Qatar's Qafco runs melamine plant at 70% following shutdown

20 June 2012 14:34  [Source: ICIS news]

LONDON (ICIS)--Qafco is operating its 60,000 tonne/year melamine plant in Mesaieed, Qatar, at 70% and will do so until the middle of July, a source at the Qatari fertilizer company said on Wednesday.

The plant began a partial shutdown in the second half of May and restarted on 9 June.

"Our plant is back to normal operation since 9 June 2012. However, due to some reasons our production [remains at] only 70% of total capacity [and is expected to do so] until mid-July 2012," the source said.

A source at Russian producer EuroChem said it hoped to have material from its new 50,000 tonne/year plant in Nevinnomyssk, Russia, in the third quarter. It had been due to start up in June.

"I have not seen samples yet and I have asked for them," said a potential EuroChem customer.

Melamine producers in Europe are determined to improve their depleted margins and have proposed to increase third-quarter prices by €125–150/tonne ($158–190/tonne) compared with the second quarter, which settled at €1,010–1,090/tonne FD (free delivered) NWE (northwest Europe), according to data from ICIS.

Qafco is located in Mesaieed Industrial City, near Doha, on the eastern coast of the Qatar peninsula.

($1 = €0.79)

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By: Caroline Murray
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