LyondellBasell's Carrington PP plant down on technical issues

13 August 2010 10:45  [Source: ICIS news]

LONDON (ICIS)--Major plastics producer LyondellBasell’s 210,000 tonne/year polypropylene (PP) plant at Carrington in the UK is offline due to unplanned technical issues, with no clear restart date established, a company source said on Friday.

“The plant went down last weekend [7/8 August] but we still don’t have confirmation of when it will resume. We are hoping for the beginning of next week,” said the source.

LyondellBasell already reported low inventory levels after earlier production problems in Italy.

A couple of new joint venture partnerships in the Middle East had not provided the quantity of material initially planned for Europe, mainly due to a series of production problems.

PP prices slipped in August, following the €38/tonne ($49/tonne) drop in the August propylene contract price, with net homopolymer prices from producers reported in the mid-€1,200s/tonne FD (free delivered) NWE (northwest Europe).

The direction of September propylene was not yet clear, but producers expected a firm PP situation as stocks along the chain were low, and current production issues meant that producers would not be able to replenish stocks ahead of September.

PP is a versatile plastic, used in the packaging, automotive and household sectors.

PP producers in Europe include LyondellBasell, Borealis, SABIC, Total Petrochemicals, Dow Chemical, Repsol, INEOS Olefins and Polymers, Polychim and Domo.

($1 = €0.78)

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By: Linda Naylor
+44 20 8652 3214



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