COVID-19 - News digest as of 29.04.2020

1. Portugese Galp sees further pandemic damage, third-quarter recovery still uncertain

MOSCOW (MRC) -- Portugal’s Galp Energia said the collapse in demand caused by the coronavirus pandemic was set to further impact its performance in the second quarter as it slashed its planned investment for this year by about half, according to Hydrocarbonprocessing. Galp, which reported a 72% slump in first-quarter net profit to 29 million euros (USD31 million) from a year earlier, said that although a recovery in the third quarter of 2020 remained uncertain, it was “prepared to adapt quickly if that is to happen sooner and stronger than expected”.

MRC

MOSCOW (MRC) -- Russia's output of products from polymers grew in March 2020 by 8.3% year on year. And this figure increased by 9% year on year in the first three months of 2020, reported MRC analysts.

According to the Russian Federal State Statistics Service, March production of unreinforced and non-combined films rose to 110,400 tonnes from 100,300 tonnes a month earlier. Output of films products grew in the first three months of 2020 by 15.5% year on year to 2965,200 tonnes.

Last month's production of non-porous boards, sheets and films increased to 34,200 tonnes from 32,000 tonnes in February. Thus, overall output of these products reached 94,700 tonnes in January-March 2020, up by 6.9% year on year.

March production of porous boards, sheets and films was 25,400 tonnes, up by 18.5% month on month. Overall output of these products reached 64,300 tonnes in the first three months of 2020, compared to 59,500 tonnes a year earlier.

March production of plastic bottles and flasks grew to 1,796,000 items from 1,553,000 items a month earlier. Overall output of these plastic products totalled 4,901,000,000 units over the stated period, compared to 4,947,000,000 units a year earlier.

Last month's production of polymer pipes, hoses and fittings was 53,900 tonnes versus 46,100 tonnes in February. Overall output of these products was 140,900 tonnes in January-March 2020, up by 27.7% year on year.

March production of sacks and bags from ethylene polymers reached 2,277,000,000 units, compared to 2,550,000,000 units a month earlier. Overall output of these plastic products totalled 6,711,000,000 units in the first three months of 2020, compared to 5,989,000,000 units a year earlier.

Last month's production of linoleum and floor coverings was 11,900,000 square metres, compared to 12,600,000 square metres in February. Overall output of these products totalled 33,300,000 square metres over the stated period versus 28,700,000 square metres a year earlier.

March production of plastic windows and door blocks reached 1,814,000 square metres and 68,400 square metres, respectively, versus 1,556,000 square metres and 65,300 square metres a month earlier. Overall output of these plastic products totalled 5,524,000 square metres and 196,500,000 square metres, respectively, compared to 4,033,000 square metres and 189,400 square metres a year earlier.
MRC

MOSCOW (MRC) -- Overall imports of expandable polystyrene (EPS) to Belarus grew in January-February 2019 by 23% year on year to 1,450 tonnes, according to MRC's DataScope report.

EPS imports into the county fell to 650 tonnes in February from 800 tonnes in January. Imports of material into the Republic of Belarus were 790 tonnes in February 2019.

Russia is the main EPS importer to Belarus.

Imports of Russian material to the Belarusian market rose in the first two months of 2020 by 22% year on year: from 650 tonnes in January-February 2019 to 800 tonnes. The share of Russian EPS imports in the total volume of deliveries to the country remained in January-February 2020 almost at the last year's level - 55%.

February shipments of Russian EPS to the region were 477 tonnes versus 318 tonnes in January, whereas imports of material were 469 tonnes in February 2019.

At the same time, the share of imports of Chinese material doubled last year: from 9% (1,000 tonnes) to 18% (2,300 tonnes).

MRC

MOSCOW (MRC) -- Indorama Ventures Public Company Limited (IVL), a global chemical producer, led by its Integrated Oxides and Derivative business (IOD), successfully adapted its facilities in the US to manufacture hand sanitizers, said the producer on its site.

These are hygiene products that help protect people from Covid-19 infection.

The initiative was a result of close collaboration between IVL’s experts in The Woodlands, Port Neches and Dayton, in the USA, Ankleshwar in India, and Botany in Australia provide more than 50 tons of sanitizers to government and public sectors throughout the USA. The company also expects to apply the same process to manufacture sanitizers at its international sites in order to help relieve the global shortage of essential supplies.

Mr Alastair Port, President of IOD, said "we are very proud of our teams, who have worked on a global platform, to rapidly bring these products to our local communities and front line workers, to help them fight the spread of this virus."

Mr. Dilip Kumar Agarwal, Chief Executive Officer of the PET and Feedstock Business at Indorama Ventures Public Company Limited, said, "In this moment, every sector wants to help battle the Covid-19 outbreak together. At IVL, apart from other forms of social contribution, our experts have collaborated to develop products with an aim to help relieve the stress of this pandemic. With our specialized knowhow, IVL facilities across the world are now developing their business to be able to produce hygiene necessities where possible. We aim to do our best and will explore what more we can do. We believe that a joint effort is needed to lead our society to overcome this crisis soon."

The Integrated Oxides and Derivative business (IOD) of IVL is a leading producer of surfactants used to manufacture home and personal care and agrochemical products, globally serving major brands. This enables the company to address a wider range of needs at this critical time.

As MRC reported earlier, in March 2020, Indorama Ventures Limited announced that the company decided to extend the pre-construction period of the purified terephthalic acid-polyethylene terephthalate (PTA-PET) plant in Corpus Christi, Texas through the end of 2020. Christi Polymers LLC (CCP), a joint venture among certain subsidiaries of Indorama Ventures Holding, Alpek and Far Eastern Investment (Holding) Limited was created to acquire and complete construction of an integrated PTA-PET plant in Corpus Christi. The completion of the project is expected to be in 2023.

As per MRC's ScanPlast report, Russia's March estimated PET consumption was 65,3700 tonnes, up by 1% year on year. The estimated PET consumption in the country decreased in January-March 2020 by 3% year on year to 175,170 tonnes.

Indorama Ventures Public Company Limited, listed in Thailand, is one of the world's leading petrochemicals producers, a global manufacturing footprint with 59 sites in 20 countries across Africa, Asia, Europe and North America. The company's portfolio is comprises necessities and high value-added (HVA) categories of polymers, fibers, and packaging. Indorama Ventures has approx. 24,000 employees worldwide and consolidated revenue of USD 11.4 billion in 2019.
MRC

MOSCOW (MRC) -- An Entergy sub station inside the Indorama plant in Port Neches had a 'transformer explosion' and subsequent fire on Tuesday evening, reported 12News with reference to a company spokesperson's statement.

The Indorama facility was formerly known as Huntsman.

The sub station 'bulk distribution yard' is in an Entergy 'easement' at the facility, and provides power to Port Neches, Groves and some of the plant according to the company.

The plant's fire brigade and the Port Neches Fire Department have been called to the scene. Some units have been 'taken offline,' but there is no danger to the facility or surrounding community, according to the spokesperson. No injuries have been reported.

Jefferson County Judge Jeff Branick says he heard the explosion at his house and could see black smoke rising. He says all personnel at the plant are accounted for.

As MRC informed before, Indorama Ventures Limited has recently announced that the company decided to extend the pre-construction period of the purified terephthalic acid-polyethylene terephthalate (PTA-PET) plant in Corpus Christi, Texas through the end of 2020. Christi Polymers LLC (CCP), a joint venture among certain subsidiaries of Indorama Ventures Holding, Alpek and Far Eastern Investment (Holding) Limited was created to acquire and complete construction of an integrated PTA-PET plant in Corpus Christi. The completion of the project is expected to be in 2023.

As per MRC's ScanPlast report, Russia's March estimated PET consumption was 65,3700 tonnes, up by 1% year on year. The estimated PET consumption in the country decreased in January-March 2020 by 3% year on year to 175,170 tonnes.

Indorama Ventures Public Company Limited, listed in Thailand, is one of the world's leading petrochemicals producers, a global manufacturing footprint with 59 sites in 20 countries across Africa, Asia, Europe and North America. The company's portfolio is comprises necessities and high value-added (HVA) categories of polymers, fibers, and packaging. Indorama Ventures has approx. 15,000 employees worldwide and consolidated revenue of USD 8.4 billion in 2017. The company is listed in the Dow Jones Sustainability Index (DJSI).
MRC