Borealis’ third quarter results improve in a continuously challenging market

(borealisgroup) -- Borealis, a leading provider of chemical and innovative plastics solutions, recorded a net profit of EUR 129 million for the third quarter of 2012 compared to EUR107 million in the same quarter in 2011. Overall, the company has delivered a net profit of EUR 380 million year to date, compared to EUR 448 million during the same period in 2011. Net debt was reduced by EUR 63 million in the third quarter of 2012, resulting in a gearing of 41%.

The Base Chemicals business and Borouge, Borealis’ joint venture in Abu Dhabi, continued to perform well in the third quarter of 2012, contributing significantly to the net profit.

Despite the ongoing challenging market conditions in the European marketplace, the polyolefins business improved its financial results compared to the same quarter last year, supported by a higher price environment.

Borouge, Borealis’ joint venture in the Middle East and Asia, continues to perform well, contributing to the overall performance of Borealis. The Borouge 3 expansion project in Abu Dhabi, UAE, is also progressing according to plan with some 23,000 contractor and sub-contractor personnel currently at site. The expansion is on track to increase the annual production capacity of Borouge’s integrated olefins/polyolefins site from the current 2 million tonnes to 4.5 million tonnes by mid-2014.

Borealis has announced on November 12, 2012 that it has reached an agreement to acquire the shares of DSM Plastomers B.V. and Exxon Chemical Holland Ventures B.V., each holding a 50% interest in DEXPlastomers V.O.F. in Geleen, The Netherlands, from DSM Nederland B.V. and ExxonMobil Benelux Holdings B.V. DEXPlastomers is a 50/50 Joint Venture ultimately owned by Royal DSM and ExxonMobil Chemical Company. The transaction is subject to customary approvals and notifications.
MRC

(fibre2fashion) -- A UAE-based major polymer and petrochemical trading firm has evinced interest in setting up a petrochemical complex in any of the Petroleum, Chemicals and Petrochemicals Investment Region (PCPIR) across India.

The UAE-based company is planning to set up a 150ktpa capacity petrochemical complex, worth nearly Rs 55bn (USD1m), by using foreign direct investment to produce caustic soda, ethylene, chlorine, PVC (polyvinyl chloride) and PVC compounds.

At present, Uniplas Petrochemical Ltd is exploring the option of setting up a greenfield petrochemical complex in the PCPIR’s located either in Gujarat, Orissa or any other PCPIR.

The proposed plant is expected to have a capacity of 150 kilo tons per annum and will produce polymers & textile finishing chemicals and is estimated to cost around USD1 billion and also export a few specialty chemicals.

Alongside India, the company is also exploring other locations in China and other countries, the source revealed. A back of the envelope calculation indicates that a project of this size could provide direct and indirect employment for between 5,000-7,000 people.

Speaking about the investments which PCPIRs have attracted till date, the source reveals, "As of date, no project has been finalised, but Gujarat has attracted a good number of proposals of which 1 or 2 are in the finalization stage, followed by Andhra Pradesh, Tamil Nadu, etc".
MRC

MOSCOW (MRC) -- In October, import of PET granulate to the Russian market kept decreasing. Last month, Russian companies purchased the material by 1,500 tonnes less compared to September, according to MRC DataScope.
Imports of PET granulate to Russia have been falling for the fourth consecutive month. In October, 8,500 tonnes of PET granulate arrived in the Russian market. Decline in import supplies in Autumn is no surprise since this is due to the global reduction of soft drinks and beer consumption.

Also, export volumes of the material decreased in October. Last month, 1,800 tonnes of bottle PET granulate were shipped to the foreign markets, which is by 2,900 tonnes less than in September. We remind that about 5,350 tonnes of PET were exported in October, 2011. Unfavourable macroeconomic situation in the European countries and decline in consumption related to this have resulted in impossibility for Russian makers to sell the material in the European market maintaining the necessary profit margin.

In January-October, 2012, about 133,000 tonnes of PET arrived in the Russian domestic market, down 47,5% year-on-year. This year, Russian converters were cautious with regard to making purchases in order not to make last year’s mistakes and avoid the surplus of the material and the finished preforms at their warehouses.

Also, Russian PET producers contributed to import substitution, providing a loyal pricing policy and the stability of the PET price offer this year. Imports might increase in November-December in anticipation of bottlers’ preparation to New Year holidays. However, this surge will be insignificant and, in general, it will not considerably influence the situation with poor sales by Asian PET suppliers in Russia.

MRC

(pressreleasefinder) -- Sabic has commissioned the construction of two sea going gas tankers powered by liquefied natural gas (LNG) to transport its olefins products, in anticipation of a European Union directive to drastically reduce sulphur emissions from vessels operating in the North Sea by 2015.

Switching to alternative fuels for ships, such as LNG, which is far more environment-friendly than traditional fuel oils is one of the solutions identified to meet the European Union directive.

SABIC’s two gas carriers will be used to transport olefins from a major plant on Teesside, England, to ports in North-West Europe and Scandinavia. SABIC is the first chemical company in the world to order gas carriers running on LNG.

Sabic is ranked among the world's largest petrochemicals manufacturers. It is the largest public company in Saudi Arabia. The comany manufactures chemicals and intermediates, industrial polymers, fertilizers and metals. It is currently the second largest global ethylene glycol producer. Among its products are propylene, paraxylene, styrene, vinyl chloride monomer.
MRC