SABIC incapable of meeting polymer orders of APAC and Middle Eastern customers

MOSCOW (MRC) -- Saudi Arabia's state-owned producer Sabic informed customers in Asia-Pacific and Middle East last week, of its inability to meet existing polyethlene (PE) and polypropylene (PP) orders for September because of a feedstock shortage, as reported by Plastemart.

Sabic on 15 September said petrochemical feedstock supplies will be curbed for its subsidiaries in the aftermath of attacks on two key oil installations in Saudi Arabia. The weekend attacks at the Abqaiq plant, the world's largest crude processing facility, and the Khurais oil field infrastructure forced state-owned Saudi Aramco to shut in 5.7mln b/d of crude output.

Customers in Asia are now weighing their options to meet their October requirements and making various enquiries to PE and PP producers in southeast Asia, South Korea, India and the US.

As MRC reported before, a number of Saudi Arabia's companies, such as Tasnee, Sadara, Advanced Petrochemical and Saudi Kayan, announced a curtailment of feedstock to their petrochemical plants, including PE and PP facilities, by an average of 30-50% due to the attacks on key Saudi Aramco facilities on Saturday.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,255,800 tonnes in the first seven months of 2019, up by 9% year on year. Shipments of all PE grades increased. At the same time, the estimated PP consumption in the Russian market was 796,120 tonnes in January-July 2019, up by 11% year on year. Shipments of PP block copolymer and homopolymer PP increased.

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) -- Imports of expandable polystyrene (EPS) to Kazakhstan remained in January-July 2019 at the last year's level, totalling 4,000 tonnes, according to MRC's DataScope report.

July EPS imports into the country slumped by 52% from June to 400 tonnes.

This figure was at 900 tonnes in June.

Whereas imports of material to Kazakhstan were 700 tonnes in July 2018.

Russian and Chine with the share of 65% and 33% in the total imports, respectively, were the main EPS importers to Kazakhstan.
MRC

MOSCOW (MRC) -- Overall imports of general purpose polystyrene (GPPS) and high impact polystyrene (HIPS) to Kazakhstan decreased in the first seven months of 2019 by 28% year on year to 3,780 tonnes, according to MRC's DataScope report.

This figure was at 5,100 tonnes in January-July 2019.

July imports of material into the country grew by 12% to 700 tonnes from 600 tonnes a month earlier. HIPS and GPPS imports into Kazakhstan were 1,100 tonnes in July 2018.

HIPS and GPPS are shipped to Kazakhstan mainly from Russia. Russia accounted for 61% or 2,700 tonnes in the total imports.
MRC

MOSCOW (MRC) -- Total SA cut production on the coker at its 225,500 barrel-per-day (bpd) Port Arthur, Texas, refinery on 19 September because of heavy lightning, reported Reuters with reference to sources familiar with plant operations.

Total cannot operate the crane that clears coke dumped from the 60,000 bpd coker during heavy lightning, the sources said. Running one train instead of two won’t overwhelm the coke pit.

As MRC informed before, in June 2019, Total started up a biodiesel refinery in La Mede in southern France using palm oil. The start-up of the 500,000 tons-per-year refinery was delayed several times.

Ethylene and propylene are feedstocks for producing polyethylene (PE) and polyprolypele (PP).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,255,800 tonnes in the first seven months of 2019, up by 9% year on year. Shipments of all PE grades increased. At the same time, the estimated PP consumption in the Russian market was 796,120 tonnes in January-July 2019, up by 11% year on year. Shipments of PP block copolymer and homopolymer PP increased.

Total S.A. is a French multinational oil and gas company and one of the six "Supermajor" oil companies in the world with business in Europe, the United States, the Middle East and Asia. The company's petrochemical products cover two main groups: base chemicals and the consumer polymers (polyethylene, polypropylene and polystyrene) that are derived from them.
MRC

MOSCOW (MRC) -- LyondellBasell, one of the largest plastics, chemicals and refining companies in the world, shut down its cracker in La Porte (Texas, USA) on 19 September because of the flooding, caused by the tropical storm Imelda, reported S&P Global with reference to the company's file sent to the Texas Commission on Environmental Quality (TCEQ).

According to the company's statement, this plant, which can produce 1,150,000 tonnes of ethylene per year, was shut last Wednesday when water entered a building containing electrical components and damaged critical process control equipment.

Imelda, which came ashore as a tropical storm on Tuesday near Freeport, Texas, and then parked above southeast Texas dumped more than 40 inches of rain in areas just southwest of Beaumont and more than 30 inches in the city from Monday through Friday, according to the National Weather Service. Beaumont and nearby Port Arthur, Texas, took 47 inches of rain two years ago when Hurricane Harvey pounded Houston and southeast Texas with unprecedented rainfall.

Houston had largely been spared Imelda's rains until Thursday, when storm bands slowly moved through the city, filling up bayous that drain into the Houston Ship Channel, pushing some out of their banks. Both airports shut down for the day, having taken 10 or more inches of water.

Ethylene and propylene are feedstocks for producing polyethylene (PE) and polyprolypele (PP).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,255,800 tonnes in the first seven months of 2019, up by 9% year on year. Shipments of all PE grades increased. At the same time, the estimated PP consumption in the Russian market was 796,120 tonnes in January-July 2019, up by 11% year on year. Shipments of PP block copolymer and homopolymer PP increased.

LyondellBasell is one of the largest plastics, chemicals and refining companies in the world. Driven by its employees around the globe, LyondellBasell produces materials and products that are key to advancing solutions to modern challenges like enhancing food safety through lightweight and flexible packaging, protecting the purity of water supplies through stronger and more versatile pipes, improving the safety, comfort and fuel efficiency of many of the cars and trucks on the road, and ensuring the safe and effective functionality in electronics and appliances. LyondellBasell sells products into more than 100 countries and is the world's largest producer of polymer compounds and the largest licensor of polyolefin technologies.
MRC