CNOOC selects LyondellBasell technology for 400,000 tpa PP plant

MOSCOW (MRC) -- CNOOC Oil and Petrochemicals Co. (CNOOC) has selected the LyondellBasell Spherizone technology for a 400 KT per year polypropylene (PP) plant planned to be built in Huizhou, China, said Plastemart.

"LyondellBasell Spherizone technology can deliver a wide range of high-quality PP products with low resource and energy consumption and we are pleased that CNOOC has again selected our technology for their new facility," said Bob Patel, Senior Vice President of Olefins and Polyolefins for Europe, Asia, International, and Technology at LyondellBasell.

"This is the fourth polyolefins process technology we have licensed to CNOOC and its joint venture, building on a relationship that spans more than 10 years." The Company reported that since the launch of this technology in 2004, 3.5 million tons of Spherizone process capacities have been licensed.

As MRC wrote before, China National Offshore Oil Corporation (CNOOC) builds a 1 mln tpa naphtha-fed steam cracker in Huizhou, Guangzhou province, by end of 2013-early 2014. Capacities include 1 mln tpa of ethylene, 500 KTa of propylene and 150 KTa of butadiene.
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MOSCOW (MRC) -- Biopolymer producer Braskem of Brazil has expanded its distribution agreement with German bioplastics manufacturer FKuR beyond Europe to include the United States and Canada, said Agra Europe.

This follows a distribution contract for its distribution in Europe established two years ago.

With its extensive experience in bioplastics, FKuR, headquartered in Willich, Germany, will now be able to provide both technical and sales support directly to customers interested in Green PE within the USA and Canada.

The ethanol used for Braskem’s Green PE is derived from sugarcane and each ton produced captures more than two tons of CO2, helping to reduce greenhouse gas emissions. An additional value of biobased plastics, says FKuR, is the possibility of taking an existing product produced with fossil based materials and relaunching it into the market.

Since converters can keep the same processing parameters and productivity rates, there are no changes required for product design which allows for a faster time-to-market.

As a further development, FKuR is increasing the range of applications for Green PE by offering tailor made compounds based on Braskem’s biobased polyethylene under the brand Terralene.

Terralene and Green PE have the same properties and processability as conventional polyethylene and the ability to be a drop in replacement on existing production lines. In addition, Terralene and Green PE are 100 % recyclable in existing polyethylene recycling streams. FKuR has distributed Braskem's sugarcane ethanol-based polyethylene - branded Green PE - exclusively in Europe since November 2011 and will now provide technical and sales support to customers across the Atlantic Ocean as well.

Bioplastics specialist FKuR is an official distribution partner for Braskem's Green PE in USA and Canada., with immediate effect. This latest development follows the distribution contract which was signed between the two partners for the exclusive distribution of Green PE in Europe, previously announced in November 2011.With its extensive experience in bioplastics, FKuR will now be able to provide both technical and sales support directly to customers interested in Green PE within USA and Canada.

As MRC wrote earlier, Braskem S.A. purchased holdings at the plant, which is located in Pennsylvania. The facility belongs to the Philadelphia-based (USA) company Sunoco Inc. The Sao Paulo-headquartered company is going to manufacture propylene at its polypropylene (PP) unit.

Braskem is the leading producer of thermoplastic resins in Latin America and the US, following its purchase of polypropylene assets of Dow Chemical. The company serves 70% of Brazilian demand in PP, PE and PVC resins, but foreign resin imports have gained Brazilian market share in recent years. Brazil's annual consumption of PP is estimated at 1.4 million tons this year. Braskem has been a target of criticism by plastics processors over its perceived dominance of the resins market. Brazil's import tariff on foreign PP is 14%, but could increase. Brazil's federal government raised the import tariff on PE in late 2012 from 14-20%.
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MOSCOW (MRC) -- Turkish and South Korean companies are slated to sign new contracts with Iranian petrochemical companies despite the US-led western sanctions imposed against Iran, as per Fars News Agency.

After the UN Security Council ratified a sanctions resolution against Iran on June 9, 2010, the United States and the European Union imposed further unilateral sanctions against the Islamic Republic over its nuclear program, mostly targeting the country's energy and banking sectors.

Tehran has always dismissed West's pressures and stressed that sanctions and embargos merely consolidate Iranians' national resolve to continue the path of progress and will harm the economies of the supporters of sanctions.

The US blacklisted eight companies in Iran’s petrochemical industry late last month. Most of the companies are private. The petrochemical companies owned or controlled by the Iranian government that are on the Treasury Department list include Bandar Imam Petrochemical Co, Bou Ali Sina Petrochemical Co and Mobin Petrochemical Co.
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MOSCOW (MRC) -- German specialty chemicals company LANXESS celebrated the opening of its first production facility in Russia, said LANXESS in its press-release.

In the new plant at the Lipetsk site, LANXESS subsidiary Rhein Chemie manufactures polymer-bound rubber additives for the markets in Russia and the Commonwealth of Independent States (CIS), primarily for the automotive and tire industries. A production facility for the bladders used in tire production is to be added in 2016. The overall investment volume in euros amounts to a seven-digit figure and 40 new jobs will be created at the new plant in the medium term.

Lipetsk offers outstanding conditions for the group. "Its excellent location in close proximity to our customers and the good infrastructure in the Lipetsk Industrial Park were crucial to our decision to choose the site," says Anno Borkowsky, Managing Director of Rhein Chemie Rheinau GmbH. Every year, the company will produce up to 1,500 metric tons of predispersed, polymer-bound Rhenogran rubber additives at the plant in Lipetsk. Rhein Chemie is a leading supplier for these products, which are used primarily in the manufacture of car tires and technical elastomer products such as profiles, hoses and seals. They are easy to handle and enable faster processing in the rubber compound. Using Rhenogran also significantly increases the quality of rubber components and improves their long-term functionality and durability.

A facility capable of producing up to 80,000 Rhenoshape bladders annually is to be added to the complex in 2016. Bladders are used in the tire industry to give tires their final form and properties. "We are seeing a rise in demand from the Russian automotive and tire industries for quality products and, thanks to our new plant and high-quality, innovative product portfolio, we can now cater to their needs directly from Russia," comments Borkowsky.

LANXESS has had its own company in Russia since 2009. During this time, business has developed strongly. In 2012, LANXESS achieved sales of approximately EUR 80 million on the Russian market, around four times as much as in 2009.

As MRC wrote before, LANXESS has inaugurated its new butyl rubber plant on Jurong Island in Singapore on schedule. The specialty chemicals company has invested approximately EUR 400 million in the plant, which will have a capacity of 100,000 tonnes per year. The plant will create about 160 highly qualified new jobs that will mainly be filled locally. The facility is the most modern of its kind in Asia and will produce premium halobutyl rubber, as well as regular butyl rubber.

LANXESS is a leading specialty chemicals company with sales of EUR 9.1 billion in 2012. The company is currently represented at 50 production sites worldwide. The core business of LANXESS is the development, manufacturing and marketing of plastics, rubber, intermediates and specialty chemicals. The Butyl Rubber business unit is part of LANXESS’ Performance Polymers segment, which recorded sales of EUR 5.2 billion in 2012.MRC

MOSCOW (MRC) -- Plastics packaging group Huhtamaki is planning to close a plant in Norway as part of measures to improve the competitiveness of its Foodservice Europe-Asia-Oceania business segment, said Plasticsnews.

The Finland-headquartered group said it is planning to close the plant in Viul in the third quarter, affecting 55 people. The plant produces the company’s Chinet range of plates and bowls for the European market, and this production will be transferred to other group facilities.

Huhtamaki’s sales, customer service and warehousing functions in Norway will be retained.

In another measure, Huhtamaki is reorganising its foodservice plastics unit in Alf, Germany, to improve the segment's competitiveness in serving its core quick service, catering and vending customers.

The company said: "The unit will have a growing importance in supporting the group's core foodservice range of paper articles with complementary plastic items. The reorganization will result in certain asset write-offs and it is expected to affect some employees."

These two measures will lead to a one-time financial charge of approximately €8m which will be booked during 2013 in the Foodservice Europe-Asia-Oceania business segment. They will also result in savings of approximately €4m in 2014.

Huhtamaki added that it has started a strategic review of its foodservice plastics unit in Italy, which it says is currently making losses.

As MRC wrote before, Huhtamaki, the Finnish-based consumer packaging specialist with worldwide operations, will build a moulded fibre egg packaging unit adjacent to its existing packaging facility in the greater Moscow area.
The new unit will concentrate on a narrow range of high-volume premium egg packaging, with complementary products sourced from other Huhtamaki units and technology licensees. This supply network enables the company to start sales and deliveries while the new unit is still under construction. The company already has a specialised fresh foods sales force in Russia.
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