Kazanorgsintez raised contract HDPE prices

MOSCOW (MRC) -- Kazanorgsintez, Russia's largest polyethylene (PE) producer, has announced an increase in contract high density polyethylene (HDPE) prices, according to ICIS-MRC Price report.

Kazanorgsintez announced an increase in contract prices for blow moulding and injection moulding HDPE on 23 September by Rb1,000-4,000/tonne from the level as of 2 September. Namely, prices for blow moulding HDPE grew by Rb1,000-4,000/tonne, while prices for injection moulding HDPE rose by Rb4,000/tonne.

As reported earlier, Kazanorgsintez raised contract prices for coloured pipe HDPE - PE100 in early September. Prices went up by Rb2,000/tonne.
MRC

MOSCOW (MRC) -- The scheduled outage for maintenance at Tomskneftekhim and reduced capacity utilisation at Polyon and Stavrolen in August have led to a reduction in polypropylene (PP) production in Russia. The total August PP output in Russia dropped by 5% from July to 67,900 tonnes, while in July it reached 71,200 tonnes, according to MRC ScanPlast.

Tomskneftekhim (SIBUR group) resumed production later than planned after a scheduled outage for maintenance (from 19 July for three weeks). The capacity utilisation at Omsk and Budennovsk plants was also reduced last month.

Neftekhimia (Kapotnya, SIBUR) increased its capacity utilisation by 3% in August, the overall PP output reached about 10,800 tonnes from 10,500 tonnes in July. Nizhnekamskneftekhim and Ufaorgsintez virtually kept last month the July's level of capacity utilisation. The August PP output by these plants totalled 18,500 tonnes and 9,400 tonnes, respectively.

Stavrolen was forced to cut its PP output because of techinical issues at its ethylene production (there was a failure in mid-month). The plant's August PP output fell to 10,400 tonnes from 11,200 tonnes in the previous month.

Polyom (Titan Group) reduced its capacity utilisation in August by 16% from July and shut down its production on 1 September for a scheduled turnaround. The overall August PP output at the plant dropped to 13,300 tonnes from 15,800 tonnes in July.

The overall PP output in Russia reached more than 541,000 tonnes in the first eight months of 2013 from 436,000 tonnes in 2012. The launch of a new plant in Omsk with the nominal capacity of 180,000 tonnes per year accounted for such a significant increase in the output.

MRC

MOSCOW (MRC) -- Nizhnekamskneftekhim (NKNKh), one of the largest Russian producers of petrochemical products, shut down its polypropylene (PP) production for scheduled maintenance works on 17 September, according to ICIS-MRC Price report.

On 17 September, Nizhnekamskneftekhim shut down its PP production for a week-long turnaround. The plant's annual PP production capacity is 220,000 tonnes. The overall PP output by the plant exceeded 141,000 tonnes in the first eight months of 2013. The other polymer production (polyethylene and polystyrene) will not be shut down for maintenance.

Earlier, on 10 September, Nizhnekamskneftekhim shut down its ethylene production for a scheduled 20-day maintenance. The plant's annual ethylene production capacity is 600,000 tonnes. The company intends to commission a new ethylene complex with the capacity of 1 million tonnes per year in 2017. The cost of its construction is estimated at USD3 billion.

Nizhnekamskneftekhim is the largest petrochemical company, a leader in the production of synthetic rubber and plastics in the Russian Federation. The range of products includes more than 120 items. Major commodities are: synthetic general and special-purpose rubber, polystyrene (PS), polypropylene (PP) and polyethylene (PE).
MRC

MOSCOW (MRC) -- The value of the global medical polymer market is set to rise by more than half in the next five years, boosted by an ageing population and developing markets, as per Plastemart with reference to NanoMarkets.

The market is estimated to grow from USUSD2.3 bln to over USUSD3.5 bln, a rise of more than 52%, between now and 2018.

Implants currently consumer around half of the world's medical polymer production and are expected to account for USD1.6 billion in polymer sales by 2018. Lower in cost and lighter than metallic alternatives such as titanium, medical polymers are proving popular among device manufacturers and the medical profession alike.

Sales of polymers destined for diagnostic systems will likely reach around USD1.04 billion in 2018. In vitro diagnostics account for between 50,000 and 60,000 metric tons of specialized and commodity plastics annually.

The report claims that PMMA, PS/styrenics, and PP are the leading medical polymers based on revenue accounting for around 26% of the market in 2013.

There are also some high-value niches appearing in the market. Commercial elastomers that provide a “soft touch” are being used to coat accessories, such as catheters, gloves, and syringes, in order to impart a soft touch feel. Their use is expected to grow in intravenous drug delivery systems, cardio systems, and blood collection devices.

The last decade has seen the rise of biodegradable polymers. The current trend suggests that in the near future, entire prostheses will be developed from these materials. While they will not be used to manufacture diagnostic products, biodegradable polymers will be incorporated into implants and some clinical labware. There is some additional interest in discovering new biodegradable polymers for medical applications, but investment in this area is limited due to the need to complete extensive long-term studies in order to validate new materials.

We remind that, as MRC informed previously, Styron Europe GmbH, the global materials company and manufacturer of plastics, latex and rubber, has recently appointed Velox GmbH, Hamburg, Germany, as the European distributor for medical product offerings from Styron. Velox, a supplier and marketer of raw materials specialties will represent products for Styron medical applications, including CALIBRE MEGARAD polycarbonate resins and MAGNUM ABS Resins. Besides, in March 2013, Arkema appointed Velox, as its exclusive distributor for the medical business development in Europe.
MRC

MOSCOW (MRC) -- Total Petrochemical USA Inc. will pay an USD8.75 million penalty for failing to comply with the terms of a 2007 settlement with the United States that resolved alleged violations of the Clean Air Act at its Port Arthur, Texas, refinery, according to the Department of Justice and the U.S. Environmental Protection Agency (EPA).

Between 2007 and 2011, Total violated numerous requirements of the 2007 settlement, including failing to comply with emissions limits for benzene, a harmful air pollutant. The company also failed to perform corrective actions or to analyze the cause of over 70 incidents involving emissions of hazardous gases through flaring. EPA discovered the violations through a review of the quarterly compliance reports required by the 2007 settlement.

The 2007 settlement required that Total pay a USD2.9 million penalty and make upgrades to its facility to reduce emissions of harmful air pollution to resolve Clean Air Act violations. The 2007 settlement further required that Total upgrade leak detection and repair practices and implement programs to minimize flaring, which can result in emissions of gases that can cause serious respiratory problems and exacerbate asthma.

In addition to the penalty, the recent action extends the requirement that Total comply with a lower benzene emissions limit for an additional two years. The enhanced limit for benzene, which is 30% lower than the federal limit, was initially required by the 2007 settlement. In addition, Total must hire a third-party to audit its compliance under the settlement and must implement a company task force to monitor its compliance.

Reducing illegal emissions of toxic air pollutants at facilities that have a significant impact on air quality and health in communities is one of EPA’s national enforcement priorities.

We remind that, as MRC reported earlier, The Securities and Exchange Commission (SEC) has charged France-based oil and gas company Total S.A. with violating the Foreign Corrupt Practices Act (FCPA) by paying USD60 million in bribes to intermediaries of an Iranian government official who then exercised his influence to help the company obtain valuable contracts to develop significant oil and gas fields in Iran.

Total Petrochemicals & Refining USA, Inc. (TPRI) is part of the Refining-Petrochemicals Americas Segment of Total S.A., one of the largest integrated international oil and gas companies with operations in more than 130 countries worldwide. TPRI is headquartered in Houston and is a major producer of polypropylene, polystyrene, styrene, base chemicals and polyethylene in the United States. Its refinery produces transportation fuels and other petroleum-based products for the global market. The company employs more than 1,600 who work in support of manufacturing and research/development activities in Texas and Louisiana.
MRC