Exports of PS and styrene plastics from Russia surged by 43%

MOSCOW (MRC) -- Exports of polystyrene (PS) and styrene plastics from Russia grew in 2013 by 43% compared with 2012 and reached 71,000 tonnes, according to MRC Annual report.

Local plants not only fulfilled the program of import displacement last year amid increased PS production in Russia, but were also strengthening its presence in foreign markets. The high impact polystyrene (HIPS) market accounted for the largest export shipments. HIPS exports from Russia rose by 28% in 2013 or more than 25,000 tonnes. Nizhnekamskneftekhim's 825ES grade remained the most popular Russian HIPS grade in foreign markets.

Exports of expandable polystyrene (EPS) grew by 32% and totalled 23,800 tonnes. Increased production at SIBUR-Khimprom accounted for the growth in exports. The key export market for Russian EPS of SIBUR remained Ukraine. At the same time, SIBUR managed to lift sales in the region, because of effective export pricing and displacement of European suppliers, as well as reduced EPS production at Stirol, despite the overall fall in EPS consumption in Ukraine last year.

Exports in the general purpose polystyrene (GPPS) market surged by 53%. GPPS exports from Russia totalled in 2013 17,500 tonnes. Nizhnekamskneftekhim (the most popular were 585 and 525 grades) and PGProf's grades were exported last year.

Acrylonitrile-butadiene-styrene (ABS) exports rose by 14 times and totalled 4,330 tonnes due to the launching of a new GPPS-ABS line in Nizhnekamsk. Exports are expected to grow in the ABS market in 2014. Nizhnekamskneftekhim's representatives announced their plans to increase ABS production. Russian ABS will be shipped both to the domestic and foreign markets.

MRC

MOSCOW (MRC) -- Solvay Specialty Polymers has confirmed that it has closed a major strategic investment in Aonix Advanced Materials Corp. and acquired a minority stake in the company, according to the company's press release.

The investment lays the foundation for a partnership that will be a leader in the fast growing market for thermoplastic composites.

"Investments of this size are rare in our industry,"said Jerome Le Corvec, president and CEO of Aonix Advanced Materials Corp. "Solvay’s investment is a significant endorsement of our technology. Aonix is setting new standards for thermoplastic composite performance and manufacturing productivity, on the same platform."

The companies’ partnership will provide Aonix with ready access to Solvay’s extensive portfolio of polymers and world class expertise to help expand the range of applications possible for customers of Aonix’ UltraMaterials Solution.

The UltraMaterials Solution is the industry’s first and only turnkey solution for the mass production of ultra high performance thermoplastic composites (UHPC) for the consumer electronics, sporting goods, automotive, aerospace and energy markets.

As MRC informed previously, in October 2013, Solvay Specialty Polymers signed an agreement with Aonix Materials for acquisition of a minority stake in the company for jointly development and production of thermoplastic composites.

Solvay Specialty Polymers manufactures over 1500 products across 35 brands of high-performance polymers - fluoropolymers, fluoroelastomers, fluorinated fluids, semi-aromatic polyamides, sulfone polymers, aromatic ultra polymers, high-barrier polymers and cross-linked high-performance compounds - for use in aerospace, alternative energy, automotive, healthcare, membranes, oil and gas, packaging, plumbing, semiconductors, wire and cable, and other industries.

Aonix Advanced Materials supplies turnkey UltraMaterials Solutions - ultra high performance composites together with production-ready Express high capacity molding machines - to global customers in the electronics, sporting goods, automotive, aerospace and energy industries.
MRC

MOSCOW (MRC) -- Qatar Petroleum (QP) and Zeon Corporation and Mitsui & Company, both Japan-based, have signed a memorandum of understanding (MoU) for the development of an integrated butadiene extraction and elastomer complex in Ras Laffan, reported GV.

Under the agreement, the partners will be undertaking a detailed feasibility study to evaluate the technical, commercial and economic aspects of the integrated world-scale butadiene and synthetic rubber/elastomer project.

The feedstock will come from the planned Al-Sejeel Petrochemicals Complex and the Al-Karaana Petrochemicals Complex, both of which are currently under development, as well as from the existing plant of Ras Laffan Olefins Company (RLOC).

Butadiene will be extracted from feedstock and then converted into high-value elastomers like styrene-butadiene rubber (SBR) and polybutadiene rubber (PBR) using Zeon’s state-of-the-art technology.

As MRC wrote before, Qatar Petroleum (QP) and Qatar Petrochemical Company (QAPCO) have recently signed the FEED contract with Tecnimont SpA for the Al Sejeel Petrochemical Complex, to be built in Ras Laffan Industrial City. The signing of the FEED contract for the project, in which QP and QAPCO own respectively 80% and 20% equity interest, marks a strategic milestone for the progress of the mega-petrochemical complex.

The complex's construction scheduled for completion in 2018. It will comprise the worlds largest mixed-feed steam crackers, and is designed to produce 2.2 million tpa of polymers, including polyethylene (PE) - high density polyethylene (HDPE) and linear low density polyethylene (LLDPE) - and polypropylene (PP) resins.

Qatar Petroleum is a state owned petroleum company in Qatar.
MRC

MOSCPW (MRC) -- BASF announced it is inaugurating a new plant in Yeosu, Korea to strengthen the supply of Ultrason polyarylsulfone, one of the company’s high performance thermoplastics, said the producer in its press release.

The new plant, with an annual production capacity of 6,000 metric tons, will better serve the growing market in Asia Pacific. The new plant is the first of its kind to be built outside of Germany and brings the company’s global capacity of Ultrason polyarylsulfone to 18,000 metric tons per year.

Ultrason is widely applied in the electronics, automotive and aerospace industries for the production of heat-resistant, lightweight components. Other popular Ultrason applications include membranes for water treatment, fittings for drinking water pipelines or food contact parts as in espresso machines, or microwave-proof dishes. Ultrason is also used in the production of carbon fiber composite materials.

As one of the top three electrical and electronic goods manufacturing countries in the world, Korea is well positioned to benefit from local availability and production of Ultrason. By locating the site in Yeosu, BASF will also be able to serve other major markets for Ultrason such as China and Japan.

Ultrason is the trade name for the BASF product range of polyethersulfone (Ultrason E), polysulfone (Ultrason S), and polyphenylsulfone (Ultrason P). The product can withstand temperatures up to 220 degrees centigrade without altering its properties, and possesses outstanding chemical stability.

As MRC informed before, SIBUR and BASF signed a long-term cooperation memorandum to supply additives used for polymer production and processing at SIBUR’s production facilities. The deal provides for supplies of additives used to produce polypropylene, polyethylene, synthetic rubbers, thermoplastic elastomers (TPE), and ABS plastics at SIBUR's production facilities, with BASF ensuring also technical support.

BASF is the world’s leading chemical company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas. We combine economic success with environmental protection and social responsibility. BASF had sales of EUR72.1 billion in 2012 and more than 110,000 employees as of the end of the year.
MRC

MOSCOW (MRC) -- Pavel Lyakhovich was appointed Managing Director and Head of SIBUR’s Plastics and Organic Synthesis Products Division, effective from 15 January 2014, reported the company on its site.

Prior to this appointment, he served as Director of SIBUR's Plastics and Organic Synthesis Products Division in charge of the ethylene and styrene business.

Mr Lyakhovich succeeded Sergey Merzlyakov, who had decided to pursue his career outside the company. Mr Lyakhovich was also elected to OOO SIBUR's Management Board, while Mr Merzlyakov resigned from the Board.

Lead by Mr Merzlyakov, the company's Plastics and Organic Synthesis Products division has carried out substantial work to strengthen SIBUR's market position and increase production efficiency. Under his leadership, the Division made several successful acquisitions, constructed two expandable polystyrene production lines in Perm, and launched a new BOPP-film production facility in Tomsk. Currently, SIBUR continues to execute several major investment projects in an effort to further modernize production and enhance competitiveness of this business segment.

As MRC wrote previously, in late December 2013, SIBUR sold its 100% stake in OJSC Plastik (Uzlovaya, Tula Region, Russia) to the group of private investors. The deal value totalled RUB 575 million. Production of geosynthetics (geogrids and nonwoven geotextiles), spinned off as OOO Plastik-Geosintetika (a joint venture between SIBUR and Leader Innovations Closed-End Venture Capital Fund) in 2010, was not included in the transaction and continues to operate as part of SIBUR Group.

SIBUR is a uniquely positioned vertically integrated gas processing and petrochemicals company. SIBUR owns and operates Russia’s largest gas processing business in terms of associated petroleum gas processing volumes, and is a leader in the Russian petrochemicals industry. As well as thermoplastic elastomers for the road construction sector, SIBUR also produces polymer-modified geosynthetics.
MRC