PTT offered Pertamina to join the Indonesia refinery study

MOSCOW (MRC) -- PTT Global Chemical, Tailand's leading oil and petrochemical conglomerate, has offered to partner Indonesian state-owned oil company PT Pertamina in a feasibility study to explore the potential for a new refinery project in Indonesia, reported Hydrocarbonprocessing.

After Pertamina chooses its partner, the study will be conducted to determine production capacity, investment details, and a timeframe, said Pailin Chuchottaworn, CEO of PTT, the parent of PTT Global Chemical.

PTT sees investment opportunities in Indonesia's energy sector given its huge population and potential demand, he said. As MRC informed earlier, the company will invest in Indonesia and Vietnam, as both countries have growth potential and purchasing power in the Association of Southeast Asian Nations (Asean). In addition to the investments, the company desires to increase investment in Indochina, particularly in Myanmar. Besides, PTT Global plans to make Thailand the world's bioplastic production hub by joining with two partners: Mitsubishi of Japan and NatureWorks, a subsidiary of US-based Cargill.

Separately, PTT has opened a representative office in Indonesia to facilitate the export of its products to the country, said Mr. Pailin.

Incorporated in late 2011 through a merger of PTT Chemical PCL and PTT Aromatics and Refining PCL, PTT Global Chemical has petrochemical capacity of 8.2 million tpy of olefins and aromatics and refining capacity of 280,000 bpd.
The Polymer product business produce a wide range of plastic products for use in various industries. Among the main products are HDPE, LDPE, LLDPE, PS.
MRC

MOSCOW (MRC) -- Solvay has reorganized its business structure following completion of the integration process for the recently acquired Rhodia, reported Chemweek with reference to Jean-Pierre Clamadieu, chairman of Solvay.

The company also unveiled its new logo and confirmed that the Rhodia name would disappear in all markets with the exception of in Brazil. Solvay is spending EUR10 million (EUR13 million) in the next 2 years to rebrand the organization. As a part of this process, 165 plants will be rebranded to reflect the new logo.

The new structure comprises five clusters: consumer chemicals, advanced materials, performance chemicals, functional polymers, and corporate business and services.

We remind that, as MRC reported earlier, Solvay Specialty Polymers and Rhodia Engineering Plastics started production at their new EUR 21 million compounding plant, in Changshu, Jiangsu province, in summer 2012, months ahead of schedule. It will serve the Chinese markets for electrical and electronics, wire and cable, automotive, consumer, and industrial applications. Besides, Solvay is building a new EUR 120 million production plant for fluorinated polymers at its industrial site in Changshu.

Solvay is an international chemicals and plastics company. In 2011, Solvay acquired Rhodia for approximately EUR 3.4 billion. Rhodia is one of the three sectors of activities of Solvay. Rhodia is a world leader in the development and production of specialty chemicals, and partner of major players in the automotive, electronics, flavors and fragrances, health, personal and home care markets, consumer goods and industrial markets.
MRC

MOSCOW (MRC) -- In December, imports of PVC to Ukraine made 7,600 tonnes. In 2012 the total imports of PVC to the Ukrainian market made about 95,000 tonnes, down 20% from 2011, according to MRC DataScope.

In December, imports of PVC to Ukraine amounted to 7,600 tonnes, in 2012 the total imports decreased to 94,600 tonnes. The reduction in imports of PVC to the Ukrainian market in the past year by 20% compared to 2011 was due to the production of local producer - Karpatneftehim (Lukoil Group). The stoppage of the Ukrainian company in September 2012 for an indefinite period will increase the dependence of imports in the market.

Karpatneftekh launched the production of suspension PVC in Ukraine was in May, 2011. Russian Lukoil Group invested in a new USD236 mln production with capacity 300,000 tonne/year.

In 2012, with the increase in production local producers managed to reduce significantly the dependence of the Ukrainian market from external supplies of PVC. According to preliminary estimates, Karaptneftehim’s supplies to the domestic market from last year amounted to about 35,000 tonnes.

However, in September 2012, due to economic inefficiency Lukoil decided to stop Karpatneftehim’s production of polyvinyl chloride, polyethylene, ethylene and caustic soda. There is no information on the terms of the production resumption.

Uncertain economic situation also affected the reduction in the consumption of PVC in Ukraine, and as a result, the volumes of imports. The demand for PVC in the Ukrainian market fell by 6% in 2012, while the volume of industrial production over the first 11 months fell by 1.5%.

After the stoppage of Karpatneftehim the imports of PVC to Ukraine began to rise from October 2012. In 2013, the dependence of the Ukrainian market will increase even more, but the macroeconomic situation in the country will have the greatest impact on consumption.

MRC

MOSCOW (MRC) -- Traders raised their price offers for Nizhnekamsk polystyrene by Rb1,000-2,000/tonne early this week, according to ICIS-MRC Price report.

At the beginning of the week traders that sell Nizhnekamsk general purpose polystyrene (GPPS) and high impact polystyrene (HIPS) have increased the price offer for the material by Rb1,000-2,000/tonne. Last week there was information that the cost of Nizhnekamsk polystyrene might grow, however, the value of the increase was not specified.

A high level of the cost of European and Asian polystyrene allows Russian companies to maintain the increasing trend of the cost of the domestic material. The price offer for Nizhnekamsk GPPS was set at the level of Rb75,000-78,000/tonne, while HIPS is being sold in the range of Rb77,000-81,000/tonne.

The cost of Salavat and Kirishi polystyrene remains at the previous level.

Gasprom neftekhim Salavat polystyrene is being sold in the range of Rb70,000-72,000/tonne for GPPS and Rb76,000-78,000/tonne for natural HIPS.

In early 2013, PGProf resumed sales of GPPS in the spot market. The cost of the material is in the range of Rb75,000-77,000/tonne, EXW.
MRC

MOSCOW (MRC) -- Caps and closures manufacturer Bericap North America Inc. is investing USD29 million in an expansion that will double the size of its Cowpens plant, as per Plasticsnews.

The custom-designed 90,000-square-foot expansion to the facility in the Upstate Corporate Business Park will double the size of the plant. Installation of state-of-the-art equipment will begin immediately with the physical building expansion slated for second half of 2013. The site and building will allow room for future expansions when necessary.

“We are pleased to move forward with plans to expand our Cherokee County manufacturing operation. South Carolina has provided us with an excellent location to do business and a talented workforce to help us meet our goals. We appreciate all the support we’ve received from state and local officials,” said Anthony Scire, vice president of Operations for Bericap. “Demand for our innovative products is growing in the Southeast and this expansion will enable us to continue to support our customers with increased capacities and new products.”

The expansion should be complete by early 2014.

Bericap, a subsidiary of Bericap GmbH & Co. of Budenheim, Germany, opened the 90,000-square-foot South Carolina plant in 2007. The plant does secondary operations like printing and assembly.

Bericap North America is based in Burlington, Ontario and has a plant in Ontario, Calif. Bericap is a manufacturer of plastic closures with 21 factories in 19 countries across the world. The company offers a wide range of products for beverages, food, motor oil and agricultural industries.

MRC