14 August 2012 21:31 [Source: ICIS news]
HOUSTON (ICIS)--US-based Sunoco paid Braskem $130m (€105m) because of the early termination of a propylene supply agreement, the Brazil-based producer said on Tuesday.
In December, Sunoco announced it was shutting down the main units at the Marcus Hook refinery.
Because the shutdown interrupted propylene supplies, Sunoco paid Braskem a total of $130m during the first half of the year, the company said.
To prevent any future propylene disruptions at its 350,000 tonne/year PP plant, Braskem has since bought the propylene splitter at the Marcus Hook refinery.
Braskem expects to spend $56m to acquire the splitter, to carve out the assets and to improve its operations, the company said. Out of that total, $15m is coming from a government grant.
Braskem acquired the Marcus Hook PP plant as well as two other PP plants from Sunoco in 2010.
Sunoco did not immediately respond to a request for comment.
($1 = €0.81)
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