PTA plant to be shut by Yisheng Petrochemical

MOSCOW (MRC) -- Yisheng Petrochemical is in plans to shut its No.2 purified terephthalic acid (PTA) plant, said Apic-online.

A source in China informed that the plant is planned to be shut in mid-June 2014. The shutdown has been attributed to negative PTA margins.

Located in Dalian, Liaoning province in China, the plant has a production capacity of 3.3 million mt/year.

The company has four other PTA units in Ningbo. No 1 and No 2 PTA units, each with a capacity of 650,000 tonnes/year.

Yisheng is the largest PTA producer in China, with a total PTA output capacity of 13.25m tonnes/year, including a new 2.25m tonne/year unit which launched in April this year in Ningbo.
MRC

PolyOne expands healthcare portfolio with specialty medical solutions of Biometrics

MOSCOW (MRC) -- PolyOne Corporation, a premier global provider of specialized polymer materials, services and solutions, has announced that Biomerics has chosen PolyOne Distribution as the exclusive distributor for its Quadrathane, Quadraflex, and Quadraplast medical-grade thermoplastic polyurethanes in North America, as per the company's press release.

"Biomerics' Quadra biomaterials are an excellent complement to our healthcare portfolio. These highly biocompatible polymers will enhance our ability to help our customers accelerate speed-to-market, meet or exceed product performance requirements and navigate regulatory approvals more confidently," said Mark Crist, president, PolyOne Distribution.

Thermoplastic polyurethanes from Biomerics are used in a variety of medical device applications such as vascular access catheters, introducers, drainage catheters, interventional radiology devices, fluid management, coatings, balloons and wound care. They are available in a wide range of colors and offer a spectrum of performance characteristics.

As MRC informed earlier, in February 2014, PolyOne Corporation announced the addition of new capabilities to its OnColor HC Plus portfolio. These expanded offerings add medical-grade LDPE, nylon, PEBA, PS and PVC to the globally available palette of specialty healthcare colorants, and are pre-certified to meet or exceed biocompatibility requirements for ISO 10993 and/or USP Class VI protocols.

PolyOne Corporation, with 2013 revenues of USD3.8 billion, is a global provider of specialized polymer materials, services, and solutions. PolyOne is a provider of specialized polymer materials, services and solutions with operations in specialty polymer formulations, color and additive systems, polymer distribution and specialty vinyl resins.

Biomerics, LLC is an innovative medical polymer solution provider to the medical device market. Biomerics specializes in biomedical materials, compounding, injection molding, extrusion, coating, and medical device fabrication. Biomerics manufactures its materials in ISO 13485 and FDA registered facilities in Salt Lake City, UT.
MRC

BASF completes divestiture of PolyAd Services business to Edgewater Capital Partners

MOSCOW (MRC) -- BASF has successfully closed the previously announced transaction to divest its PolyAd Services business unit to Edgewater Capital Partners, L.P., a private equity firm based in Cleveland, Ohio, as per the company's press release.

PolyAd Services is a stand-alone global business that offers innovative specialty blends and services to solve additive incorporation problems for the plastics compounding and converting industry globally. The business serves a wide spectrum of plastic applications in industries, such as automotive, building and construction, packaging and electronics.

Edgewater Capital Partners intends to further grow PolyAd Services building on the expertise of the team.

BASF will move forward with increasing focus on its core Plastic Additives business areas: light stabilizers, antioxidants and customer specific blends (CSBs).

"The sale of PolyAd Services strengthens our ability to better serve the global market as the leader of plastic additives worldwide," said Diego Lopez Casanello, Senior Vice President, Performance Chemicals North America.

As MRC wrote before, in late February 2014, BASF signed a contract to divest its liquid masterbatch business in Clermont de l’Oise, France, to Audia International, a large global supplier of polyolefins and color masterbatches. The transaction is expected to close in mid 2014.

BASF is a leading manufacturer, supplier and innovation partner of additives for the plastics industry such as ultraviolet (UV) light stabilizers, antioxidants and process stabilizers, and other additives. BASF had sales of about EUR74 billion in 2013 and over 112,000 employees as of the end of the year.
MRC

PS plant planned to be shut by Toyo Styrene

MOSCOW (MRC) -- Toyo Styrene, a Denka subsidiary, is in plans to shut a polystyrene (PS) plant in June 2014, said Apic-online.

A source in Japan informed that the plant is likely to be shut in mid-June. The exact schedule and duration of the shutdown could not be ascertained.

Located in Chiba, Japan, the plant has a production capacity of 132,000 mt/year.

As MRC wrote before, Toyo Engineering Corporation has been awarded a contract to build a large gas chemical complex for State Concern "Turkmengas", in collaboration with Hyundai Engineering Co., Ltd., Hyundai Engineering & Construction Co., Ltd., and LG International Corporation of Korea. The complex, TOYO’s first project in Turkmenistan, is scheduled to be completed in 2018.

Toyo Styrene, a joint venture between Denki Kagaku (50%), Nippon Steel Chemical (35%) and Daicel Chemical (15%). The company operates two PS plants in Chiba - a 130 000 tonne/year unit and an 80 000 tonne/year facility - and a 50 000 tonne/year unit in Himeji City, Hyogo, Japan.
MRC

Petrochemicals remain Barito priority despite continued losses

MOSCOW (MRC) -- Publicly listed diversified giant Barito Pacific (Indonesia) will continue with the expansion of its petrochemical wing, Chandra Asri Petrochemical, despite the business having been booked continual losses in the past few years, as per GV.

Barito Pacific director Henky Susanto said that the firm’s revenue was estimated to rise by about 8% to hit USD 2.7 billion this year, compared to USD 2.52 billion last year, 96 % of which would be contributed by Chandra Asri.

"To achieve this year’s target, we plan to disburse USD 135 million in capital expenditure, of which about USD 120 million will be used to finance our petrochemical business," he told reporters.

Barito Pacific, which is owned by local tycoon Prajogo Pangestu, is currently working on two petrochemical investment projects, worth USD 815 million, which aim to be completed by 2017.

The first is via Chandra Asri, which has reached a deal with French tire maker Compagnie Financiere du Groupe Michelin for a USD 435 million synthetic rubber plant.

The two entities agreed last year to establish a joint venture that would be 55% owned by Michelin and 45% by Chandra Asri’s wholly owned subsidiary, PT Petrokimia Butadiene Indonesia (PBI).

Construction of the synthetic rubber plant is expected to be launched in early 2015 and completed within two years.

Meanwhile, the second project also involves the chemical subsidiary expanding the capacity of its naphtha cracker plant in Cilegon, Banten, which is expected to be finished next year. The overhaul, which will include the purchase of new machinery, will cost approximately USD 380 million.

The expansion plans will enable the company to increase its production capacity of ethylene, propylene, mixed C4 and pygas by more than half for each.

As MRC wrote previously, in March 2014, Moody's Investors Service, changed the outlook of Chandra Asri Petrochemical Tbk (CAP), the country’s largest petrochemical producer, to stable from negative. Concurrently, Moody's affirmed CAP's B2 corporate family rating (CFR). The change in rating outlook to stable reflects our expectations of an improved operating environment in 2014 relative to the cyclical trough which meaningfully depressed CAP's margins and cash flows in 2012. CAP's operating performance, which improved substantially in 2013, is expected to generate mid to high single digit EBITDA margins in 2014 bolstered by earnings from its new butadiene plant, which became operational in Q4 2013.
MRC