Korea’s SK Energy cuts No 1 Ulsan cracker op rate to 70%
24 May 2012 04:15 [Source: ICIS news]
SINGAPORE (ICIS)--?xml:namespace>South Korea’s SK Energy has reduced the operating rate at its 190,000 tonne/year No 1 cracker at Ulsan to 70% capacity from 20 May because of poor margins, a company source said on Thursday.
The cracker was running at 85% capacity prior to the cracker rate cut, he said, adding that the decision to reduce production was partly because of the recent slump in the prices of olefins.
SK Energy also operates a 690,000 tonne/year No 2 cracker at the site, which will continue to run at full rates, the source added.
Ethylene margins based on naphtha feedstock in northeast Asia slipped $8/tonne (€6.40/tonne) to $119/tonne during the week ended 18 May, according to data from ICIS.
($1 = €0.80)By: Peh Soo Hwee+65 6780 4359
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