21 December 2010 17:28 [Source: ICIS news]
LONDON (ICIS)--DSM has declared force majeure (FM) on caprolactam supplies in Europe because of a catalyst problem at its 250,000 tonne/year caprolactam plant at Geleen in the Netherlands, a company source said on Tuesday.
“We declared force majeure at Geleen as per the 16th December because one of the lines had to stop at short notice and for this week shipments have been put on allocation,” the source added.
“Our update to our customers is that we will ship 80% of the agreed [contract] volume and if things go well in the next few days it might be more,” the source said.
DSM said that customers had previously been on 40% allocation after the FM was declared.
The unplanned outage comes at a time when availability of caprolactam is already in short supply in Europe following a year of robust demand for downstream nylon 6 and strong demand for flaked caprolactam for export to Asia.
The DSM source described the European market as “so tight” and “nervous”.
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