BASF $60m plasticiser expansion won't affect supply-demand

21 March 2005 23:11  [Source: ICIS news]

HOUSTON (CNI)--BASF’s plans to restructure its plasticiser business, including construction of a 125,000 tonne/year ester facility, won’t affect the supply-demand equation because new capacity isn’t being added, a top official told CNI Monday.

Cenan Ozmeral

 

Cenan Ozmeral, BASF group vice president for petrochemicals in North America, noted that the company’s new ester facility at Pasadena is expected to start up during the second half of 2006 - about the same time BASF’s tolling agreement with Sunoco’s Neville Island, Pennsylvania facility expires.

 

Said Ozmeral:  “There may be a month or two overlap, but we are basically finished with the Neville Island tolling contract by the middle of next year, about the time that our new Pasadena facility is scheduled to start up.”

 

BASF said it intends to convert its existing 125,000 tonne/year 2-ethyl hexanol (2-EH) production unit at Pasadena to produce 120,000 tonne/year of 2-propyl heptanol (2-PH) and will increase 2-EH capacity at its Freeport, Texas, site by 40,000 tonne/year to 120,000 tonne/year in a $60m (Euro44.8m) Texas expansion.

 

Ozmeral said BASF is converting to butane “ because butanes are lower cost and it give us an advantage.”

 

Florham Park, New Jersey-based BASF said it will continue an existing manufacturing and marketing agreement with Sterling Chemical for phthalic anhydride (PA), oxo alcohols and plasticiser esters.

 

 “Plasticisers are a core chemistry for us,” Ozmeral said. “With Sterling, we were more of a marketing arm because Sterling Chemical produced the plasticisers. We have made a firm commitment to be in the business.”

 

BASF is the North American affiliate of BASF of Ludwigshafen, Germany.

By: Mike Sheridan
+1 713 525 2653

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