AMERICAS

 

Total launches new HDPE grade

 

Total has introduced a new HDPE grade, XSene XRT70. This grade which combines excellent processability and raised temperature resistance is designed for water and gas pressure pipe application. High extrusion speed at low extrusion temperature without sacrificing the finished surface can be achieved, which has been confirmed by converters in Poland and China.

Comments: Total’s new HDPE XSene XRT 70 grade is produced using the company’s Advanced Double Loop Technology and is available for converters in Europe and Asia. According to the company, XSene XRT 70 offers improved processability through higher extrusion speeds at lower extrusion temperatures without melt fracture in oil and gas pipes, industrial pipes, heating, and plumbing.

PolyOne introduces a new TPE grade

 

PolyOne has introduced a new grade of Versaflex VDT Vibration Damping TPE for over-molding. This new grade offers improved binding to polycarbonate (PC), nylon, and other polymers. Also noted as a cost-effective material in vibration-damping compared to self-adhesive vibration-damping tapes. This material can deliver comfortability and resilience to customer electronics, kitchen appliances, sports tools, and other applications where elasticity and vibration reduction are desired.

Comments: PolyOne is one of the leading compounders or TPE producers in the US. TPEs are generally preferred in over-molding applications on various plastic substrates. The main reasons for using TPE in these applications are for the soft touch and feel characteristics it provides to the end product. PolyOne markets its VersaFlex VDT brand of TPEs for over-molding and has the new property of vibration and impact damping. These can be over-molded onto substrates such as PC, ABS, PC/ABS, copolyester, and nylon. This offers a wide spectrum of applications for Versaflex TPE’s.

 

TPC Group to set up new polyisobutylene facility

 

TPC Group is a leading producer of C4-based materials such as butadiene, butene, and polyisobutylene. TPC Group plans to build a new highly reactive polyisobutylene (HR-PIB) facility in Houston, Texas. The plant is expected to come on stream in 2017. HR-PIB is mainly used as an additive for automotive engine oil. Due to the new technical standards for fuel and automotive engine oil that will take effect in late 2017, the demand for HR-PIB is expected to grow significantly in the future.

Comments: TPC Group has expanded its HR-PIB capacity by 20% through debottlenecking projects since 2012 to meet increased demand from lubricant additives, sealants, adhesives, and industrial lubricant markets. The new plant in Houston is to capitalize on growing demand that will be driven by upcoming changes in fuel and lubricant additives standards where HR-PIB is favorable. Along with the capacity expansion, TPC Group has invested in logistics and supply chain, thereby strengthening its position in the market.

 

 

Braskem IDESA’s new PE plant eyes production Q4 2015

 

Ethylene XXI, Braskem IDESA’s new ethylene and PE plant in Mexico, is on schedule for completion in Q4 2015. The complex will have a 1050 KTA ethane cracker coupled with 750 KTA of HDPE and 300 KTA of LDPE of production capacity.

Comments: Mexico consumes 2000 KTA of PE and 1200 KTA of PP. However, Mexico relies heavily on imports of resins from U.S. and Canada due to insufficient domestic production. Currently, the self-sufficiency rate of PE and PP are only 25% and 33% respectively. The EthyleneXXI expansion will significantly reduce the heavy reliance on imports while offering PE and PP competitive prices over importers.

 

Exxon Mobil offers new PE resins

 

ExxonMobil has launched several new metallocene PE grades under the Exceed™product family. These materials include Exceed™7518 mPE, Exceed™3812 mVLDPE, and Exceed™1012 mVLDPE. The Exceed™7518 and Exceed™3812 resins are designed for use in stretch film, while Exceed™1012 offers enhanced hermeticity, high resistance to bag drop, and good processability at a high-speed line.

Comments: Exxon’s Exceed™metallocene polyethylene (mPE) resins are used in demanding film applications replacing conventional LLDPE resins. Exceed™7518 mPE resin allows clinging retention at high stretch ratios along with higher production output and web stability. Exceed™3812 allows converters to downgauge in stretch film applications while maintaining tensile strength and impact resistance. Exceed™1012 mVLDPE is already used in North America, mainly as a single resin alternative to blends of mPE and plastomers in sealant film for meat, cheese, liquid, or dry food packaging. The resin has a lower seal initiation temperature and requires about 20% less sealing time, resulting in increased packaging speed.

 

EUROPE

 

Lanxess to realign Nd-PBR production

 

Lanxess will relocate production of neodymium polybutadiene rubber (Nd-PBR) from its France site to Singapore and German sites while reducing Nd-PBR production at the Orange, Texas facility from four lines to three lines with a further focus on the domestic market. The France plant will be used for the production of new butadiene rubber grades in the future. The Orange site will eventually be utilized to manufacture new butadiene rubber grades.

Comments: Lanxess has begun to restructure its entire synthetic rubber production network through a three-phase realignment program since 2014. As the recent realignment of EDPM production, this Nd-PBR production move is a part of this restructuring program. Lanxess has been consolidating its European EDPM and Nd-PBR production sites into regional strategic facilities in the Netherlands and Germany respectively, to confront high production costs in Europe and overcapacity. In the meantime, the transfer of production volume from European sites to Asia plants is catering to the strong demand for synthetic rubber driven by the fast-growing Asia automotive market.

 

Great Maple to expand PP film capacity

 

Poland-based PP film manufacturer Great Maple will invest at least USD 32 million in capacity expansion at its Szprotawa facility, which is scheduled for completion in 2017. Under this expansion plan, Great Maple is to double the workforce number on this site to at least 140. Great Maple will target its PP films at producers of consumer goods, laminates, and labels.

Comments: Poland has recently become the most attractive destination in Eastern Europe for investment in polypropylene films. The Polish market currently has only one domestic supplier of PP film, Flexpol, and almost half of the country’s demand is supplied through imports. Spain’s Poligal has recently started constructing a 40 KTA facility for the production of biaxially oriented polypropylene film grades mainly intended for food and medical packaging. Great Maple is also taking advantage of an opportunity to jump into this fast-growing market.

 

MIDDLE EAST & AFRICA

 

Kenya’s new elastomer plant to start up

 

Kemya will begin the operation of its new elastomer facility at Jubail, Saudi Arabia in the second half of this year. The plant is a 50:50 joint venture between SABIC and ExxonMobil and will manufacture carbon black, methyl tertiary-butyl ether (MTBE), ethylene propylene diene monomer (EPDM), polybutadiene rubber (PBR), and halo butyl rubber plant (HRP), with a total capacity of 400 KTA.

Comments: The Kemya JV will produce a range of elastomers, some of which are being manufactured for the first time in the Middle East region. There is a growing demand for compounded rubber products in the Asian region and this facility will be mostly targeted as an export-oriented setup to cater to that demand. In addition, a couple of Japanese petrochemical products are also in talks with major Saudi polymer producers to set up TPO and other rubber manufacturing JVs in the region.

 

Oman oil eyes 2018 for polyolefins complex start-up

 

State-owned Oman Oil Refineries and Petroleum Industry Co (Orpic) will invest USD 3.6 billion to set up the Liwa Plastics Industries Complex, which will include a stream cracker unit, HDPE plant, LLDPE plant, and PP plant. The complex is expected to begin construction in 2015 and is scheduled for completion in 2018.

Comments: Oman Oil Refineries and Petroleum Industry Co (Orpic) is one of the largest companies in Oman with one refinery in Muscat, one complex in Sohar that includes in one aromatics plant, and one PP plant with a pipeline connected between Muscat and Sohar. The PE plant in Liwa Plastics Industries Complex will be the first one ever in Oman. HDPE and LLDPE manufactured in the Liwa complex will broaden Orpic’s portfolio of polymer products to gain more profits from downstream activities. Along with the Liwa project, Orpic has another two projects –Sohar Refinery Improvement and Muscat-Sohar Product Pipeline –underway to improve existing facilities. All of these projects totaling USD 7 billion will help Orpic transform from a refinery-focused company to a vertically-integrated petrochemical player.

 

Sipchem begins production of new EVA/LDPE plant

 

Saudi International Petrochemical Co. (Sipchem) has launched production of its new EVA/LDPE swing facility in Jubali, Saudi Arabia, with a production capacity of 200 KTA. The plant is a 75:25 joint venture between Sipchem and Korea-based Hanwha Chemicals Corp.

Comments: The commercialization of the plant is an important event in the history of polyolefins in the Middle East as it marks the start-up of the first EVA plant in the region. Sipchem completed commercial trial runs in the second half of 2014 and uses ExxonMobil’s high-pressure tubular technology for LDPE and EVA. Sipchem’s investment in EVA/LDPE swing plant is in line with the company’s strategy to expand its product portfolio into high-value products.

 

ASIA PACIFIC

 

 

Tosoh planning a new facility for specialty synthetic rubber

 

Tosoh Corporation, a Japanese specialty materials producer, is planning to set up a new facility for Chlorosulfonated polyethylene (CSM). CSM is a specialty synthetic rubber offering excellent chemical, heat, and ozone resistance and is typically used in adhesives, automotive parts, industrial hoses, and roll covers. Tosoh is still evaluating construction sites, access to raw materials, and potential costs. If the expansion plan realizes, the facility would be set up by 2020.

Comments: Chlorosulfonated polyethylene (CSPE) synthetic rubber (CSM) is well noted for its resistance to chemicals, temperature extremes, and ultraviolet light. It was a product of DuPont Performance Elastomers, a subsidiary of DuPont. Along with PVC, CSM is one of the most common materials used to make inflatable boats and folding kayaks. Tosoh Corporation of Japan produces CSM under the trade names Toso-CSM and Extos. Tosoh Corporation is the leading producer of CSM and with the new plant, Tosoh will extend its market share globally.

 

Chandra Asri partners with Michelin for a new synthetic rubber plant

 

Chandra Asri Petrochemical corporates with France-based Michel to set up a USD 435 million synthetic rubber plant in Banten, Indonesia. The facility is scheduled for production in 2019 and will produce 120 KTA of synthetic rubbers that are used for tire production.

Comments: Chandra Asri Petrochemical (CAP) is the largest vertically integrated petrochemical company in Indonesia, which has a strong presence in this region. PT Synthetic Rubber which will run the new synthetic rubber plant will have access to the main raw material, which is butadiene, through PT Petrokimia Butadiene Indonesia. PT Synthetic Rubber is a JV between PT Petrokimia Butadiene Indonesia (a wholly owned subsidiary of Chandra Asri) and Michelin. With Chandra Asri’s presence in this region and Michelin’s know-how, the JV offers an exciting opportunity for the new synthetic rubber plant. Indonesia already has South Korean Hankook Tire, a major producer of synthetic rubber which has its production base in Indonesia. The company caters to different regions’ demands from this production base. Indonesia offers a good production base and with demand for automotive increasing in Southeast Asia and China regions, there are numerous opportunities to succeed in this sector.