PetroVietnam to construct the second refinery in the country

(hydrocarbonporcessing) -- PetroVietnam, state-run Vietnam Oil and Gas Group, has recently announced that it is going to construct the second oil refinery in the country. The refinery could cost USD8-10 billion, as per PetroVietnam estimations.

However, there are still issues to be resolved before work can begin. PetroVietnam Chairman Phung Dinh Thuc didn't clarify what the issues are but said the foreign investors in the project must take careful steps in the wake of difficult world economic conditions.

Plans to build the 200,000-bpd Nghi Son refinery in Thanh Hoa province by investors from Kuwait, Japan and Vietnam have been delayed several times.

"We're still in talks and haven't made a final investment decision," a spokeswoman for Idemitsu Kosan Co., one of the partners in the project, said Thursday.

Idemitsu Kosan and Kuwait Petroleum International each hold a 35.1% stake in the planned refinery, to be built 180 kilometers south of Hanoi, while PetroVietnam and Mitsui Chemicals own 25.1% and 4.7%, respectively. KPI is a unit of state-owned Kuwait Petroleum.
MRC

(plastemart) -- The US, Houston-based Kraton Performance Polymers Inc. has exited its joint venture deal with Taipei, Taiwan-based Formosa Petrochemical Corp. (FPCC), seeking instead to expand hydrogenated styrenic block copolymer (HSBC) manufacturing capability in Asia on a stand-alone basis.

Kraton opted not to extend the previously announced Framework Agreement with FPCC, which expired Sept. 30. The agreement had governed the formation of a proposed 50/50 joint venture to build, own and operate a 66 mln lb HSBC plant at FPCC’s petrochemical site in Mailiao, Taiwan, as MRC reported earlier this year.

The project was delayed, first by the wait for environmental permit approval, Kraton said. After the permit was finally approved in July, FPCC considered the conditions to be too restrictive and limiting on its overall operation in Mailiao. However, an Oct. 11 report from Taiwan’s Economic Daily said FPCC was going to file an appeal by Oct. 12, after the environmental protection authorities once again rejected FPCC’s proposal and indicated additional restrictions.

Kraton Performance Polymers, Inc. is a leading global producer of engineered polymers, including styrenic block copolymers (SBC). The company is the original inventor of styrenic block copolymer chemistry in the 1960s. The company has a broad portfolio of value-enhancing polymers that are used in a wide variety of applications including consumer and personal care items, adhesives and coatings, electronics, medical supplies, automotive components, and paving and roofing materials.
MRC

MOSCOW (MRC) -- This year, Russian companies have increased production of plastic products. Over the past nine months, the output grew by 10% year-on-year. The largest increase accounts for plastic pipes production, according to MRC ScanPlast.

As per Rosstat, the year-to-date production of plastic products increased by 10% year-on-year. Production of plastic pipes, hoses and fittings has been growing most rapidly this year.

In September, the production of plastic pipes, hoses and fittings made about 78,900 tonnes. In January-September, the total output of plastic pipes, hoses and fittings by Russian plants made about 528,4000 tonnes, up 26% year-on-year.

Last month, the production volume of plates, sheets, films and plastic strips fell to 74.600 tonnes, while in August this index made about 75,900 tonnes. Over the past nine months, 617,200 tonnes of plates, sheets, films and plastic strips were produced, up 10,6% year-on-year.

The production of windows and window profiles, plastic windowsills made about 2,7m m2 in September. In January-September, the total production volume of plastic windows and windowsills made about 17,1m m2, up 3,2% year-on-year.
MRC

MOSCOW (MRC) – The tightened supply of Permian and Asian expandable polystyrene (EPS) in the market resulted in an increase of price quotations from suppliers, as per MRC analysts.

Last week it was officially launched the second production line of expandable polystyrene in Perm, which increases annual production capacity of Sibur-Khimprom to 100,000 tonnes.

On expectations of the additional volumes of the Permian material in the market traders have significantly cut the import of Asian EPS in recent months. Thus, in September, the volume of imports fell to 6,700 tonnes, down 42% from July 2012.

At the same time, according to Russian buyers of Alfapor, in October, there were problems with shipments of material. Shipped volumes are below the agreed level, which contributes to the market speculations about possible technical problems at the production.

On the back of the low stocks of Asian feedstock, as well as the limited supply of the Permian EPS, the price of the material is increasing. Thus, traders have increased the cost of Asian EPS to Rb76,000-78,000/tonne. The price of 301 and 401 grades of Alfapor increased from Rb72,000/tonne in September to Rb74,000/tonne in October. More information you can find in ICIS-MRC Price Report.

MRC

MOSCOW (MRC) -- Russian makers reduced the production volume of caustic soda to 84,400 tonnes in September, down 8% from August. The decline in production was caused by scheduled and unscheduled outages at two major production sites, according to MRC ScanPlast.
Last month, the total output of caustic soda (converted into 100% of the main substance) by Russian producers dropped by 8% compared to August level and made about 84,400 tonnes.

The reduction of caustic production in September was caused by a scheduled outage for maintenance at SayanskKhimPlast and unscheduled outage at Kaustik (Sterlitamak).

In Q3 2012, the total output of solid caustic soda made about 52,000 tonnes, while Kaustik (Volgograd) and Kaustic (Sterlitamak) produced about 33,300 tonnes and 18,700 tonnes, respectively.

In general, in January-September, the total output of caustic soda in Russia made about 806,000 tonnes, up 5,5% year-on-year.

MRC