Nan Ya to shut down four Mailiao MEG lines

12 August 2008 04:47  [Source: ICIS news]

SINGAPORE (ICIS news)--Taiwan’s Nan Ya Plastics Corp will shut down four monoethylene glycol (MEG) lines with a combined capacity of 1.6m tonnes/year for 45 days from early September due to poor margins and high feedstock ethylene costs, said a company source on Tuesday.

"The turnaround of these four lines at the Mailiao facility in eastern Taiwan will be staggered over a 45-day period," added the source in Mandarin.

"Right now, the plan is to close one line for 10 days before restarting and this will be immediately followed by the shutdown of another line for a similar number of days. We intend to turn around two lines simultaneously for the remaining 25 days," the source said.

Nan Ya’s Mailiao MEG plant has three lines, each with an output of 300,000 tonnes/year while the last line has a 700,000 tonnes/year capacity.

The source did not reveal the order and duration of the four lines’ shutdown but added that Nan Ya was "prepared to shut down two lines instead of one during the initial weeks of September if MEG prices failed to show improvement".

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By: Hong Chou Hui
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