01/07/2016
Ufaorgsintez intends to decrease key product output
According to an annual report published by Ufaorgsintez PJSC (part of Bashneft), the company intends to produce 4-8% less of its key range of organic synthesis products and polymers in 2016. The plant intends to bring down its output of propylene by 4.4% to 124.9 thousand tonnes, that of low-density polyethylene (LDPE), by 4.1% to 96 thousand tonnes, of phenol, by 8.2% to 70.6 thousand tonnes, of acetone, by 8.7% to 44 thousand tonnes, of liquid pyrolysis products, by 4.5% to 101 thousand tonnes. The planned decline in the production of butan-butylene fraction is 6.7%, which will bring the output to 31.9 thousand tonnes.
An earlier news report based on data provided by the company indicated a 25% increase in Russia's output of polypropylene in 2015, driven by expansion of capacity at Tobolsk-Polymer LLC (a subsidiary of Sibur), at Poliom LLC (a joint venture between Titan Group, Sibur and Gazprom Neft), and at Stavrolen (part of Lukoil). Quoting from that report by Ufaorgsintez, "following the launch of the new facilities, domestic polypropylene supply overtook Russia's demand, which significantly increased exports." During the same period, Russia's output of low-density polyethylene (LDPE) grew by 1%, while LDPE imports decreased by 14% due to the weakening of the ruble and decreasing demand in some processing segments (including the cable and industrial packaging production fields).
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