2003/2/3 Financial Times

Bataan PE being liquidated.

All the assets of Bataan Polyethylene Corp (BPC) are in the hands of the creditors and the company is being liquidated. The shareholders in the joint venture are BP (38.5%), Petronas (38.5%), Sumitomo Corp (5%) and Bataan PE Holdings (18%). In Aug 2001, the company closed its HDPE/ LLDPE facility which has a capacity of 250,000 tonne/y. A decision to pull out of the joint venture was made by the shareholders in Dec 2002. The company is understood to have debts of around $170 M. Debt restructuring is under discussion.


Malaysia Petronas seeks protection for Philippine PE

Malaysia's state-owned Petronas, which is to enlarge its stake in a polyethylene joint venture in the Philippines, has appealed to the local government for extended tariff protection, tax incentives, and more vigilance against smuggling, a source close to the JV, Bataan Polyethylene, said Thursday. The Philippines currently imposes a 15% tariff on PE imports. Under the terms of the ASEAN Free Trade Agreement, the tariff rate is to be reduced to 5% from Jan 1, 2003. Petronas currently has a 39% share in BPC. Late last year, Petronas had agreed in principle to buy BP's 39% share in BPC as well as Sumitomo Corp's 6%, which in the event would give it a controlling stake in the firm. The balance of the shares--16%--belong to Profinda Holdings, a consortium of local Philippine investors.
Bataan's two PE plants have been idle for more than one year due to poor economics and lack of funds. They started up in 2000 and have a combined capacity of 250,000 mt/yr. The plants had not been cost competitive, because the Philippines does not produce ethylene locally. The state-run Philippine National Oil Co-Petrochemical Development Corp has tried for many years to solicit financial support for the country's first naphtha cracker, which would give BPC and another PE producer JG Summit a cheaper source of ethylene feedstock. JG has the capacity to produce 200,000 mt/yr of PE and 180,000 mt/yr of polypropylene at Batangas. It is a tie-up between Marubeni and the local Goconway.

Petronas itself may take a larger than 20% stake in the proposed naphtha cracker at Bataan, a source close to the project had told Platts last week. The Brunei government is said to be interested too in taking a stake. The cracker is to have an ethylene capacity of 1-mil mt/yr. It is tentatively scheduled to start up in 2005 and has been estimated to cost $1.2-bil. Bataan is about 150km west of Manila Bay.

December 3, 2002 Dow Jones Online News 

BP, Other Holders To Exit Philippines Petrochemical JV

BP PLC (BP) said Monday that it and its fellow shareholders have decided to exit from a petrochemical joint venture company in the Philippines.

A spokesman for BP in London said shareholders in the Bataan Polyethylene Company, including Malaysian national oil and gas company Petroliam Nasional Bhd. (P.PET), or
Petronas, plan to enter talks with the financiers of the joint venture and Philippines authorities to figure out the future of the joint venture and its assets.

BP said that though it was too early to know for sure how the talks would pan out, "it is expected that the most likely outcome will be
to wind up/dissolve BPC."

The spokesman said the poor condition of the domestic polyethylene market and difficult economic circumstances in the Philippines were behind the decision to exit the joint venture. He declined to comment on BP's investment in BPC.

BPC's main asset is a polyethylene plant with a 250,000 metric ton a year capacity, which began production in February 2000 and reached full capacity in August 2000.

However, returns failed to meet expectations and production was cut to half capacity in February 2001 and was stopped altogether in August of that year.

The BP spokesman said the plant has around 190 employees, which have been kept on the payroll since production stopped. But he said he expects discussions on redundancy terms to begin, though a small number of core staff would be retained to insure the safe decommissioning of the plant.

BP and Petronas each hold around 39% of BPC. Sumitomo Corp. (J.SUT) owns just over 6% and a consortium of mostly Filipino investors called the Battan Polyethylene Holding Co. hold the rest.

Eastern Petrochemical Company :SHARQ 

サウディ石油化学(株)と、サウジアラビア法人のサウジアラビア基礎産業公社(Saudi Basic Industries Corporation :SABIC)の合弁会社。

 EG  2000年7月にはEG45万トンの新設備が完成

 PE  2000/5 デボトルにより45万トンを75万トンに増強。

 EG  135万トンのうち半分の675,000トンがペトロケミヤの持ち分

 PE  75万トンの40%(30万トン)が日本側引取量


(Chemnet Tokyo 2000年)

インタビュー SHARQの現状と今後の展開
   サウディ石油化学 佐々木 和男社長


━ 工場はいまどんな状態ですか。


━ 生産、販売とも順調というのは、どこに原因があったのですか。


━ 技術面でのトラブルがないというのは、今後の自信にもつながりますね。


━ SPDCの経営陣としても認識が変わってきたのでは。


━ 現地では第3期工事がはじまっています。


━ SPDCとしては、これからどう売っていくと。


━ コスト競争力には自信がありそうですね。

 競争力は圧倒的にある。他のメーカーがどんなに安い値段で出してもフォローできるだけの力はもっている。原料の中核はエタンだが、その価格一つとってみても、トン当たり37ドル。しかもずっとフラットで、この値段は変わらない。これだけみてもいかに競争力があるか、おわかりいただけると思う。しかし、だからといって、例えば日本市場をにらんで量を拡大していこうと考えているかというと、そんなことはない。日本に出て行かなくても、もっと近いところに市場はあるし吸収力もある。日本への輸出は、ロジスティックが高いし、SHARQ社の手取りはあまりよくない。「FOR THE SHARQ」で考えると、日本へ持ってくることは必ずしも良策ではない。が、当社がナショプロとして発足した経緯からして、日本市場に一定のプレゼンスを維持していく積りではある。

ブラジル Politeno Industria e Comercio S/A  http://www.politeno.com.br/ingles/perfil/perfil_descricao.asp

Politeno Industria e Comercio S/A, a petrochemical company located in the Petrochemical Complex of Camacari, in the State of Bahia, Brazil, was founded in 1974 and is currently the second largest in its industry in Latin America. Its working philosophy is to formulate outstanding products through the use of high technology, thus addressing the aim of excelling the fulfillment of its clients quality requirements.

An open-capital enterprise, Politeno is controlled by its main shareholders:

Companhia Suzano de Papel e Celulose        35%
Conepar--- Companhia Nordeste de Participacoes 35%
Sumitomo Chemical
Itochu Corporation

It was after a decision to expand its business that Politeno Industria e Comercio S/A started to use a technology licensed from Sumitomo Chemical Co. Ltd. to produce Ethyl copolymers --- Vinyl Acetate, EVA ---in 1982.
A swing unit was implemented in 1989, aiming the production of linear low density polyethylene copolymers and high density polyethylene (PEL plant).

Located in the Petrochemical Complex of Camacari, State of Bahia, Politeno occupies an area of 184.250 sq. m., adjacent to
COPENE , supplier of the companys main raw material, the Ethene, a gas resulting from the naphtha cracking, done by Petrobras. It is a second-generation industry, its products being used as raw material by third generation industries.

The production facility of Politeno is comprised of two industrial plants operating on a 24 x 7 basis.

The first one, LDPE, is the conventional low- and medium-density Polyethylene and ethyl-vinyl-acetate (EVA) production facility, able to output a production of 145.000 t/ year, employing the Super High Pressuretechnology, licensed from the Japanese company Sumitomo. The unit has two production lines, both with the same capacity. The main equipment is comprised of the primary and secondary compressors and the reactors, operating at pressures up to 2.000 kg/cm2.

LDPE/EVA Plant -1978
Initial capacity: 100 thousand t/ year
Current capacity: 145 thousand t/ year

The second unit, LPE, employs a technology called Solucao, licensed from the Canadian company Nova Chemicals, to produce linear Polyethylene. It is comprised of one production line, currently with a capacity of 195.000 t/ year. Among its main equipment are the polymerization reactor, the reactor loading pump, the main extrusion machine, the stripper and the diluents recovery system.

LLDPE/HDPE Plant - 1992
Initial capacity: 130 thousand t/ year
Current capacity: 195 thousand t/ year

The whole LDPE plant is fully halted for a thorough inspection and maintenance every year, and the LPE plant, every 2 years.

日本経済新聞夕刊 2002/8/20         Brazkem誕生背景



Odebrecht and MarianiがCopene(エチレンメーカー)を買収
  自社グループのTrikem(PVC)や Politeno(PE)等を統合し,Braskem社を設立へ


Odebrecht-Mariani - Copene

Sep 3, 2001 Odebrecht President Emilio Odebrect said
the consortium would form a new company called Braskem which would incorporate Copene and Odebrecht-Mariani's other assets at Camcari.

The Brazilian
Odebrecht-Mariani consortium July 25, 2001 acquired a majority stake in Copene, an ethylene, propylene and butadiene producer in a deal valued at $314-mil. The plants are located at the Camacari petrochemical complex in the northeastern state of Bahia.

Brazil's Central Bank sold Economico group's 63.82% stake in
Conepar, a company which has a 23.69% share in Norquisa, a holding company with a 58.4% control stake in Copene. The sale was an auction in which Odebrecht and Mariani were the sole bidders.

Odebrecht already had a 16.02% stake in Norquisa, through its PVC-producing Trikem subsidiary. Mariani already had a 16.09% stake in Norquisa via its Pronor holding company.

Odebrecht President Emilio Odebrecht Sep 3 said the takeover of Copene would result in a new company called Braskem. It would also incorporate the Odebrecht and Mariani's other petrochemical assets at Camacari. They include Odebrecht's
OPP Petroquimica, a polyethelene producer; Odebrecht's Trikem, a PVC producer and Mariani's Nitrocarbono, a caprolactam producer; a 66.6% Conepar stake in Polialden, a high-density polyethelene producer; a 35% Conepar stake in Politeno, a high and low-density polyethelene producer; and Proppet, a jointly owned PET resin producer.

The companies aimed to have the integration completed 6-9 months after the acquisition.

The Copene board had previously decided on a $210-mil expansion plan to increase its ethylene capacity from 1.2-mil mt/yr to 1.5-mil-mt/yr by 2004. The first expansion-stage will increase production by 80,000 mt/yr in 2002. The second stage will see production increase by 120,000 mt/yr in 2003 and an additional 100,000 mt/yr in 2004.

Polialden was started in 1978 and is presently controlled by COPENE, which has  Mitsubishi Chemicals and Nissho Iwai of Japan as shareholders. Polialden is one of a group of companies to be merged in the near future to form BRASKEM, which will be the largest petrochemical company in South America.


Polialden is one of the largest Brazilian manufacturers of High Density Polyethylene (HDPE) and the only producer of Ultra-High Molecular Weight Polyethylene (UHWMPE) in Latin America, market leader in domestic segments and a strong performer on the overseas market. Located in the Camacari Petrochemical Center in the state of Bahia, Polialden currently produces a number of different types of High Density Polyethylene for different transformation techniques: extrusion, blowing, injection and pressing. Its production capacity is 160,000 tons/year.

Since the beginning of its operations in 1978, the company has considered that its research and development activities are fundamental to the segmentation of its competitive strategy, based on the quality of its services and products. Within this context, in October 1994 Polialden obtained ISO 9002 certification and in 2002 ISSO 9001 certification renewal, version 2000.

Polialden maintains technical assistance and product development services in order to ensure the correct application of its resins, offering customers a full range of commercial and technical services.

The only manufacturer of Caprolactam in Brazil, NITROCARBONO is located in the Camacari Petrochemical Center in the state of Bahia.

The company began production in October 1977, having been designed with a capacity to produce 35,000 tons/year using technology under license from Stamicar-bon b.v., a subsidiary of DSM (Dutch States Mines).

Currently, production capacity is 56,500 tons/year. Besides selling Caprolactam, NITROCARBONO sells intermediate products such as Cycloexene, Cyclohexanone and Ammonium Sulfate, which are generated during the process.

April 10, 2003 Financial Times

Braskem boosts PVC/PP capacity

In a $35 M project, PVC capacity at Braskem's plant in Alagoas State, Brazil, will be raised by 50,000 tonne/y to 254,000 tonne/y. The new capacity will be available in 2005. PVC capacity at facilities in Camacari will also be increased. Ethylene capacity at Camacari will have been raised from 1.18 M tonne/y to 1.28 M tonne/y by early 2004. Polypropylene capacity at facilities in Triunfo, Rio Grande do Sul, will be increased by 100,000 tonne/y, also in early 2004.


Brazil Today 2001 / 08 / 20 (14号)




(1) ペトロブラスのペトロキザ、およびペトロスとプレビの年金基金との了解事項である内部対立を解消させる。
(2) コペネに統合される資産は第一級投資銀行の独立評価の対象となる。
(3) 同社は、出来得る限り早く、国家通貨審議会CMN指令第2829号に定められた第一次工程会社となるべく努力する。
(4) 第二次工程会社に対する指令第2829号の要請を満たした後、普通株、優先株を問わず、すべてのコペネの株主は、上記の統合の後、コペネ支配権譲渡の場合を含めて、その出資金の共同売却権を保障する。
(5) 指令第2829号に定められた財務内容開示制度の原則は既に適用されている。
(6) 資本市場監督機間である証券取引委員会CVM、消費者保護機間である経済防衛行政審議会CADE、および、大蔵省のSAE,法務省のSDEの要請に対して必要なすべての情報を提供し、これに従う業務を決議する。
(7) ブラジル証券取引委員会に対すると同様、既に交渉中の米国証券取引委員会SECに対しても応対する。



Platts 2003/10/8

Brazil's Suzano voices interest in Ipiranga PE/PP assets

Suzano Petroquimica, a major Brazilian thermoplastics resin producer, could buy the thermoplastic resin assets of Ipiranga Petroquimica, a competitor, as part of a movement to consolidate the petrochemical sector in Brazil, the company's CEO said Oct 8. Ipiranga Petroquimica's resins assets are comprised of a 500,000 mt/yr swing polyethylene plant and a 150,000 mt/yr polypropylene plant, both located at the Triunfo base petrochemical complex in southern Rio Grande do Sul state. Suzano would only consider such a purchase if Copesul, the cracker at Triunfo which is co-owned/controlled by Ipiranga, guaranteed feedstock for the PE and PP plants at competitive prices, according CEO Armando Guedes Coelho. Ipiranga would not comment on Guedes Coelho's remarks and hasn't indicated that the PE and PP plants are for sale.

2006/4/5 Braskem

Braskem acquires Politeno and takes a new step forward in strengthening the Brazilian petrochemical sector
Braskem assumes 100% of the voting capital of Politeno and plans to expand its productive capacity

Braskem announces that it has bought Politeno in a move which represents an important step forward in the implementation of its growth strategy, value creation and the consolidation of its integrated business model. The operation was concluded through an agreement to buy out the stakes held by Suzano Petroquimica, Sumitomo Chemical and Itochu in the capital of Politeno. This initiative means that Braskem now holds 100% of the voting capital of Politeno and 96.15% of its total capital.
The acquisition of Politeno marks an important step in the continuity of the consolidation process of the Brazilian petrochemical industry and is aimed at ensuring that the conditions are right for growth and greater competitiveness throughout the productive chain, in order to face the challenges from the globalization of the markets, said Jose Carlos Grubisich, chief executive officer of Braskem. At the same time, Politeno brings to our company a portfolio of products and complementary skills highlighted by its experience in focusing on quality and efficiency. It was so successful in these areas that it won the National Quality Prize in 2002, he added.
Politeno has had average annual production of around 320,000 tons of polyethylene over the last three years. Braskem intends operating the Politeno plant, located at Camacari, to the limit of its current capacity of 360,000 tons a year. Capacity will be expanded to 400,000 tons a year by 2007 at an estimated investment cost of US$10 million.
The initial amount to be paid in Reais by Braskem will be equivalent to US$ 111.3 million, with US$ 60.6 million going to Suzano Petroquimica and US$ 50.7 million to the Japanese shareholders. The final amount of the transaction will be calculated according to a formula for adjusting the price, a mechanism which will take into account Politeno´s performance over the coming 18 months ? reflecting the performance of the margins between polyethylene and ethylene on the Brazilian market.
The investment is very attractive for Braskem and will bring synergies estimated at US$ 110 million at the present net value, according to an analysis carried out by the international consultancy, Monitor. This is a way of creating significant value for all shareholders, said Paul Altit, vice-president of Finance and Investor Relations. The value of these synergies includes the inter-exchange of good practices and technological innovation.
The purchase of Politeno was approved by the Boards of Directors of the companies involved, and the Brazilian anti-trust regulator, the Administrative Council for Economic Defense (CADE), has been informed. With this acquisition, Braskem will further expand its portfolio of products, which was already the most complete on the regional market. It will now include a new family of resins ? medium-density polyethylene, as well as EVA, a resin used in footwear and educational toys, amongst other products. The transaction will also allow Braskem to gain access to an important client portfolio with a leading presence in the region.
The acquisition of Politeno and the plans to increase the capacity of this asset demonstrate Braskem´s confidence in the growth of the Brazilian economy and the positive performance of the petrochemical sector, Grubisich said. At the same time, this transaction reaffirms our strategy of consolidation and growth and represents yet another important step in bringing about the commitment to development which Braskem made when it was founded in 2002.
Braskem, a world class Brazilian petrochemicals company, is the leader in thermoplastic resins sector in Latin America and among the three largest privately-owned industrial companies in Brazil. It has 13 industrial plants distributed throughout the country and produces 5.8 million tons of thermoplastic resins and other petrochemical products annually.

日本経済新聞 2007/4/30

住友化学 世界3ヵ所に販売拠点 サウジ合弁事業 中国・欧州を開拓