Sasol lifts force majeure declaration on LLDPE, HDPE at Lake Charles facility: company

New York — Petrochemical producer Sasol has lifted its force majeure declaration on linear low density polyethylene and high density polyethylene at its Lake Charles, Louisiana, complex, Sasol spokeswoman Kim Cusimano said Nov. 25.

Sasol previously declared force majeure on Aug. 31 on all North American polyethylene, including all LLDPE and HDPE grades.

The force majeure was in response to the landfall of Hurricane Laura, which struck the Lake Charles, Louisiana, area on Aug. 27, resulting in widespread power outages.

Sasol's LLDPE capacity is 471,000 mt/year, according to S&P Global Platts Analytics data.

In recent months, HDPE has been tight for blowmolding and injection but readily available for film. Meanwhile, LLDPE has been somehow tight as sources note limited availability for exports.

Sasol was also expected to start up its new 420,000 mt/year LDPE plant in September but has been delayed due to the hurricane and postponed until the fourth quarter of 2020.

On Nov. 24, S&P Global Platts assessed all three of the US PE spot export prices flat day on day with LDPE at $1,080-$1,102/mt (49-50 cents/lb), LLDPE butene at $882-$904/mt (40-41 cents/lb), and HDPE blowmolding at $992-$1,104/mt (45-46 cents/lb), all FAS Houston basis.