Marun shuts down Iran MEG on gas disruption

07 July 2008 15:00  [Source: ICIS news]

SINGAPORE (ICIS news)--Iran’s Marun Petrochemical shut down its 400,000 tonne/year monoethylene glycol (MEG) plant two days ago due to gas supply disruptions to its adjoining cracker but plans to restart it by 1 September, a source close to the company said on Monday.

 

“The plant was shut on 5 July and we understood that there was a gas failure at the [production site] at Bandar Imam,” said the source.

The source was unable to say if the cracker and the other adjacent plants were also down.

The MEG plant receives ethylene supplies from a 1.1m tonne/year cracker at the same site.

 

The latest outage is expected to push MEG spot prices higher. According to global chemical intelligence service ICIS pricing, MEG prices had firmed by $10/tonne to end Monday at $1,090-1,100/tonne cost and freight (CFR) China Main Port (CMP).

 

Marun also operates a 300,000 tonne/year high-density polyethylene unit and a 400,000 tonne/year polypropylene facility integrated with the cracker. At the same site is another cracker operated by Amir Kabir Petrochemical.

 

Both Marun and Amir Kabir are affiliates of state-owned National Petrochemical Co.

 

Hong Chou Hui contributed to this article
For more on MEG visit ICIS chemical intelligence

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Author: Salmon Aidan Lee
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