, and the converters receive such price of feedstock that helps them to compete imported finished products. The Summit site gives an access to the live video of the Summit, speakers" presentations, as well as opportunities to ask questions or make appointments to any Summit partcipant.

MRC

(ICIS) -- Iran's Petrochemical Commercial Co (PCC) is planning to more than halve its orthoxylene (OX) exports in 2012 on more attractive domestic prices, a company source said on Thursday.
⌠We are planning to export around 15,000-16,000 tonnes of OX next year, the source said, adding that the company has exported around 34,000 tonnes of material over the past 10 months.
⌠Domestic prices have been higher than exports so that is why we are planning to sell more within Iran, the source said, but decline further comments when asked for details on the domestic settlement method and price.

PCC has a long-term contract to supply OX to South Korea's Daewoo International Corporation and various Chinese and Indian phthalic anhydride (PA) makers in 2011. Supply of OX is expected to remain tight going into 2012 on the back of previous cutbacks in operating rates at regional facilities. Demand for shipments have also been poor over the last two quarters because of squeezed PA margins.

Perspectives of development of polymer markets, pricing issues and other important aspects will be discussed at The Polymers Summit-2011, which will be held in Moscow on November 30, 2011 at the Ritz Carlton Hotel. The Summit will be organized by MRC with the support of ICIS. The main idea of the Summit is to find a "the golden mean" between producers and converters. When producers receive exactly such margin of production, which helps them to invest in production expansion in order to substitute polymers imports, and the converters receive such price of feedstock that helps them to compete imported finished products. The Summit site gives an access to the live video of the Summit, speakers" presentations, as well as opportunities to ask questions or make appointments to any Summit partcipant.

MRC

(BASF) -- BASF has been producing caprolactam using a large-scale continuous process at Ludwigshafen for half a century now. During this time around 6.5 million tons of the polyamide 6 intermediate have left the site. ⌠We have constantly improved the production process and expanded the capacity during continuous operation over the past 50 years without major total plant shutdowns. This demonstrates the strong competence of the production team and the advantage of operating a highly complex technology within an integrated structure (Verbund), comments Hermann Althoff, Senior Vice President of the global business unit Polyamide and Intermediates. With two more plants at Antwerp, Belgium, and Freeport Texas, USA, and a total production capacity of 800,000 tons per year, BASF today is the world's largest manufacturer of caprolactam.

Perspectives of development of polymer markets, pricing issues and other important aspects will be discussed at The Polymers Summit-2011, which will be held in Moscow on November 30, 2011 at the Ritz Carlton Hotel. The Summit will be organized by MRC with the support of ICIS. The main idea of the Summit is to find a "the golden mean" between producers and converters. When producers receive exactly such margin of production, which helps them to invest in production expansion in order to substitute polymers imports, and the converters receive such price of feedstock that helps them to compete imported finished products. The Summit site gives an access to the live video of the Summit, speakers" presentations, as well as opportunities to ask questions or make appointments to any Summit partcipant.

MRC

(MRC) -- Reduction of PET imports to Russia continues for the fourth month. In October, granulates imports fell to 6.7 thousand tons, which was minimum for this year, as per MRC DataScope.


The volumes of PET granulate imports have been falling since July. The reason for that is a surplus of the material in the domestic market. Over February-April, converters and trading companies seriously overestimated the potential of expected consumption in summer. The market was entered by the volumes that significantly exceeded the last year figures. On the back of the general economic situation and not hot summer, the sales in the sectors of the finished consumption reduced, in particular, the beer market fell down. In this connection, inventories at the market players' stocks keep on influencing the import deliveries as well as sales of the Russian producers within the country.

Reduction of materials prices in the Asian markets doesn't help stimulate the demand. In early September, the Asian material was offered, on average, for $1,755/т FOB, while this week PET offer for exports was announced within $1,500/т FOB. Over the two months, PET in the Asia markets cheapened by $250/ton.

Despite moderate granulates prices, the Asian producers of PET say about a weak activity of the Russian market players. This allows to talk about low imports of PET till the year end.

Reduction of supplies of imported material (to 6.7 thousand tons in October) is a positive factor for the domestic producers of the granulate. Though on the back of the material oversupply to the market, domestic plants aren't able to use current possibilities. As per the market players' opinion, this year will finish with significant inventories at stocks.

The fall is observed in October export deliveries as well. In October PET exports reduced nearly by three times and made 5.3 thousand tons against 16.5 thousand tons in the previous month. Nevertheless, over the ten months, overall exports of PET from Russia and the Western Europe reached 60 thousand tons. Such active covering of export markets was achieved due to the launch of a new PET plant in Kaliningrad with a total capacity of 220 thousand tons.

Perspectives of development of polymer markets, pricing issues and other important aspects will be discussed at The Polymers Summit-2011, which will be held in Moscow on November 30, 2011 at the Ritz Carlton Hotel. The Summit will be organized by MRC with the support of ICIS. The main idea of the Summit is to find a "the golden mean" between producers and converters. When producers receive exactly such margin of production, which helps them to invest in production expansion in order to substitute polymers imports, and the converters receive such price of feedstock that helps them to compete imported finished products. The Summit site gives an access to the live video of the Summit, speakers" presentations, as well as opportunities to ask questions or make appointments to any Summit partcipant.

MRC