Sadara Chemicals losses widen to SAR 3 bln in H1

MOSCOW (MRC) -- Sadara Chemical Co.’s net loss widened in first half of 2017 to SAR 2.99 billion, from a loss of SAR 2.83 billion in the same period last year, due to startup costs and ramping up of the integrated facilities, said Argaam.

The company reported a net loss of SAR 1.59 billion in the second quarter versus a loss of SAR 1.49 billion in the same quarter last year, and a loss of SAR 1.4 billion in Q1 2017.

Loss per share for the six-month periods ended 30 June 2017and 2016 have been computed by dividing net loss for each period by the weighted average number of shares outstanding during such periods. The weighted average number of shares for the six-month periods ended 30 June 2017and 2016 is 2,872,686,464 and 1,785,562,170 respectively.

Gross sales revenue of the current quarter is SR. 1.31 billion compared to SR. 196million for the similar quarter last year with an increase of 570.3%. Gross sales for the current period amounted to SR. 2.17 billion compared to SR. 294 million for the similar period last year with an increase of 637%.

The shareholders equity (excluding minority interests) at the end of the period is SR. 15.84 billion compared to SR. 13.38 billion for the similar period last year with an increase of 18.4%.
MRC

MOSCOW (MRC) -- Netherlands-based distributor of speciality chemicals and ingredients IMCD is set to purchase Canadian and US speciality chemicals and ingredients distributor LV Lomas, said Chemicals-technology.

With offices in Toronto, Montreal, and Vancouver, LV Lomas will enable IMCD to increase its presence in Canada and improve its position in the US.

IMCD CEO Piet van der Slikke said: "This is an important step in the further development of IMCD’s North America region as it not only expands our geographical presence into Canada in all core markets but also further strengthens our US organisation and coverage."

LV Lomas chairman Rand A. Lomas said: "IMCD will enhance our ability to provide our customers with a more extensive speciality product portfolio and will further develop our depth of technical expertise and innovation. My family built LV Lomas over several decades into an organisation driven by teamwork, innovation, and a dedication to excellence in all that we do.

"This is a vision closely shared by IMCD and together we will become a market leader in North America for the sales, marketing and distribution of speciality chemicals and food and pharmaceutical ingredients."

The deal is expected to close at the end of this month. It is subject to customary regulatory review.
MRC

MOSCOW (MRC) -- Rinchem recently announced the expansion of its chemical distribution center in Pyeongtaek, South Korea, said Hydrocarbonprocessing.

The new site provides four additional warehouses capable of storing a wide variety of materials including: general commodities (non-DG), flammable, toxic, corrosive, oxidizer and miscellaneous dangerous goods with strict temperature requirements ranging from –30°C to 30°C. The new additions add 12,350 pallet positions to the Korea campus.

Each new warehouse will be optimized for efficiency and safety consistent with Rinchem's global standards. The new warehouses will boast a very narrow aisle (VNA) racking system with wire-guided forklift steering controls. Additionally, the Korea campus now operates the newest version of Rinchem's proprietary Chem-Star customer interface. The system update showcases a streamlined and easy-to-navigate customer interface granting access to inventory data in real-time.

Rinchem will host a grand opening event to celebrate the recent completion of this expansion project on the new Korea campus on Aug. 9. Rinchem executives and staff will be on site to participate in a ribbon cutting ceremony, remarks on the new expansion and site tours.
MRC

MOSCOW (MRC) — The Brazilian government is likely to adopt a quota system for ethanol imports, allowing 600 MM liters into the country per year free of tax and imposing a 20% tariff on volumes in excess of that quota, as per Hydrocarbonprocessing.

Eduardo Leao, Unica's executive director, told Reuters on the sidelines of a seminar in Sao Paulo that the new policy has been discussed within the government and should be approved in an extraordinary meeting of Brazil's foreign trade chamber Camex on August 23.

The Brazilian government is under pressure from sugar and ethanol producers, particularly from the politically influential Northeast region, to tax imports of the biofuel, which currently are free from any tariffs.

The proposal is aimed at curbing ethanol imports, almost all from the United States, which jumped more than 300% in the first half compared to similar period a year earlier, gaining market share from producers in the Northeast.

Leao said that according to the proposal being discussed, imports will remain free of taxes up to the 600 MM liters per year, unless they go above 150 MM liters in only one quarter, when the 20% tariff would also be imposed.

US groups representing ethanol producers, such as the Renewables Fuels Association, are against the imposition of taxes, saying they would go against Brazil's own longstanding view that tariffs would harm the development of a global ethanol industry.
MRC

MOSCOW (MRC) -- The August contract price of propylene was settled at the level of July in Europe. Because of that European producers rolled over July export prices for polypropylene (PP) for August delivery for CIS countries, according to ICIS-MRC Price Report.

Negotiations over August prices of European PP began last week, many market participants said European producers rolled over their export PP prices , despite the serious strengthening of the euro against the dollar.

Most European producers do not have restrictions for export delivery. Deals for August shipments of homopolymer PP were discussed in the range of EUR1,000-1,075/tonne FCA, which corresponds to the July level of prices.

At the same time, it is worth noting that a part of the producers after a week of negotiations went on reducing prices for EUR20-30/tonne in comparison with the initially announced price level.

Deals for copolymers of propylene (PP block copolymers) were done in the range of EUR1,100 -1,150/tonne FCA.
Negotiations over August shipments of statistical copolymers (PP random copolymers) were held in the range of EUR1,150-1,220/tonne FCA.
MRC