AMERICAS
Synthos to build Nd-PBR plant
Synthos will be investing in a USD 170 million synthetic rubber plant at Triunfo, Brazil. The plant will produce neodiyum catalyzed polybutadiene (Nd-PBR) rubber based on Michelin’s technology. The raw material for the plant will be supplied by Braskem. The plant will have a capacity of 80 KTA and is expected to be complete by 2017. Also, Synthos has signed a contract with Michelin and Pirelli & C.S.p.A. to supply NdBR to their facilities in Brazil.
Comments: Synthos will be investing in a USD 170 million synthetic rubber plant at Triunfo, Brazil. The plant will produce neodiyum catalyzed polybutadiene (Nd-PBR) rubber based on Michelin’s technology. The raw material for the plant will be supplied by Braskem. The plant will have a capacity of 80 KTA and is expected to be complete by 2017. Also, Synthos has signed a contract with Michelin and Pirelli & C.S.p.A. to supply NdBR to their facilities in Brazil.
Pipeline Plastics LLC to build HDPE pipe plant
Pipeline Plastics LLC will build a third HDPE pipe plant in Levelland, Texas to produce pressure pipes used for oil and gas applications. The bimodal high-density polyethylene pipe plant will be built at an investment of USD 10 million.
Comments: Bimodal pipe resins offer high environmental stress crack resistance (ESCR), high operating temperatures, and chemical resistance because of their crystalline structure. Applications using bimodal HDPE resins include gas distribution pipes, water pressure pipes, industrial/mining applications, oil and gas production, irrigation, and sewer relining.
EUROPE
Styron to convert Ni-BR line to Nd-BR
Styron plans to convert its Nickel butadiene rubber (Ni-BR) production line in Schkopau, Germany to Neodymium Butadiene Rubber (Nd-BR). The conversion is expected to begin this year and would be completed by end of 2015. Styron expects to supply customers with Ni-BR until 2016-2017.
Comments: Nd-BR is used mainly in the production of tires. Nd-BR tires offer improved rolling resistance which contributes to improving fuel efficiency. The increase in regulations across the globe towards improving fuel efficiency has raised the demand for ultra-high-performance tires. The new Nd-BR production line will compliment Styron’s existing S-SBR production towards satisfying the global demand for high-performance tires. Also, Styron recently expanded its SSBR capacity by acquiring JSR Corp’s capacity rights at the Schkopau rubber production hub.
Borealis plans XLPE expansion in Sweden
Borealis plans to expand crosslinked polyethylene production at Stenunsgund, Sweden by 20 KT. The capacity is expected to be on-stream by 2015. This investment would apply to Borlink extra-high-voltage (EHV), high-voltage direct current, and high-voltage (HV) polyethylene compounds produced in closed-loop or controlled-loop processes.
Comments: Borealis is a leading cross-linked PE producer for wire and cable applications. The latest capacity increase will enable Borealis via Borouge to expand its market presence in the Middle East and also use the Ruwais location as an export hub for Asian markets.
MIDDLE EAST & AFRICA
Sabic plans crude-to-petrochemicals complex by 2020
Sabic has entered into the final stages of preliminary studies to assess the economic viability of constructing a crude oil-to-petrochemicals manufacturing complex in Saudi Arabia. Sabic expects to consume about 10,000 KTA of crude oil to produce petrochemicals and specialty chemicals.
Borealis to start ethylene production after expansion
Borealis will be starting ethylene production by the end of this month, after a plant expansion. The expansion project for the ethane cracker was started in 2009, costing over USD 4 billion.
Kazakhstan to build PP production facility
Kazakhstan plans to build a petrochemical complex by 2016 in the Atyrau region, where Tengiz, a major oil field in Kazakhstan is located. The complex will use associated petroleum gas as feedstock, which is currently flared. The first two stages of the complex which will be built by 2016, will use about 7 billion cubic meters/year of feedstock and will produce propylene and polypropylene with a capacity of 500 KTA and 800 KTA. The third stage will include 250 KTA capacity for butadiene with gas from fields in Karachaganak and Kashagan as feedstock. This stage is most likely to be delayed to at least 2018.
Comments: The high recent difference between propane and propylene prices has spawned significant investment in propane dehydrogenation (PDH) plants worldwide. Kazakhstan is a major oil producer that has yet to develop significant downstream petrochemical capacity. The USD 6.3 billion projects will join a long list of PDH projects in the planning and construction stages mainly in China and the United States. Propane will be supplied via a 207 km pipeline that will be built as part of the project. The third stage of the project will aim to take advantage of butadiene supply tightness, which has been exacerbated by a switch to lighter feedstock as a result of shale gas development.
Borouge to go ahead with PE, PP capacity expansion
Borouge will be moving forward with its stage three of capacity expansion plans, which will increase its capacity for PE and PP from 2,000 KTA to 4,500 KTA in Abu Dhabi. Borouge will open more than six plants in Ruwais near Abu Dhabi to facilitate the capacity increase.
Comments: Borouge plans to increase its customer base with this latest expansion and will focus on targeting regions of high growth and demand such as China which has maintained a consistently relatively high growth rate. Borouge has stepped up its efforts to make a sizable footprint in China but setting up warehouses, and sales offices and offering technical assistance to customers to capture a bigger slice of the Chinese plastics pie.
ASIA PACIFIC
Asahi Kasei to increase PP spun bound nonwovens production capacity
Asahi Kasei plans to invest about USD 49 million to expand production capacity for PP spun bond nonwoven fabric in Thailand. With the investment, Asahi Kasei will add a production line with a 20 KTA capacity, at the Saha Industrial Park in Chon Buri Province. The new line is expected to commence operations in November 2015.
Comments: Demand for PP spun bound nonwovens is increasing at a healthy rate. In the coming five years, demand for PP spun bond nonwoven fabric is expected to account for more than half of total PP nonwoven demand. The personal care and hygiene products market will be the largest consumer of PP spun-bound fabrics. The expansion of the plant capacity is in line with Asahi’s plans to capture the increasing personal care and hygiene markets in Asia-Pacific.
UOP to provide technology for isobutylene plant in China
UOP has licensed the C4 Oleflex process and Butamer process to Lijin Petrochemical Co. Lijin Petrochemical Co’s new unit is expected to start its operations in 2015 and will have a capacity of 170 KTA for producing isobutylene at its facility in Shandong Province.
Comments: Isobutylene is the starting material for polyisobutylene (butyl rubber, a copolymer of isobutylene and isoprene). Major applications of polyisobutylene include automotive tires, gaskets, O-rings, etc. Other macroeconomic markets for butyl rubber include construction and industrial applications. China is the fastest-growing region for automotive manufacturing. The new isobutylene plant will supply raw materials to the country’s rapidly growing rubber market.
Ineos licenses PE, and PP technology to China
Ineos will license its Innovene PP and Innovene G technology to Xinjiang Bangyou Chemical Co. Ineos’ Innovene PP process will be used in a 350 KTA PP plant and its Innovene G process will be used in a 250 KTA swing plant to produce LLDPE and HDPE. The PP unit will be designed to produce homo, random, and impact copolymers.
Comments: A large majority of the new polypropylene capacity will be added in China in the next five years to keep up with the domestic Chinese PP demand for several end-use applications. Innovene is one of the most popular PP technologies selected by Chinese PP producers due to the versatility and the range of products that can be produced that the technology offers.
Sabic to invest in long glass fiber-reinforced PP
Sabic Innovative Plastics plans to invest in a production line for Stamax-brand long glass fiber-reinforced polypropylene resin in Shanghai. The new line is expected to come on stream in the second half of 2015. Sabic already operates two Stamax plants in Genk, Belgium, and Bay St. Louis, Miss.
Comments: Long glass fiber reinforced PP has found several applications in injection molded parts due to its favorable properties such as ease of processing, mechanical strength, and dimensional stability. It is finding increased use in automotive applications such as front-end carriers, instrument panels, door modules, etc. Sabic’s investment in the Stamax product line will help Sabic take advantage of the growing demand for lighter vehicles in Asia.
Jindal Films introduces oriented PP Films
Jindal Films has introduced Metallyte™ MM688 oriented polypropylene film, which can be used for horizontal form fill and seal (HFFS) packaging applications. The film has a very low-temperature seal coating on one side and a printable, over-coated metalized surface on the other thereby providing consistent machinability and a good print surface for graphics, while maintaining moisture, flavor, and aroma barriers to keep products tasting and smelling fresh.
Comments: The majority of oriented polypropylene films are used in food packaging and industrial applications. Metalized polypropylene films are used for packaging bakery & confectionery foods, pet food, snacks, liquid packaging, etc. The new grade from Jindal Films is targeted to replace laminated structures while downgauging the material without compromising the required barrier properties.