Alpek joint venture to make PET resin plant in Russia

By Frank Esposito
Senior Staff Reporter

Published: September 27, 2013 3:02 pm ET

Related to this story

Topics Materials, Materials Suppliers, Joint Venture

Mexican petrochemicals giant Alpek SAB de CV has formed a joint venture to build a massive plant making PET resin and related feedstock in Ufa, Russia.

Mexico City-based Alpek has formed the JV with Russian holding company Sistema JSFC. Each company is using a subsidiary in the deal — Alpek with Grupo Petrotemex SA de CV, and Sistema with JSC United Petrochemical Co.

The plant will have annual capacities of more than 1.3 billion pounds each of PET and purified terephthalic acid feedstock. Alpek’s Integrex-brand PTA process technology will be used at the site. Alpek and Sistema are negotiating with Russian chemical firm JSOC Bashneft to supply the plant with paraxylene feedstock, officials said in a Sept. 26 news release.

The European Commission has approved the forming of the JV. The project remains subject to additional approvals from governmental authorities.

Ufa is located about 800 miles east of Moscow and 200 miles north of Russia’s border with Kazakhstan. The city has a population of almost 1.1 million and is the capital of the Russian republic of Bashkortostan.

Sistema is Russia’s largest publicly traded holding company. The Moscow-based firm has total assets of more than $44 billion in businesses ranging from oil and energy to banking to retail. Its UPC unit produces polyethylene, polypropylene and related products.

Alpek ranks as Mexico’s largest petrochemicals firm, with annual sales of about $7.3 billion in a range of plastics and chemicals, including PET and PP. Its DAK business unit ranks as one of North America’s largest PET makers.

Since 2010, DAK has acquired the North American PET businesses of Eastman Chemical Co. and Wellman Inc. Earlier this year, Alpek paid $350 million for the rights to 900 million pounds of PET capacity at a plant that M&G Group plans to open in Corpus Christi, Texas, in 2016.


Comments

Alpek joint venture to make PET resin plant in Russia

By Frank Esposito
Senior Staff Reporter

Published: September 27, 2013 3:02 pm ET

Post Your Comments


Back to story


More stories

Image

DSM planning North American nylon plant

July 22, 2014 11:41 am ET

Materials firm Royal DSM NV plans to build a new nylon resin plant in North America, but no decision has been made on the plant's exact location.    More

China launches investments in Belarus

July 21, 2014 10:10 am ET

China is preparing to invest in a major bottle grade PET production project planned by the Belarus PET and polyester fibers producer...    More

Image

Polynt, CCP create composite resins giant

July 18, 2014 10:13 am ET

France's Total SA has agreed to sell CCP Composites to Polynt Group SpA, based in Italy, for an undisclosed price.    More

Image

PET prices climb 2 cents

July 17, 2014 2:22 pm ET

After holding their ground in May, North American PET prices rebounded to show an average increase of 2 cents per pound in June.    More

Image

PolyOne closing 2 plants in Brazil

July 16, 2014 12:40 pm ET

Materials maker PolyOne Corp. is closing two of its four Brazilian plants in order to streamline operations and improve its financial performance in t...    More

Market Reports

Injection Molders Market Report & Ranking 2014

This special package contains our 132-page 2014 Market Report on the Injection Molding segment and our exclusive 2014 RANKINGS database of 500+ Injection Molders for a discounted package price.

Learn more

Plastics Recycling Market Review & Outlook 2014

This special report from Plastics News examines the North American plastics recycling industry and provides insight into indicators that impact market viability, including Resin pricing trends for virgin and recycled market material and historical Resin production trends for post- consumer and industrial waste.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Upcoming Plastics News Events

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events