Huntsman to expand ethylene oxide capacity in the USA

MOSCOW (MRC) -- Huntsman Corp., a global manufacturer and marketer of differentiated chemicals, has conducted a groundbreaking ceremony for a USD150 million expansion project at Port Neches, according to Plastermart.

Huntsman is preparing for the expansion of its ethylene oxide manufacturing capacity at the Port Neches facility by adding a third EO unit.

The expansion will increase the EO capacity by more than 25% or 265 mln lbs per year. Upon completion, the Huntsman Port Neches plant will be the largest single-site producer of EO in North America.

As MRC wrote previously, this summer, Huntsman signed a definitive agreement to acquire Oxid LP, a privately-held manufacturer and marketer of specialty urethane polyols based in Houston, Texas. Oxid's polyols are a key component in the production of energy-saving polyurethane insulation products that are used in residential and commercial construction.

Huntsman is a global manufacturer and marketer of differentiated chemicals. Our operating companies manufacture products for a variety of global industries, including chemicals, plastics, automotive, aviation, textiles, footwear, paints and coatings, construction, technology, agriculture, health care, detergent, personal care, furniture, appliances and packaging.
MRC

MOSCOW (MRC) -- The Belarusian producer Polymir (concern Nafthan) resumed production of low density polyethylene (LDPE ) at its second reactor yesterday, on 29 October, after a long outage for maintenance, reported MRC analysts.

The plant was shut down for a scheduled turnaround on 1 October, and the maintenance works were planned to be carried out during three weeks. However, the restart of the production took place with more than a week delay.

A scheduled maintenance at the plant's first reactor was held in April 2013.

The annual Polymir's LDPE production capacity is 130,000 tonnes. The overall LDPE output exceeded 102,000 tonnes in the first nine months of the year.
MRC

MOSCOW (MRC) -- Imports of polyethylene (PE) to Kazakhstan increased by 12% in the first nine months of this year. The main increase in the supply occurred for the Russian producers of polyethylene, according to analytical review DataScope.

PE imports to Kazakhstan rose to 88,600 tonnes in January - September 2013, from 79,300 tonnes in the same period of 2012. About 50% of the total imports of PE imports to Kazakhstan accounted for Russian material.

The structure of the supply in the first nine months of the year looked as follows. Imports of high-density polyethylene (HDPE) for the reported period rose to 74,400 tonnes against 66,100 tonnes in 2012. HDPE imports from Russia has increased this year by 41% on the back of the absence of import duties on Russian PE and totalled about 32,000 tonnes, which was about 43% of the total imports.

Imports of low density polyethylene (LDPE) and linear polyethylene (LLDPE) in the first nine months of this year amounted to 14,200 tonnes, from 13,200 tonnes in the same period a year earlier. Russian producers increased their shipments of LDPE to Kazakhstan by 19% to 15,500 tonnes, which made about 74% of the total imports.

MRC

MOSCOW (MRC) -- The German chemical concern BASF, a leading global manufacturer of petrochemicals, raised sales in the third quarter of 2013 by 1.5% to around EUR17.7 billion despite significantly negative currency effects, according to the company's press release.

This growth was mainly the result of increased volumes, particularly in the Oil & Gas segment. Income from operations (EBIT) before special items rose by EUR221 million to just under EUR1.7 billion.

"Our business performance was robust in the third quarter of 2013. The increase in earnings was largely due to higher contributions from the Functional Materials & Solutions and Performance Products segments in addition to lower charges in Other," said Dr. Kurt Bock, Chairman of the Board of Executive Directors of BASF SE.

Income before taxes and minority interests grew by EUR287 million to EUR1.5 billion compared with the previous third quarter. Net income rose by EUR171 million to around EUR1.1 billion.

At EUR4.2 billion, sales in the Chemicals segment were 8% below the level of the third quarter of 2012. Reduced prices dampened sales, especially in the Monomers division. In addition to negative currency effects, lower volumes in all divisions contributed to this sales decrease.

Sales volumes increased in the Performance Products segment. Sales of EUR3.9 billion were just under the level of the previous year’s quarter, mostly due to currency effects.

In the Functional Materials & Solutions segment, sales rose by 3% to EUR4.4 billion compared with the prior third quarter. While the Catalysts and Performance Materials divisions were able to increase sales through higher volumes, sales declined in the Construction Chemicals and Coatings divisions.

In the Oil & Gas segment, sales were up 25% to EUR3.1 billion thanks primarily to increased volumes in the Natural Gas Trading business sector.

The company’s expectations for the global economic environment in 2013 remain unchanged: growth of gross domestic product - 2.0%; growth in industrial production - 2.7%; growth in chemical production - 3.1%.

As MRC informed earlier, BASF increased sales by 3% in the second quarter of 2013 to just under EUR18.4 billion thanks to higher sales volumes in all segments. Income from operations (EBIT) before special items decreased by 5% to around EUR1.8 billion. In the first half of 2013, sales reached around EUR38.1 billion, surpassing the level of the previous first half by 4%. EBIT before special items increased by 3% to more than EUR4 billion.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries.
MRC

MOSCOW (MRC) -- Zhenhai Refining & Chemical Co (ZRCC) shut a linear low density polyethylene (LLDPE) plant owing to technical issues, according to Apic-Online.

A Polymerupdate source in China informed that the plant was shut on October 28, 2013. The restart schedule for the plant could not be ascertained.

Located in Zhejiang province, China, the plant has a production capacity of 450,000 mt/year.

As MRC reported earlier, another Chinese producer Xuzhou Hiatian Petrochemical shut a polypropylene (PP) plant on 26 August. The duration of the closure could not be ascertained. The closure has been attributed to non-availability of feedstock propylene. Located in Jiangsu, China, the plant has a production capacity of 200,000 mt/year.
MRC