Japan’s Prime Polymer to finalise Asia mLLDPE site by H2 2011

24 September 2010 07:43  [Source: ICIS news]

MUMBAI (ICIS)--Japan’s Prime Polymer expects to decide the location for its new metallocene linear low density polyethylene (mLLDPE) plant by the second half of 2011, a company source said on Friday.

“We are now studying the feasibility of a 200,000-300,000 tonne/year plant somewhere in Asia. A final decision will be taken in the second or third quarter of 2011,” he said, adding that the project would be completed in 2014.

Possible locations for the project include Singapore and China, the source said. China was attractive because of its big market while Singapore offered good infrastructure and tax incentives, he added.

ICIS had earlier reported that Mitsui Chemicals planned to build the new mLLDPE unit in Asia. The source clarified that this project would be executed by Prime Polymer which manages Mitsui's polyolefins business. 

Ahead of the new plant, Prime Polymer, a joint venture between Mitsui and Idemitsu Kosan, planned to expand its 240,000 tonne/year mLLDPE unit at Ichihara, Japan, by 60,000 tonnes/year. This expansion would be completed in November 2011, the source added.

The company also planned to expand its presence in metallocene polypropylene (mPP), he said.

“Random copolymer mPP is under test marketing with limited customers; we will be trying the food packaging segment first,” said the source.

Commercial production of around 50,000 tonnes/year would start at an existing PP plant at Osaka by the end of fiscal 2010, he said, adding that the product would be targeted at the Japanese and other Asian markets.

Prime Polymer was also working on production of homopolymer mPP and block mPP, he said. “These are now under development at a pilot plant; we have not decided when we will start test marketing.”

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By: Malini Hariharan
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