LyondellBasell declares force majeure on PMA following US La Porte accident

HOUSTON (ICIS)–LyondellBasell has declared a force majeure on propylene glycol methyl ether acetate (PMA) following an acetic acid leak in La Porte, Texas, on 27 July that killed two people and injured six others.

The force majeure declaration was announced in a customer letter and confirmed.

Supply of acetic acid was already tight in the US prior to this incident, which has also impacted PMA production.

In early July, weeks before this incident, LyondellBasell had declared a force majeure on vinyl acetate monomer (VAM) and glacial acetic acid.

The most recent incident is expected to further strain acetic acid, and in turn PMA, which is downstream of acetic acid.

Prior to the incident in La Porte, LyondellBasell had introduced a price increase nomination of 5 cents/lb ($110/tonne) on both glycol ether propylene glycol methyl ether (PM)  and PMA effective 1 August. This nomination had been seen in a customer letter and confirmed by a market player.

LyondellBasell has said that PM is not included in the force majeure.

Thumbnail photo shows ink, one of the end uses of PMA. Image by Shutterstock.