Saudi Arabia’s Al Waha restarts PP unit on 2 August

03 August 2011 07:04  [Source: ICIS news]

SINGAPORE (ICIS)--Al Waha Petrochemicals gradually started operations at its 450,000 tonne/year polypropylene (PP) facility at Al-Jubail on 2 August after an unplanned shutdown in mid-July, the Saudi Arabia producer said late on Tuesday.

The outage on 15 July was caused by a technical problem in a recycle effluent compressor.

The unexpected shutdown coincided with Al Waha’s plan for a scheduled turnaround at the end of July, which was conducted before the plant was restarted.

The plant’s restart is welcomed by Indian buyers as the local market is short of PP supply and prices have been rising. India relies more on imports from the Middle East to meet the country's demand for PP.

Fixtures for Middle East PP raffia cargoes were last heard on 29 July at $1,580-1,600/tonne (€1,106-1,120/tonne) CFR (cost & freight) Mumbai for Saudi August shipment. Offers have since increased to $1,650-1,675/tonne CFR Mumbai, industry sources said. Buying ideas are heard at $1,600-1,620/tonne CFR Mumbai.

Al Waha is a 75:25 joint venture between Sahara Petrochemical Co and LyondellBasell. 

($1 = €0.70)

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By: Ong Sheau Ling
+65 6780 4359



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