PVC prices in the world markets are growing

MOSCOW (MRC) -- PVC prices keep on growing in North America; in December along with growing contract prices for ethylene it is expected that the resin prices will grow also in Europe, according to MRC Price market reports.


The growth of USA suspension prices is caused by limited ethylene offer in the domestic market. Olefins lack is a result of non-scheduled shutdowns of crackers at some production sites in USA which entailed the reduction in volumes of ethylene production. North American suppliers offer PVC for the Russian market within the range USD 1.060 - 1.100/t, CFR Saint-Petersburgh, for shipment in December.

Along with a drop in the euro versus dollar rate, the capacity of European producers to compete with import PVC is improving. Besides, at year-end a lot of market players will reduce to the maximum the volumes of resin purchases in the outer markets. All these factors will ease the imports pressure on European producers. And the growth of contract price for ethylene EUR 27/t is unlikely to result in prices growth in December in Europe.


It is a comparatively balanced situation that is observed now in the Russian market of PVC. There are definite problems with resin shipment to the domestic market and considerable reduction in imports. Despite the general growth of resin prices in the external markets, the level of December prices for PVC from the Russian producers remained without changes in comparison to November.

MRC

Arkema announced its 2015 targets

(Plastemart) -- Arkema announced its 2015 targets and emphasizes its growth strategy for the next five years. At the end of this new development phase, in 2015, Arkema has the ambition to generate above ┬1 bln EBITDA, corresponding to 14% (1) EBITDA margin.


Since its spin off in May 2006, Arkema has implemented a transformation strategy, which will enable it to double the Group EBITDA in 2010 vs 2005. The Group cost structure was significantly improved and the business portfolio was successfully repositioned on high added value products with a better geographical footprint.


For the next five years, Arkema will accelerate its growth strategy with the ambition to build one of the global industry leaders. Innovation, faster growth in emerging countries and bolt on acquisitions will be the main components of this development project. In 2015, Group sales should total around ┬7.5 bln (1) versus around ┬5.8 bln in end 2010.


MRC


Petronas Chemicals shares close off highs on Malaysia debut

(ICIS) -- Petronas Chemicals Group (PCG) shares closed 2.1% higher on its trading debut on Friday, but off highs, as Malaysian shares succumbed to profit-taking. PCG surged by as much as 10% during the session but eventually settled at ringgit (M$) 5.31, up 11 sen, at the end of trading. The price change was based on the initial public offering (IPO) price of M$5.20 set for institutional investors.


Meanwhile, the benchmark FTSE Bursa Malaysia Kuala Lumpur Composite Index (KLCI) eased 4.44 points, or 0.30%, to close at 1,492.05. PCG was the most actively traded stock on Bursa Malaysia, with 637m shares changing hands, indicating investors' strong appetite for Asian big-capital stocks.


The company's $4.1bn (┬3.1bn) IPO was the largest to come out of Malaysia and out of southeast Asia to date, beating the $3.3bn offering of telecommunications firm Maxis, according to media reports.


The group comprises the 22 petrochemical-related businesses of state oil and gas firm Petroliam Nasional Bhd (Petronas). Its operations cover olefins, polymers, fertilizers, methanol and other basic chemical and derivative products. Based on production volumes, the company is the largest methanol and ethylene glycols maker in southeast Asia.


MRC


Equate Petrochemicals launches first green carbon project

(Plastemart) -- Equate Petrochemicals Co. has launched the Gulf state's first green carbon project which will use over 150,000 tpa of carbon dioxide (CO2). Under the scheme, Equate will capture CO2 emissions which will then be carried by a pipeline and injected into a special plant under construction. Operations are expected to commence in 2012 and will reduce CO2 emitted by Equate by 60-70% annually.


Greencarbon Company, a private Kuwaiti firm, is building the plant at a cost of US$65 mln (┬49 mln) and CO2 will be used in food and beverage industries. The company also launched another environment-friendly scheme -- Plant Water Recycle Project, with the aim to recover 80% of Equate process water which can be used for irrigation


MRC


Explosion at PVC plant in north China

(Plastemart) -- An explosion at a polyvinyl chloride plant in northern China killed four people and injured dozens of others, according to government reports. The accident took place at the Yushe Chemical Industry complex.


In operation since the 1970s the plant has capacity to produce 400,000 tpa of PVC from coal-derived acetylene. The acetylene is generated by hydrolysis of calcium carbide, which is in turn produced from lime and coal-derived coke. China produces most of its PVC via the acetylene process because coal is abundant in the country.


MRC