02 May 2012 15:46 [Source: ICIS news]
LONDON (ICIS)--Zaklady Azotowe Pulawy (ZAP) is back to full capacity following partial maintenance at its 96,000 tonne/year melamine plant at Pulawy in eastern Poland, a source at the Polish fertilizer, caprolactam (capro) and melamine producer said on Wednesday.
"Within the last week [the melamine site] received 100% capacity," said the source.
"All [ZAP] plants are running at full capacity," the source added.
ZAP's 16,000 tonne/year melamine line at its 32,000 tonne/year Melamine I unit went down for planned maintenance in the middle of March.
The European melamine market is in the process of price hikes, albeit not to the extent producers had aimed for, and not enough to significantly improve margins.
"Melamine prices are unsustainable. Someone has to decrease [operating rates] or demand has to pick up… Other regions' prices are much higher than they are in Europe," said a seller.
Second-quarter European melamine contract prices rose by €30/tonne ($39/tonne) at the low end from the previous quarter, on firm feedstock costs and the need to recover lost margins. Spot prices are also creeping up, from €915–950/tonne FD (free delivered) NWE (northwest Europe) last week, partly on the back of this, according to industry players.
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)
Follow me on Twitter
Please visit the complete ICIS plants and projects database
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|