China’s Shandong Haili Chem shuts Zibo ECH plant on power outage

03 August 2011 05:05  [Source: ICIS news]

SINGAPORE (ICIS)--China’s Shandong Haili Chemical Industry unexpectedly shut its 320,000 tonne/year epichlorohydrin (ECH) plant in Zibo city, Shandong province, on 2 August because of a power outage, a company source said on Wednesday.

The shutdown will last until 5 August and the major ECH producer will not be supplying any stock to the spot market during that period, added the source.

However, this should have a limited impact on the market, said the source, adding that the producer is planning to resume its spot supply next week.

Shandong Haili’s ECH plant has four production lines, each with an annual capacity of 80,000 tonnes, according to the source.

The plant was running at 80-90% capacity prior to the shutdown, said the source.

Separately, the producer raised its offers for iso-tank cargoes this week to $2,400/tonne (€1,680/tonne) FOB (free on board) China, as it anticipates there will be a shortage of propylene feedstock following an outage at a major producer’s petrochemical complex in the region, said the source.

($1 = €0.70)

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By: Gabriel Yip
+65 6780 4359



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