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ExxonMobil to begin sales allocation for PP from Baton Rouge plant: letter

Highlights

ExxonMobil Chemical will begin a sales allocation for some grades of polypropylene because of operational difficulties at its Baton Rouge, Louisiana, facility, according to a letter to customers obtained Wednesday by Platts.

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"Presently, we are assessing the full impact to our polypropylene supply capability at this site," according to the letter, which was sent to customers Tuesday. The letter added that that allocation levels would be communicated to customers as soon as possible, if applicable.

It was unclear what the nature of the operational difficulties were at the Baton Rouge Polyolefins Plant, or which specific grades would be impacted. No timeframe for the allocation was provided in the letter.

ExxonMobil Chemical could not be immediately reached for comment.


Platts assessed September contract prices for September at 83 cents/lb for homopolymer injection and 84 cents/lb for fiber grade, unchanged from August.

Export prices for homopolymer injection were assessed Tuesday at $1,841-$1,863/mt FAS Houston.

--Chris Ferrell, christopher.ferrell@platts.com
--Edited by Derek Sands, derek.sands@platts.com