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Business NEWS

BP plans sale of PTA plant in Decatur

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P has decided to market for sale its Decatur petrochemicals complex as part of a broader reorganization of the company’s global petrochemicals business. As part of restructuring initiative for its petrochemicals business, BP plc plans to sell the plant producing purified terephthalic acid (PTA). According to the company the PTA plant does not suit its strategy of concentrating on world-scale, low-cost facilities any more. The Alabama plant is capable of producing 1 mln tpa PTA. The facility also manufactures paraxylene (PX). The Zhuhai 3 unit in Guangdong Province, China that was brought online by BP in early 2015 is the world’s largest single-train PTA production unit. This unit is also one of the largest and most efficient PTA production units in the world. The Zhuhai 3 unit is capable of producing about 1.25 million tons of PTA per year.BP is spending US$200 mln to upgrade its Cooper River, SC plant and the plant’s sister facility in Geel, Belgium. This should help the company to cut

operating costs, enhance reliability and lower emissions. BP’s refocused petrochemicals strategy is pursuing a competitively advantaged portfolio through world-scale, low-cost facilities that utilize BP proprietary technology including the production of purified terephthalic acid (PTA)a key raw material in the production of polyester. BP expects to complete a sale of all or part of the facility provided a buyer can be found and an acceptable deal can be reached. “BP’s world-leading technologies and global positions allow us to compete in today’s highly competitive marketplace,” said Tufan Erginbilgic, chief executive of BP’s global downstream business. “Our strategy is to significantly improve the cash breakeven performance of the business, enhancing earnings potential and making it more resilient to bottom-of-cycle conditions. We look to have a portfolio with BP’s world-leading technology resulting in highly efficient production of PTA in key markets around the world.”

SABIC likely to invest in India

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audi Basic Industries Corporation (Sabic) is looking for investment opportunities in India. According to reports the company is likely to invest in India but would want regulatory changes before such a move, the company's CEO Yousef Al Benyan said in the sidelines of the 10th annual Gulf Petrochemicals and Chemicals Association annual forum. India is the fastest growing market and there are several investment opportunities [in the

country]. We need regulatory changes that promote investments. Sabic sees demand growth for petrochemicals in a country as 1.5 times its economic growth, Al Benyan said.Although Sabic is a major exporter of various petrochemicals to India, its physical presence in the country is limited to innovation centers in Bangalore, Vadodara, Gurgaon, Mumbai and Pune. However the company did not mention the details of the plans.

Shell announces final investment decision

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hell Chemical LP (Shell) has announced the final investment decision to increase Alpha Olefins (AO) production at its chemical manufacturing site in Geismar, Louisiana, making the site the largest AO producer in the world. Shell will construct a fourth AO unit, adding 425,000 tons of capacity at an investment of US$717 mln. The new unit is expected to begin operations in 2018. "This important investment demonstrates our ongoing commitment to the growth potential in chemicals," said Graham van't Hoff, Executive Vice President for Royal Dutch Shell plc's global Chemicals business. "With the investment in new, profitable facilities, Shell Chemicals is well placed to respond to increased global customer demand for linear alpha olefins. We have strong technology, advantaged ethylene feedstock from nearby Norco and Deer Park sites, and operational flexibility to allow us to respond to market conditions."Construction of the new unit will begin in the first quarter of 2016. The new capacity brings the total AO production at Shell's Geismarsite to more than 1.3 mln tpa, the site, with a strong track record of reliable and safe performance, also produces alcohols, ethoxylates, ethylene oxide and ethylene glycols.

55 • December 2015 • Plastics News

Plastic news dec 2015  
Plastic news dec 2015  
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