AMERICAS
Sasol and Ineos to move forward with HDPE JV
Sasol and Ineos will be proceeding with a 50-50 JV for the manufacture of bimodal HDPE at Ineos’ manufacturing site in LaPorte, TX. The JV will construct a 470 KTA HDPE plant which is expected to begin operations in 2016. The plant will use the Innovene S process.
Comments: Sasol North America is building competitive downstream facilities that take advantage of the low-cost ethylene production in North America. The Sasol-Ineos joint venture will manufacture bimodal HDPE using Ineos’ Innovene S process. In addition to the joint venture, Sasol is fast progressing with its planned 1,500 KTA ethane cracker in Lake Charles, Louisiana that will produce several derivative products including polyethylene, ethylene oxide, ethylene glycol (MEG), Ziegler alcohol, and Guerbet alcohol.
Linde and BASF to cooperate in developing technology for on-purpose butadiene production
Linde and BASF intend to cooperate in developing and licensing technology for the production of on-purpose linear butenes and butadiene. BASF has developed the process, catalysts, and extraction technologies. Linde will contribute with its integration, optimization, and expertise in process commercialization.
Ascend Performance Chemicals receives EPA approval for the PDH plant
Ascend Performance Materials has received a final greenhouse gas Prevention of Significant Deterioration construction permit for its new propane dehydrogenation project at Alvin, TX. The USD 1.2 billion plants will have a capacity of 1,000 KTA and will use UOP’s technology. The plant is expected to be the largest PDH facility in the world during its start-up in 2017.
Washington Penn buys ExxonMobil Chemical’s North American specialty PP compounding business
Washington Penn Plastic Co. has acquired the North American specialty PP compounding products of ExxonMobil Chemical Co. ExxonMobil has been manufacturing the specialty PP compounding products in Baton Rouge, LA. Production at this plant will stop by the end of 2014.
Comments: ExxonMobil’s specialty compounding facility at Baton Rouge was started in the year 2008. The facility has a production capacity of 40 KTA of specialty compounded products. This compounding facility was operated by a toll manufacturing firm – Chemtrusion Inc. and the compounded products were used for automotive (interior, exterior, under-the-hood) applications, and other applications such as appliance, packaging, personal care, construction, and electrical end-use. Washington Penn is one of the leading compounders in North America, and their acquisition of ExxonMobil Chemical’s specialty compounded PP products business in North America will further strengthen their position in this region.
UOP to license TPC’s on-purpose butadiene technology
TPC and UOP have entered into an agreement for UOP to be the exclusive licensor of TPC’s proprietary OXO-D technology for producing on-purpose butadiene. The OXO-D technology is being applied in TPC’s on-purpose butadiene project that is currently under commercial development. Along with UOP, TPC will further develop the process, leveraging UOP’s expertise in licensing and technology.
Italy’s Sirmax starts PP compounds production in Brazil
Italian compounder Sirmax has started production of PP compounds at its Brazil subsidiary, Sirmax do Brasil. The new plant has a production capacity of 8 KTA for PP compounds. Sirmax also operates PP compound facilities in Italy and Poland.
Comments: The growing automotive market in Brazil and Latin America is leading to a growing demand for lightweight materials such as PP compounds. The fast growth in this region has attracted several large and small PP compound manufacturers to set up a production base in Brazil.
A. Schulman to buy most of Ferro’s plastics business
A. Schulman will be acquiring Ferro’s four plants in the U.S. at Stryker, Ohio; Evansville and Plymouth, Indiana; Carpentersville, Illinois— and one in Castellon, Spain for USD 91 million. These locations manufacture custom-engineered plastic compounds, colorants, and liquid coatings which are sold into packaging, transportation, construction, and other markets.
EUROPE
Rosneft and Pirelli sign MoU for synthetic rubber in Nakhodka
Rosneft and Pirelli have signed an MoU for the production and shipping of synthetic rubber at the Far East Petrochemical Company located in Nakhodka. The product will be delivered to Pirelli’s tire production facilities in the South-Pacific region. Rosneft and Pirelli also intend to develop research, design, and experimental projects in Nakhodka.
Slovnaft LDPE project on track
Slovnaft’s LDPE 4 project is on track with the launch expected in 2015. The LDPE 4 project aims to replace the existing seven LDPE production lines which have a total production capacity of about 175 KTA, with a plant that will a production capacity of 220 KTA.
MIDDLE EAST & AFRICA
Ineos licenses Innovene S technology to new in-plant Turkmenistan
Ineos has licensed the Innovene S process to Hyundai Engineering for the new Greenfield world-scale petrochemical complex in Turkmenistan. The complex will be operated by Turkmengas and will include a 386 KTA HDPE line and a 50 KTA black compounding line. This plant is constructed by a consortium comprising LG International Corp., Toyo Engineering Corp., and Hyundai Engineering.
Comments: Innovene S process is a two-loop reactor system for unimodal and bimodal polyethylenes production. Innovene S has proven to be capable of making a full range of products from HDPE to MDPE. This will be Ineos’ first license in Central Asia.
Iran expects to double petrochemical production capacity
Iran plans to build petrochemical hubs in its Chabahar region in the southeastern province of Sistan and Baluchestan, and Lavan Island, in the Persian Gulf, in addition to the existing hubs at Assaluyeh and Bandar Imam. Iran’s production capacity for polyethylene is expected to increase by 1,000 KTA by the end of 2015.
Sipchem and Sahara merger on hold
Sipchem and Sahara Petrochemicals Co. have put their merger plans on hold as they companies found it difficult to proceed with the merger using a structure acceptable to both sides under the current regulatory framework. However, talks for the merger could be revived later.
Comments: SIPCHEM and Sahara announced talks about a possible merger in June 2013 and signed an MoU in December 2013. The merger would have created a USD 5 billion consolidated firm in Saudi Arabia with a strong domestic and international presence.
ASIA
BASF breaks ground on compounding plant in South Korea
BASF has broken ground on a new compounding plant at Yesan, South Korea. The plant will produce BASF’s Ultramid – brand nylon resins and Ultradur- brand polybutylene terephthalate resins. The plant is expected to be operational by 2015 and will have a capacity of 36 KTA.