Japan's Nippon Shokubai Himeji shutdown costing Y4.5bn/month

02 October 2012 12:31  [Source: ICIS news]

TOKYO (ICIS)--Nippon Shokubai estimates the loss of profit from the shutdown of its fire-hit Himeji plant to be about yen (Y) 4.5bn/month ($58m/month), the Japanese chemical producer said on Tuesday.

“If we do not consider the compensation by the insurance, if all of the facilities at the Himeji plant [continue to be] shut, the loss of [business] chance [is estimated to be] Y150m per day (Y4.5bn in a month), and the cost for the repair of damaged facilities [is estimated at] about Y5bn, though we do not know clearly yet,” Nippon Shokubai said in Japanese, quoting the president, Masanori Ikeda, at a press conference in Osaka.

Nippon Shokubai was ordered to halt all operations at its facilities at Himeji, Hyogo prefecture - including a 460,000 tonne/year acrylic acid and a 320,000 tonne/year unit for super absorbent polymer (SAP) - following an explosion on 29 September, which killed a firefighter.

All of the facilities at the Himeji site remain shut and the company did not know when the suspension order by the prefectural government may be lifted, a company spokeswoman said on the phone.

Local authorities are still investigating the site of the explosion, the spokeswoman added.

($1 = Y78.02)

By: Tomomi Yokomura
+65 6780 4359

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