Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

In this list
Petrochemicals

Formosa Plastics USA to delay LDPE unit, shutdown HDPE blowmolding unit: sources

Agriculture | Energy | Coal | Electric Power | Natural Gas | Oil | Metals | Petrochemicals | Shipping

2020 US Elections

Petrochemicals | Olefins | Polymers

Platts Global Polyolefins Outlook

Electric Power | Renewables | LNG | Infrastructure Utilities

Caribbean Energy Conference, 21st

Bunker Fuel | Oil | Refined Products | Fuel Oil | Shipping | Marine Fuels

Singapore HSFO bunker sales likely to stay robust after crossing 1 mil mt in Oct

Electric Power | Renewables | Natural Gas (North American) | Crude Oil | Steel | Petrochemicals

Commodity Tracker: 5 charts to watch this week

Formosa Plastics USA to delay LDPE unit, shutdown HDPE blowmolding unit: sources

Highlights

LDPE line start up delayed to Oct. 30

HDPE blowmolding unit to shut down for 30 days

Houston — Petrochemicals producer Formosa Plastics USA may delay the start up of its low density polyethylene line in Point Comfort, Texas, until Oct. 30, several sources told S&P Global Platts Oct. 28.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

In addition, sources also said Formosa Plastics will shut down its high density polyethylene blowmolding unit in Point Comfort, Texas for maintenance on Oct. 30 for 30 days.

The company was not available for immediate comment on the delay or shutdown. Spokesperson Fred Neske last said the project was "still ongoing," in an email on Aug. 14 to Platts.

RELATED: Industrial gas demand to resume growth trajectory as hurricane season nears end

RELATED: Zeta's path seen sparing major US chemical operations

"I don't think this is going to shift pricing in any way," one trader source said. "HDPE blowmolding has been tight (for exports) for several months and pricing will continue to be very firm," the source added.

The HDPE blowmolding unit has a capacity of 200,000 mt/year and was previously scheduled for a maintenance in October 2020, sources told Platts on June 11.

The startup of the unit was previously delayed to late-July or early-August from April, a spokesman said on May 8. Formosa had originally planned to bring the unit online by late-2019.

Platts assessed US low density polyethylene down $11 on the week Oct. 28 at $1,124-$1,146/mt (51-52 cents/lb) FAS Houston and HDPE blowmolding was assessed flat week on week at $1,058-$1,080/mt (48-49 cents/lb) FAS Houston.

Both the US domestic LDPE and HDPE blowmolding contracts were assessed at a rollover for October at 74.5-75.5 cents/lb ($1,642.43-$1,664.47/mt) delivered railcar basis and 63-64 cents/lb ($1,388.90-$1,410.94/mt) delivered rail car basis.