Styron customers back new timing for Europe PS contract settlement

(styron) -- Styron Europe GmbH announced today that it has secured the endorsement of more than 20 of its key customers to change the timing for settling monthly contract pricing for polystyrene in Europe.

As opposed to other products in the Plastics industry or regions of the world which settle prices early in the month, polystyrene contract pricing in Europe continues to settle at the end of the month in a process that both Styron and its customers describe as outdated, inefficient and detrimental for stakeholders across the industry. The proposal calls for contract price settlement to take place in the first week but not later than the 10th working day of each month from
May 1.

"On March 16, we made an appeal for an improved process to settle contract pricing for polystyrene to help customers and the industry in Europe," said Paul Moyer, Styron's Vice President and General Manager for Plastics. "We are pleased to report that nearly two dozen of our key customers support the proposal and have expressed their desire to switch the timing for contract pricing settlement as of May 1. We are optimistic about securing broader industry support in the next few weeks to make this a standard industry practice and improve pricing management and transparency for producers and customers."

MRC

(Reuters) - Dupont (DD.N) and Dow Chemical (DOW.N) are among chemical firms working with global automakers who are bracing for a crunch in production, after a German chemical plant explosion cut a chunk of supply of a nylon resin used in brake and fuel systems.

The risk of production cuts is greater for car markers in the United States and France, and less in Japan and Germany, UBS said in a research note.

"We see high risk of production stoppages in the second quarter," UBS analysts said in the research note issued on Thursday. But they also saw an "equally high probability" that alternatives would be found within the same quarter.

The global supply of PA-12, used in several industries including auto manufacturing, was already stretched thin before the explosion at an Evonik Industries AG RAGES.UL plant in Marl, Germany on March 31, that led to the nylon resin shortage.

Auto experts and analysts are not clear how the shortfall would affect China, which has overtaken the United States as the world's largest auto market.

MRC

(plastemart) -- A fire broke out last Saturday at Egypt's Nasr Petroleum Company. The company is in the process of restarting its 146,300 bpd refinery in Suez.

The accident has prompted EGPC to delay two naphtha shipments, originally scheduled for H2 April, to be lifted in May and June from Suez port. A third April naphtha cargo was due to be shipped out last weekend when the fire broke was slightly delayed.

Since Suez exports about 60,000 to 90,000 tons of naphtha to Asia, this delay in naphtha shipments is likely to have an impact on the Asian market amid tight supplies in May du e to limited cargoes from Europe.

According to an official, the fire started at a warehouse at the refinery, which is operated by Egyptian General Petroleum Corporation's (EGPC) subsidiary El Nasr Petroleum since 1913.

MRC

(dow) -- Dow Chemical Company will construct a new world-scale ethylene production plant at Dow Texas Operations in Freeport, TX, as part of Dow's previously announced comprehensive plan to further connect its U.S. operations with cost-advantaged feedstocks available from increasing supplies of U.S. shale gas.

The new ethylene production facility at Dow Texas Operations will employ up to 2,000 workers at its construction peak. This decision marks another significant milestone in the Company's strategy to further develop the competitive advantage for Dow's Performance Plastics, Performance Materials and Advanced Materials businesses by expanding access to low-cost natural gas-based feedstocks, which are used in the production of Dow products that are essential to over a dozen consumer markets.

"For the first time in over a decade, U.S. natural gas prices are affordable and relatively stable, attracting new industry investments and growth and putting us on the threshold of an American manufacturing resurgence," said Andrew N. Liveris, Dow Chairman and Chief Executive Officer.

MRC

(sabic) -- SABIC's latest SABIC Vestolen A RELY bimodal high density polyethylene grades are able to meet the stringent requirements for typical pressure pipes, as well as helping customers with considerable energy savings when producing the pipe.

Two grades of SABIC Vestolen A RELY are currently available, both typically suitable of producing pressure pipe that meets the PE 100 standard. SABIC Vestolen A RELY 5924R delivers good low sag performance for large-diameter pipes and pressure pipes with a low standard dimension ratio (SDR).

SABIC Vestolen A RELY 5922R helps customers meet the stringent slow crack growth requirements for pressure pipe, enshrined in PAS (Publicly Accessible Standard) 1075. Certification to PAS 1075 enables the grade to be used for pipes intended for installation using the most demanding techniques, including new trenchless methods such as guided boring and horizontal directional drilling.

These methods have a reduced impact on the environment, but they are more demanding of pipe properties, since surface damage during the installation process is more likely to occur.

MRC