Innova declares FM on Triunfo complex SM, PS

Market: Petrochemicals
07/05/24

Brazil-based styrenics producer Videolar-Innova (Innova) declared force majeure (FM) on operations at its Triunfo, Brazil, complex on 6 May following floods that impeded logistics in and around the state of Rio Grande do Sul.

The floods starting on 1 May led to a temporary preventative shutdown of the complex on 3 May, the company said in a letter to customers. Blocked roads and highways prevented feedstock from reachign the site.

The company continues to monitor the situation to determine when a safe restart can commence.

The letter did not detail allocation specifications to customers. The complex includes a 199,000 metric-tonne (t) ethylbenzene-based styrene monomer (SM) unit, according to Argus data.

Market sources said prompt styrene purchases from the region surfaced near the $1,350/t-level for small volumes this week, but counterparty confirmation was unavailable by market close. Spot styrene discussions last surfaced at $1,250-1,350/t on Monday.

Innova owns and operates two derivative polystyrene production units in Manaus, Brazil. The Triunfo petrochemical site also produces general-purpose polystyrene, high-impact polystyrene and expandable polystyrene, according to the company website.

By Nicole Johnson and Jake Caldwell

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Viewpoint: North American BZ, SM output to dip in 2025

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Viewpoint: US maintenance to limit EO, derivatives

31/12/24

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31/12/24

Viewpoint: US maintenance to limit EO, derivatives

Houston, 31 December (Argus) — Multiple ethylene oxide (EO) and derivative turnarounds may limit US supply in the first half of 2025. At least six producers of EO and derivatives are expected to be down for maintenance in February-June. Some are just two weeks while others are 30-45 days. Most US EO producers are integrated to produce derivatives such as monoethylene glycol (MEG), diethylene glycol (DEG) and triethylene glycol (TEG). This dynamic has market participants anticipating the derivatives will feel the supply squeeze in the first half of the year. The producers with planned maintenance have the capacity to produce over 3mn metric tonnes (t) of ethylene glycol during the five months of turnarounds, according to Argus data. These supply limitations are expected to tighten the spot market more than the contracted volumes, as the US is a typically a net exporter of MEG, DEG and TEG. Any delays in restarts or unplanned outages could quickly change the US ethylene glycol supply picture. Additionally, multiple steam-cracker maintenance projects are planned for the first quarter of 2025, which will limit supply of feedstock ethylene and likely raise feedstock costs in the short term. Some market participants see the US entering the heavy turnaround season at minimum inventories. The US is still rebuilding stocks of EO derivatives such as MEG, DEG and TEG after constraints in September and October tightened supply. Some planned and several unplanned outages occurred in September that were not resolved until mid-October. During this time, spot supply was harder to find but seasonal demand was starting to slow, according to market participants. Despite these supply constraints, exports of MEG rose by 32pc to 312,800t in September compared to a year earlier. The US exported 317,900t of MEG in October, a 53pc increase on the year. Overlapping turnarounds in the first half of 2025 could slow exports as the US is typically a net exporter of MEG, DEG and TEG. Market participants anticipate first-quarter demand to be similar to the last three months of the year with the addition of some restocking activity. By Catherine Rabe Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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Viewpoint: European BD to face tighter supply in 2025

30/12/24

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30/12/24

Viewpoint: European BD to face tighter supply in 2025

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Viewpoint: Braskem eyes Brazil rebound

30/12/24

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30/12/24

Viewpoint: Braskem eyes Brazil rebound

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Viewpoint: rPET demand robust but challenges persist

30/12/24

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30/12/24

Viewpoint: rPET demand robust but challenges persist

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