Europe delta between LDPE and commodity LLDPE at all-time high

(ICIS) -- The gap between low density polyethylene (LDPE) and C4 linear low density polyethylene (LLDPE) is at an all-time high, market sources said on Thursday.


⌠We are seeing a difference of about ┬150/tonne ($205/tonne) and even more between the two grades, said a trader selling both polyethylene (PE) grades.


A more traditional price gap between LDPE and C4 LLDPE had been around ┬50/tonne, with LDPE commanding a premium. This delta had been relatively static for several years, before imports of LLDPE started to have an effect in Europe in the third quarter of 2010.


The new price differential was due to the double effect of LDPE prices strengthening and LLDPE prices weakening due to the increased availability of imports: several sources now felt that this would be the new order in future PE pricing.


MRC


Newly-formed Coraltech buys Coralfoam patents

(European Plastics News) -- Newly-formed UK-based company Coraltech has acquired all the patents relating to the Coralfoam injection molding technologies, which it claims hold big potential in automotive and packaging lightweighting.


The patents include the use of the Coralfoam process in open-expansion, core-back and gas-in-melt injection moulding applications. They are valid for a further seven years and were acquired from Im-Pak Technologies, also based in the UK, earlier this year.


Coraltech is also working with Coralfoam process inventor Peter Clarke in development of a new lightweight selectively-foamed PP soup pot design for a major UK retailer. Early indications show a potential weight reduction from 27g to 19g.


MRC


Saudi Aramco and Dow Chemicals JV to favour local Saudi Arabian contractors

(Plastemart) -- The US$15 bln joint venture between Saudi Aramco and Dow Chemicals to be located at Jubail is on track and is expected to favour Saudi Arabian contractors by allocating 30% of the construction budget in their favour.


This petrochem JV that has endured a few setbacks in the past, looks ready to move forward. Aramco is talking to contractors to find out unit rates and costs as it looks towards the construction phase of the huge complex.


MRC


NOVA to sell its share of styrenics JV to INEOS

(ICIS) -- NOVA Chemicals plans to sell its share of joint venture INEOS NOVA to INEOS in the first quarter of 2011, the Canadian producer said on Friday. ⌠On October 31, 2010, we and INEOS entered into an agreement providing for the acquisition by INEOS of 100% of our equity interest in the INEOS NOVA joint venture, NOVA said in its third-quarter earnings announcement.


⌠We expect the transaction to close in the first quarter of 2011, subject to receipt of regulatory approvals, required consents and other customary closing conditions. NOVA though did not disclose a sales price for its part of the styrene and styrene polymers producer.


The joint venture was created in 2005 and was expanded in 2007 to include North American polystyrene (PS), performance products and styrene monomer.


INEOS NOVA produced $2.1bn (┬1.5bn) in revenue in 2009 and has 1,170 employees, according to its website. It has 11 plants in six countries.


MRC


Teijin's first high-performance PE facility to commence production in Netherlands

(Plastemart) -- Teijin Limited's first high-performance polyethylene (HP-PE) unit is to commence commercial production in Emmen, the Netherlands, by H2-2011. Teijin plans to grow its HP-PE business quickly through innovation and market cultivation, targeting a global market share of 15-20% by 2015.


HP-PE, which generally comes in the form of fibers or tapes, is produced with ultra-high-molecular-weight polyethylene polymers. Being highly resistant to impact, cutting, wear and chemicals while offering outstanding toughness and strength, HP-PE has a wide range of applications, including reinforced plastics, protective materials, ropes, nets and medical materials.


Currently, Teijin produces limited amounts of HP-PE at pilot plants in the Netherlands and Japan. With the successful establishment of viable mass-production technologies and new production processes, as well as the required product quality on a mass-production basis, Teijin has decided to move forward with its commercial production of HP-PE.


MRC