14 March 2012 16:21 [Source: ICIS news]
LONDON (ICIS)--Zaklady Azotowe Pulawy (ZAP) plans to shut one of the lines at its 96,000 tonne/year melamine plant for maintenance, a source from the Polish fertilizer, caprolactam (capro) and melamine producer said on Wednesday.
The company said work will start this week on the 16,000 tonne/year line at its Melamine I plant in Pulawy, eastern Poland.
The source said: “One line [half the capacity] of the Melamine No. I plant is going to be stopped this week for about three weeks of routine maintenance.”
ZAP’s Melamine I plant has the capacity to produce 32,000 tonnes/year of melamine, but the source said the outage is only likely to reduce output by 1,000 tonnes.
“Three-weeks break means about 1,000 tonnes off,” the source said.
Producers intend to target increases in the second quarter to recoup lost margins caused by firming feedstock costs, weak demand and ample supply.
Although precise pricing objectives have not yet been announced, producers will aim to raise prices to levels last seen in the fourth quarter of 2011. First-quarter melamine contract prices settled at €980–1,090/tonne ($1,289–1,434/tonne) FD (free delivered) NWE (northwest Europe).
Melamine is combined with formaldehyde to produce melamine resin, a durable thermosetting plastic used in heat-resistant, wipe-clean plastic laminate, and melamine foam.
($1 = €0.76)
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