APLA '17: Argentina’s Petroquimica Cuyo to complete Petroken merger in early 2018

14 November 2017 19:41 Source:ICIS News

RIO DE JANEIRO, Brazil (ICIS)--Argentina’s Petroquimica Cuyo is seeking to complete its merger with Petroquimica Ensenada (Petroken) in March or April of 2018, a company representative said on the sidelines of the Latin American Petrochemical Association (APLA) annual meeting in Rio de Janeiro, Brazil.

Petroquimica Cuyo is now the sole polypropylene producer in Argentina after the acquisition of its only competitor from LyondellBasell in late 2015.

The two companies continued to operate as separate entities while the reorganization of the company takes place.

Petroken only produces homopolymers in its 180,000 tonnes/year plant, while Petroquimica Cuyo produces all grades of PP. Ethylene supply in Argentina is limited, and this limits copolymer production, the source said.

Petroquimica Cuyo is exporting increasing volumes of PP to Brazil using the trade advantages of the Mercosur commercial agreement.

The company sells in Brazil about 6,500 tonnes/month of homopolymers, with some variations from month to month.

The APLA annual meeting runs through Tuesday.

By George Martin