27 April 2011 21:12 [Source: ICIS news]
HOUSTON (ICIS)--Lucite declared force majeure (FM) on methyl methacrylate (MMA) because of supply disruptions of a key feedstock at its plant in Memphis, Tennessee, according to a customer letter ICIS obtained on Wednesday.
Lucite did not identify the feedstock or the company that supplied it.
Because of the feedstock shortage, Lucite’s MMA inventory has been depleted, the company said in a letter sent to customers on 21 April.
Meanwhile, Lucite said it is running its plants in Memphis and Beaumont, Texas, at reduced rates.
Lucite said earlier this year that it would produce MMA at a reduced rate in Beaumont throughout 2011 and reach full capacity in early 2012, following the completion of new plant construction.
It should take a number of days before Lucite can replenish its MMA inventories and before it can restore production to full rates at its plant in Memphis, the company said.
As such, Lucite began allocating its MMA on Tuesday, the company said. The company said the allocation will be in accordance to contracts, although it did not specify allocation levels.
In addition to MMA, Lucite also declared FM on butyl methacrylate, isobutyl methacrylate, ethyl methacrylate and 2-ethyl hexyl methacrylate.
Most US plants manufacture MMA from acetone cyanodyrin (ACH). The ACH route uses acetone, methanol, hydrocyanic acid (HCN) and natural gas as its raw materials.
MMA is used in many applications such as paint and coatings, adhesives, inks and acrylic sheet and polymethyl methacrylate (PMMA).
(Additional reporting by Heather Doyle)
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