S Korea’s KPIC to resume HDPE black pipe grade output by 3 May

13 April 2011 09:20  [Source: ICIS news]

SINGAPORE (ICIS)--South Korea’s Korea Petrochemical Industry Co (KPIC) plans to resume production of high density polyethylene (HDPE) black pipes at its Onsan plant by 3 May, a company source said on Wednesday.

The 450,000 tonne/year HDPE plant, which has three lines, was shut from 5 April for maintenance.

Two of the three lines, with a combined nameplate capacity of 200,000 tonnes/year, produce HDPE black and HDPE natural pipe grades, he said.

“Although the [turnaround] will complete by the end of the month, the production of the HDPE black pipe material will resume by 3 May. Production of HDPE natural grade will only commence again when the demand in China strengthens,” the source said.

For HDPE Black 100, KPIC's offers to Gulf Cooperation Council (GCC) were heard at $1,750/tonne (€1,208/tonne) CFR (cost and freight). Material from GCC countries, meanwhile, were heard offered at $1,800/tonne, industry sources said, adding that Taiwanese offers were at close to $1,800/tonne CFR GCC.

KPIC's third HDPE line, which has a 250,000 tonne/year nameplate capacity, will likely restart by end-April, the company source said. This line produces film, yarn and injection grade HDPE.

($1 = €0.69)

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By: Ong Sheau Ling
+65 6780 4359



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