Europe MEG producer targets ┬70/tonne increase in January

(ICIS) -- A Europe-based producer of monoethylene glycol (MEG) is targeting an increase of ┬70/tonne ($92/tonne) in the January contract price, up from December's ┬975/tonne, because of rising feedstock costs and tight supply, a source with the producer said on Thursday.


Ethylene needs to jump, and I also see MEG increasing into the mid-┬1,000/tonne, so a further significant increase of ┬70/tonne. Product is tight, the source said.


Upstream ethylene in Europe was finely balanced. Price ideas for January centred on an increase of ┬80-100/tonne, based on firm crude and naphtha values, as well as robust demand. The December ethylene price settled at ┬1,005/tonne FD (free delivered) NWE (northwest Europe).


The MEG market has also been finely balanced. As a net importer, Europe has been reliant on imports during a time of rising prices in other regions.


Customers remained unhappy about the ┬70/tonne hike implemented from November to December, and they were against seeing further increases in January. They cited decreases in the Asian contract price nominations as a reason to curb calls for an increase in Europe.


MRC

Clariant to open R&D facility in Frankfurt, Germany

(Plastics News) -- Clariant AG is expanding its global R&D activities at its site in Frankfurt. The new 23,000-square-meter Clariant Innovation Centre is due to be completed by the end of 2012. It will provide space for 500 people.


The planned facility, which will be located in the Frankfurt-Hochst Industrial Park and represents an investment of more than 50 million euros, will cooperate with all of the R&D satellite sites in Gendorf, Germany; Lamotte, France; and Suzano, Brazil, as well as 40 application centers around the globe.


⌠The goal is to establish Clariant as an innovation leader in the field of specialty chemicals within the next few years, said Hariolf Kottmann, CEO of Muttenz, Switzerland-based Clariant.


MRC

DSM Engineering Plastics has launched Akulon Fuel Lock, a mono-polyamide 6 technology

(DSM) -- DSM Engineering Plastics has launched a unique new material that can make a significant contribution to air quality. Akulon Fuel Lock, a mono-polyamide 6 technology, dramatically reduces evaporative emissions from the fuel tanks of non-road outdoor equipment and vehicles with small, spark-ignition engines.


In fact, tests of a tank with a nominal 2 mm wall thickness molded from Akulon Fuel Lock showed an exceptionally low evaporative emission rate less than 20 percent of the US Environmental Protection Agency (EPA) regulation limit.


Such ultra-low emissions not only comply with tough agency regulations, but also enable thin-wall designs that reduce system costs. Akulon Fuel Lock further supports sustainable practices by avoiding fluorination, a traditional barrier technology for high-density polyethylene (HDPE) that can pose environmental risks.


The new Akulon material for injection and blow molding applications provides outstanding resistance to permeation right from the container, without the need for additives or post-molding treatments. As a mono-material, it simplifies processing, compared to expensive multi-layer fabrication technologies.


MRC

Dow Chemicals to invest US$67 mln in 150,000 tpa propylene glycol plant

(Plastemart) -- Dow Chemical Co plans to invest US$67 mln to set up a 150,000 tpa propylene glycol plant in the eastern province of Rayong. Dow Chemical, which has five propylene glycol plants, has invested about 142.4 billion baht in Thailand, including its own investments and joint ventures with Siam Cement Pcl. Apart from Thailand, Dow Chemical has five propylene glycol plants in North America, Germany.


MRC

German blow molding machinery maker Kautex to invest in a new Technical Center

(Plastics News) -- German blow molding machinery maker Kautex Maschinenbau is to invest almost 2 million euros in a new Technical Center at its Bonn facility as part of a package of production investments designed to lift capacity by close to 50 percent over the next two years.


According to Kautex CEO Olaf Weiland, the company plans to begin construction of the new 1,500-square-meter technical center in August. The project will enable it to convert its existing technical center to production space; it currently rents 1,500 square meters of top-up floor space on a separate site.


The investment plans underline the strong recovery in the company's blow molding machinery markets this year. Weiland said the company expects to end 2010 with total sales of around 70 million euros, of which a little more than 52 million euros is machine sales.


MRC