SABIC inaugurates a major new technology center in Shanghai

MOSCOW (MRC) -- Saudi Arabia-based Sabic has officially opened the company’s state-of-the-art SABIC Technology Center (STC) in Shanghai, China in a ceremony which marks another significant milestone for SABIC in China, as per the company's press release.

The center, built with an initial investment of USD 100 million, is one of 17 SABIC global R&D centers of excellence.

The 60,000 sqm state-of-the-art complex houses close to 500 employees including 170 application development and materials technologists. In addition, it also serves as the new Greater China head office for all Shanghai-based employees including R&D and supporting functions.

"SABIC is a company grounded in developing material solutions and has innovation, ingenuity and collaboration at its core, helping us to achieve a deeper understanding of our customers and their business. SABIC is committed to being an inclusive growth partner in the markets we operate in," said Mohamed Al-Mady, Vice Chairman and CEO, SABIC.

The new STC in Shanghai will be leading the development for portable consumer electronics, working closely with OEMs across the globe. It will also focus on developing next-generation innovative technologies and solutions to help the company's customers address some of the most pressing issues in China and the region across major industry sectors including construction, clean energy, electrics and electronics, medical devices, transportation. The overall R&D focus at the STC in Shanghai will be on meeting the needs of our customers in the Greater China and North East Asia.

The center significantly enhance SABIC’s R&D footprint in Asia, building on the existing infrastructure of its application centers - one in Moka, Japan, and the other in Sungnam, South Korea.

As MRC wrote previously, last Friday, SABIC opened its new USD100 million technology center in Bengaluru, India. The technology center will house 300 scientists, whose roles are to carry out research into new platforms for next-generation materials across industry sectors such as construction, clean energy, electronics, medical devices and transportation.

Sabic is ranked among the world's largest petrochemicals manufacturers. It is the largest public company in Saudi Arabia. The comany manufactures chemicals and intermediates, industrial polymers, fertilizers and metals. It is currently the second largest global ethylene glycol producer, the third largest polyethylene manufacturer, the fourth largest polyolefins manufacturer and the fourth largest polypropylene manufacturer. Among its products are propylene, paraxylene, styrene, vinyl chloride monomer.
MRC

Sinopec mulls minor stake in Kitimat LNG project with US energy firm Apache

MOSCOW (MRC) -- China Petroleum and Chemical Corporation (Sinopec) is discussing the purchase of a minor stake in Kitimat liquefied natural-gas (LNG) project with US energy firm Apache Corp, as per Plastemart.

Details relating to the purchase have not been disclosed. Moreover, Sinopec’s management has not sanctioned the investment yet. However, a source revealed that Sinopec’s stake investment will be utilized to fund the LNG project.

The Kitimat LNG development includes undeveloped shale assets covering roughly 644,000 acres of land, pipelines and a processing plant of LNG. Apache owns 50% of the project whereas Chevron Corporation holds the rest.

Sinopec has been exploring expansion and acquisition opportunities offshore and abroad to reduce its exposure to mature domestic markets. However, competition from domestic and international peers, as well as the possibility of time-consuming government deregulation and internal company restructuring, make near-term progress difficult.

As MRC informed earlier, Chinese Sinopec is reportedly in talks on a site for a potential liquefied natural gas export terminal in British Columbia.

Sinopec owns significant natural gas properties in two of Canada's most prominent shale-gas fields that, once developed, could feed into Pacific Coast LNG plants. Asia's largest refiner joins a growing list of major global energy players, including Shell, Chevron and Petronas, all racing to build the facilities to ship cheap Canadian gas to Asian markets.

China Petroleum & Chemical Corporation, or Sinopec Limited is a Chinese oil and gas company based in Beijing, China. It is listed in Hong Kong and also trades in Shanghai and New York . Sinopec is the worlds fifth biggest company by revenue.
MRC

US shale gas has a great impact on global PVC markets

MOSCOW (MRC) -- There are big changes in the global PVC marketplace with shale gas providing cheap feedstock in the USA and opening up the export markets, mergers and acquisitions occurring in the European PVC compounding industry, and growth in production in China and Russia, as per Plastemart.

Flexible PVC compounders are still assessing the range of plasticisers on offer as replacements for DEHP, from bio-based chemicals to higher phthalates. Galata Chemicals is offering renewably-sourced plasticisers that enhance the effect of biocides. There are also new bio-based plasticisers from Proviron and there will be a review of plasticisers and the future from Perstorp. Also in this area, Metabolix has studied the beneficial effects of incorporating PHA in PVC to add toughness, plasticisation and better processing performance. To combat bacteria Lonza has developed new antimicrobial technology for flexible vinyl.

There are vital industries depending on reliable materials, particularly the medical device manufacturers. The Dutch blood bank, Sanquin, has conducted research on the potential replacements for DEHP and the effects of the replacement material on the stability of red blood cells and platelets. In pharmaceutical applications fake products are a global issue so Klockner Pentaplast has developed anti-counterfeiting technology for PVC films and Polysecure sells additives for the same purpose.

For rigid materials with outdoor applications appearance is a priority and this depends on the right combination of colorants and stabilisers: BASF has looked at the combinations of additives and colours required for successful PVC products.

There are new opacifying pigments for profiles from FP Pigments in Finland, while Huntsman Pigments has developed pigments that enhance reflectance and transmittance of infrared wavelengths. The issue of photo-pinking will be highlighted by Akdeniz Kimya with a focus on the correct selection of stabilisers to prevent this issue from arising.

Dow has shown that adding rubber particles to profile formulations improves the rheology and mechanical properties and Chemson has reviewed the global trends in stabilisation of profiles, where change has been driven by increasing chemical regulation, particularly governing the types of metal stabilisers that are permitted. This makes legacy products a potential issue in the re-use of recyclate. Sustainability and recycling considerations are now significant factors in formulations.

The profile industry is making great strides in recovery of used windows with companies like Veka leading the way. Foaming technology can reduce the weight and material use in a product and Arkema has invested in developing new processing aids for foams. The mixing of a compound is critical to performance and Coperion has reviewed the latest trends in twin-screw technology, while Farrel Pomini has developed compact processors as an energy-efficient alternative.

We remind that, as MRC informed previously, North America’s PVC suppliers have seen growth in export sales, offsetting stagnation in the domestic market. Domestic PVC processors were impacted by the recession, leading to barely 55-65% operating rates of pipe and siding companies. The North American PVC field also stands to benefit from increasing development of shale gas in the region, which can be used to make PVC feedstock ethylene. Even without expanding, US PVC has the advantage in cash costs. US PVC makers "can make PVC here and ship it to any other part of world and be competitive," Brien said. "I definitely think there will be more (North American PVC) expansions announced sooner than later."
MRC

December Russian PVC prices to go down by Rb500-1,000/tonne

MOSCOW (MRC) -- Russian producers were forced to reduce further contract prices of polyvinyl chloride (PVC) for the domestic market from early December. Prices dropped by an average of Rb500-1,000/tonne from November, according to ICIS-MRC Price report.

Negotiations on December contract prices of Russian PVC began last week. Russian producers had to reduce contract prices on the back of seasonal weaker demand and lower export prices in the US for shipments in November-December.

Deals for December shipments of Russian PVC were negotiated in the range Rb44,000-45,500/tonne CPT Moscow, including VAT, for PVC with K=64/67. Some market participants said they managed to achieve prices below Rb44,000/tonne, CPT Moscow, including VAT. Contracts for PVC with K=70 were negotiated in the range Rb45,500-47,000/tonne CPT Moscow, including VAT.

Demand for finished products from PVC dropped шт 2013 by 5-10% year on year. Many converters reported a major drop in sales of finished products in November after a seasonal peak in September-October (peak demand and peak PVC prices in 2013).

Russian PVC converters had divided into two groups by December. The first group includes companies that intend to enter 2014 with minimum stocks of PVC and finished products and, consequently, do not plan major PVC procument.

The second group consists of companies that intend to preserve large PVC purchases, despite weaker demand for finished products, thus achieving a bottom price level. To date, the number of such companies is scarce.

In addition, a number of companies that plan to shut down their production for long maintenance in late December until February has increased significantly this year.
MRC

SABIC opens new India technology hub

MOSCOW (MRC) -- Saudi Arabia-based SABIC on Friday opened its new USD100 million technology center in Bengaluru, India, as per Hydrocarbonprocessing.

The technology center will house 300 scientists, whose roles are to carry out research into new platforms for next-generation materials across industry sectors such as construction, clean energy, electronics, medical devices and transportation.

"Other initatives include designing greener building materials to reduce environmental footprints and developing eco-friendly products in response to global megatrends and needs," the company said in a statement.

SABIC has 17 technology and innovations centers around the globe, with the India location the newest.

"Saudi Arabia and India have a long history of deep relationships," said Prince Saud bin Abdullah bin Thenayan Al-Saud, chairman of SABIC.

"We believe in the future of India - a rapidly developing nation where partnership and inclusive development is a priority," he added. "India is an important market for us in Asia, which is why our investment here is significant."

As MRC reported previously, this Autumn, the polymershapes division of Sabic (Riyadh/Saudi Arabia) opened a new US branch in Austin, Texas, to give local customers better access to its plastics and associated products.

Sabic is ranked among the world's largest petrochemicals manufacturers. It is the largest public company in Saudi Arabia. The comany manufactures chemicals and intermediates, industrial polymers, fertilizers and metals. It is currently the second largest global ethylene glycol producer, the third largest polyethylene manufacturer, the fourth largest polyolefins manufacturer and the fourth largest polypropylene manufacturer. Among its products are propylene, paraxylene, styrene, vinyl chloride monomer.
MRC