13 September 2013 12:41 [Source: ICIS news]
LONDON (ICIS)--BP will close its cyclohexane (CX) plant in Lingen, Germany, at the end of 2013 because of poor profitability, a spokesman at the chemical major said on Friday.
The plant has a nameplate capacity of 260,000 tonnes/year and is the fourth largest CX plants in Europe, according to ICIS plants and projects.
“It's been announced to customers and staff and so on… the market conditions have changed,” a company spokesman said.
“The feedstock price - which is primarily benzene and hydrogen - don't cover the costs of what we can get for it. As I say, the market conditions have changed and it's no longer economical,” the spokesman added.
The CX market in Europe is currently tight because of recent and ongoing global production outages.
The permanent closure of the Lingen plant is likely to tighten the CX market because of the size of its capacity.
“Longer term, the big [supply] concern is the Lingen plant shutdown … They have a capacity of 260,000 tonnes/year… a big capacity,” a producer said.
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|
Asian Chemical Connections