PE production in Belarus rose by 9% in H1 2018

According to the National Statistics Committee of Belarus, the local LDPE producer - Polymir - increased capacity utilisation in June and produced slightly over 5,600 tonnes of polyethylene (PE) versus 3,400 tonnes a month earlier. Thus, Polymir's total LDPE output was slightly over 31,000 tonnes in January-June 2018, compared to 28,500 tonnes a year earlier.

As reported earlier, Polymir shut down its LDPE production for a scheduled overhaul from 5 May to 20 May.

The Belarusian producer also plans to reach full capacity utilisation at its PE production by late November. Because of the fire at the ethylene unit in June 2016, Polymir was forced to reduce its capacity utilisation at LDPE production by almost two-fold.

Polymir (part of Naftan) is Belarus' largest petrochemical company, producing a wide range of chemical products, such as low density polyethylene (LDPE), acrylic fibers, products of organic synthesis, hydrocarbon fractions, etc. Polymir was founded in 1968. The producer uses technologies of the largest foreign companies from Great Britain, Japan, Germany, Italy (Courtaulds, Asahi Chemical Co. Ltd, Kanematsu Gosho, SNIA BPD, etc.), as well as the developments of scientific research institutes and design institutes of the CIS countries. The plant's annual production capacity is 130,000 tonnes.

MRC

MOSCOW (MRC) - Gazprom neftekhim Salavat resumed production of polystyrene (PS) on 26 July after a period of scheduled maintenance works, according to the ICIS-MRC Price Report.

Market players said they do not expect the first lots of material to enter the market until the end of next week. The plant will need some time to reach a stable quality of the granulate.

Polystyrene by production of GNS was practically absent in the Russian market in July. Small volumes of free PS from Gazprom neftekhim Salavat were sold at higher prices than market ones.

The annual production capacity of high-impact polystyrene (HIPS) and general purpose polystyrene (GPPS) at the plant at GNS totals 42,200 tonnes per year.

As it was previously reported, the plant's capacities were shut for planned scheduled maintenance on 1 July.

OAO "Gazprom neftekhim Salavat" (formerly OAO "Salavatnefteorgsintez") is one of the leading petrochemical companies in Russia, carrying out a full cycle of processing hydrocarbon material. The list of products manufactured by the plant includes more than 140 items, including 76 grades of the main products: gasoline, diesel fuel, kerosene, fuel oil, toluene, solvent, liquefied gases, benzene, styrene, ethylbenzene, butyl alcohols, phthalic anhydride and plasticizers, polyethylene, polystyrenes, silica gels and zeolite catalysts, corrosion inhibitors, elemental sulfur, ammonia and urea, glycols and amines, a wide range of household products made of plastics, surfactants and much more.
MRC

MOSCOW (MRC) -- Talks on the potential acquisition of a stake in Saudi Basic Industries Corp are taking place solely between national oil firm Saudi Aramco and the kingdom’s top sovereign wealth fund, reported Reuters with reference to Sabic’s chief executive.

"Hard to expect anything in this regard - Aramco-PIF talks are between an owner and a future investor," Yousef al-Benyan told a news conference. "I can assure you we have trust in our regulators."

This month, Aramco confirmed a Reuters report that it was working on the possible purchase of a "strategic stake" in SABIC from the Public Investment Fund.

JPMorgan and Morgan Stanley have been picked to advise on Aramco’s plan to buy up to a 70 percent stake in the petrochemical maker, sources familiar with the matter said.

As MRC wrote before, in March 2018, Wood was selected to develop the world's largest fully integrated crude oil to chemicals (COTC) complex in the Kingdom of Saudi Arabia, on behalf of Saudi Aramco and SABIC as the first PMC contractor.

Saudi Aramco is an integrated oil and chemicals company, a global leader in hydrocarbon production, refining processes and distribution, as well as one of the largest global oil exporters. It manages proven reserves of crude oil and condensate estimated at 261.1bn barrels, and produces 9.54 million bbl daily. Headquartered in Dhahran, Saudi Arabia, the company employs over 61,000 staff in 77 countries.

Saudi Basic Industries Corporation (Sabic) ranks among the world's top petrochemical companies. The company is among the world's market leaders in the production of polyethylene, polypropylene and other advanced thermoplastics, glycols, methanol and fertilizers.
MRC

MOSCOW (MRC) -- BASF’s specialty polyamide Ultramid® Deep Gloss has been awarded the German Innovation Award 2018 in the category "Materials and Surfaces", as per the company's press release.

The award is presented by the German Design Council to recognize products from different industries that offer additional benefits compared to previous solutions. Introduced on the market at the end of 2017, Ultramid® Deep Gloss combines the chemical resistance of semi-crystalline polyamides with the high gloss and depth of view of amorphous plastics. It is therefore particularly suitable for automotive interior components which are high-gloss and yet at the same time resistant without coating.

Components made of Ultramid® Deep Gloss have a piano-black, high-gloss surface that for the first time does not require an additional, elaborate protective coating. The specialty polyamide can be used to make UV, scratch and chemically resistant high-gloss surfaces with an exciting interplay of light and shadow. It allows designers to realize unusual textures such as ripples, waves, hammer finish, lines and diamonds with a piano-black look, or structure surfaces with haptic design elements – into an integrated, functional design for the autonomous driving concepts of the future.

Ultramid® Deep Gloss is suitable for components such as air vents and decorative trims, inlays in car doors, central consoles or dashboards. The requirements of the automotive industry regarding emissions and odors were also taken into account during the development. During processing, the new BASF polyamide offers interesting cost saving potentials as it is done without vario-thermal mold technology and there is no need for the components to be coated.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries. BASF generated sales of about EUR58 billion in 2016.
MRC

MOSCOW (MRC) -- Saudi Basic Industries Corp (SABIC), the world’s fourth-biggest petrochemicals company, said on Sunday it expects positive growth in the second half of this year, backed by an increase in production and enhanced global economic outlook, as per Reuters.

The comments came after SABIC reported an 81 percent leap in second-quarter net profit, citing higher selling prices and a jump in sales volumes.

The first half of 2018 was “very positive” and SABIC expects the second half of the year to be “equally positive,” CEO Yousef al-Benyan told a news conference.

SABIC has been a focus of investor attention after Reuters reported earlier this month that Saudi national oil giant Aramco aimed to buy a stake in SABIC, possibly taking the entire 70 percent holding owned by Saudi Arabia’s sovereign wealth fund, Public Investment Fund (PIF). Aramco subsequently confirmed the report.

Benyan said on Sunday that talks on the potential acquisition of a stake in his company are taking place solely between Aramco and PIF. "Hard to expect anything in this regard — Aramco-PIF talks are between an owner and a future investor,” Yousef al-Benyan told a news conference. “I can assure you we have trust in our regulators."

SABIC posted a net profit of 6.70 billion riyals ($1.79 billion) in the three months to June 30, up from 3.71 billion riyals in the year-earlier period, beating average analyst forecasts of a 5.8 billion riyals net profit.

Benyan said the company’s production rose by about 1.5 million tonnes in the first half of the year and is expected to rise by three million tonnes by year-end.

Quarterly sales climbed 26 percent from a year earlier to 43.28 billion riyals, and were up three percent from the previous quarter.

SABIC shares edged down 0.6 percent by 0905 GMT, dragging the Saudi index 0.9 percent down, but the stock is richly valued at over 20 times trailing earnings.

SABIC’s results are closely tied to oil prices and global economic growth because its products — plastics, fertilisers and metals — are used extensively in construction, agriculture, industry and the manufacturing of consumer goods.

The petrochemical giant has plans to expand its presence in global markets; specifically in North America, China and North Africa, Benyan said, adding that the company is looking at various options, without giving further details.

In Europe, the company is still committed to its investment in Clariant, and is awaiting antitrust approvals for acquiring a 25 percent stake in the Swiss speciality chemical maker which was announced in January, Benyan said.

Earlier this month, Clariant CEO said his company’s update on its ties with SABIC is likely to be delayed as antitrust approvals take longer than expected.
MRC