Oxychem

October 31, 2013 

OxyChem and Mexichem Announce Formation of 50/50 Joint Venture to Build Ethylene Cracker in Ingleside, Texas

Occidental Chemical Corporation (OxyChem), a subsidiary of Occidental Petroleum Corporation, and Mexichem, S.A.B. de C.V. (Mexichem) today announced the formation of a 50/50 joint venture, Ingleside Ethylene LLC, to build a 1.2-billion-pound (550千トン）per year capacity ethylene cracker at the OxyChem plant in Ingleside, Texas, along with pipelines and storage at Markham, Texas.

2013/2/11 　OxyChem、シェールガス利用でエチレン新設

As part of a long-term strategic supply relationship between the companies, essentially all of the ethylene produced from the cracker will be consumed in the manufacture of vinyl chloride monomer (VCM) utilizing existing VCM capacity. VCM will be delivered to Mexichem to produce polyvinyl chloride (PVC) and PVC piping systems.

“The ethylene cracker will strengthen the position of Mexichem by taking advantage of competitive energy and feedstock costs in the United States resulting from shale gas development,” said Juan Pablo del Valle Perochena, Chairman of the Board, Mexichem.

“The high degree of integration between the two companies from the wellhead through the use of VCM as a raw material in the manufacturing PVC pipe will also create highly competitive assets on a global basis,” said Chuck Anderson, President, OxyChem.

OxyChem, which will build and operate the cracker, has taken a number of relevant steps needed to begin construction, including: completed the front-end engineering and design; received draft permits from the Texas Commission on Environmental Quality; and applied for U.S. Environmental Protection Agency permits in December 2012. OxyChem expects to award the engineering and construction contract in the fourth quarter of 2013, with construction beginning in mid-2014 and the facilities becoming commercially operational in the first quarter of 2017.

About OxyChem

OxyChem is a wholly owned subsidiary of Occidental Petroleum Corporation, one of the largest U.S. oil and gas companies, based on equity market capitalization. OxyChem manufactures and markets basic chemicals, vinyls and other chemicals used in water treatment, paper production, pharmaceuticals, construction, automobile manufacturing, soaps and disinfection products, among others. OxyChem is the No. 1 producer of VCM worldwide. OxyChem is committed to safeguarding the environment and the health and safety of its employees and surrounding communities. OxyChem’s Ingleside plant is one of 18 facilities the company operates that has achieved Star Status as among the safest work sites in the United States under the Occupational Health and Safety Administration’s Voluntary Protection Programs.

About Mexichem

Mexichem is a global leader in plastic piping systems and a leader in the chemical and petrochemical industry, with more than 50 years experience in Latin America and 33 years in the Mexican Stock Exchange. Its stock market capitalization stands at approximately US $9.7 billion. Mexichem exports to more than 50 countries and is present in Latin America, North America, Europe and Asia. In 2012 it billed more than US $4.8 billion, while EBITDA accounted for close to US $1.0 billion. Mexichem employs more than 17 thousand people in the world. It is the only fully integrated refrigerant gas producer in America. It is also the largest PVC resin manufacturer in Latin America, and actively helps countries grow with wide-ranging products in dynamically developing sectors such as construction, housing, potable water and urban sewerage in Mexico, United States, Europe, Asia and Latin America. For more information about Mexichem visit www.mexichem.com

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Mexichem は1998年にQuímica Pennwalt とPolímeros de Méxicoが合併して設立された。
フランスのElf Atochem とメキシコのGrupo Empresarial Privado Mexicanoが共同で所有したが、後者は1999年にCamesa Groupと合併し、2003年にTotal（Elf Atochem）の持株を買収し、メインの株主となった。

現在の同社の事業はビニルチェーンとフッ素チェーンの2つに分かれている。

１）ビニルチェーン　現在ラテンアメリカ最大の塩ビ樹脂、コンパウンド、塩ビパイプメーカー。

同社は2004年にメキシコ最大の塩ビレジン、コンパウンドメーカーのPrimexを買収した。
2006年に米国の塩ビコンパウンドメーカーBayshore Groupを買収。
2007年にはコロンビアの塩ビメーカーPETCOを買収、また、コロンビア最大の塩ビコンパウンドメーカーGeon Polímeros Andinosの株の50%を買収した。

Mexichemは2012年2月、欧州の塩ビパイプメーカーWavinを531百万ユーロで買収した。

現在の体制（子会社）は以下の通り。

Mexichem Derivados　Mexico に2工場

Mexichem Derivados Colombia　　Zipaquira (Colombia)
　　　苛性ソーダ、次亜塩素酸ソーダ、塩化鉄（5千トン）

Quimir　
　　　燐酸、燐酸ナトリウム、活性炭

Mexichem Resinas Vinilicas　工場は、Altamira I and Altamira II (Tamaulipas)、Tlaxcala (Tlaxcala)、La Presa (Estado de México)
　　　4工場合計で、s-PVC 349千トン、e-PVC 12,500t

Mexichem Resinas Colombia    Cartagena, Colombiaに3つのPVC工場
　　　3工場合計で、PVC 400千トン

Mexichem America Inc. 　New Jersey　
　　　2006年にBayshore Vinyl Compounds、Bayshore Rigids、Ricicla の3社を買収
             コンパウンドとリサイクルPVC

Mexichem Compuestos　メキシコに2工場

C.I. Mexichem Compuestos Colombia　　Cartagena, Colombia
　　　PVC, PE その他のコンパウンド 50千トン

AlpahGary:
            Compounds　

２）フッ素チェーン

Mexichemは2004年にQuímica Flúor を買収し、世界最大の蛍石埋蔵量を誇るCompania Minera Las Cuevasと統合してMexichem Fluorとし、フッ化水素酸の世界最大の垂直統合メーカーとなった。

　・Mexichem Fluor - San Luis Potosí：
　　　　世界最大の蛍石メーカー
　　　　能力はmetallurgic gravel が350千トン、acid-grade concentratesが280千トン
　　　　北米、南米、欧州、日本に輸出

　・Mexichem Flúor - Matamoros：
　　　　世界第二位のフッ化水素酸メーカー
　　　　能力　95千トン
　　　　98%を米国に輸出　　

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March 25, 2013

Mexichem purchasing PolyOne PVC resin assets for $250 million in cash

PolyOne Corp. said it agreed to sell its vinyl dispersion, blending and suspension resin assets to Mexichem SAB of Mexico City for $250 million in cash.

The sale is subject "to satisfaction of regulatory requirements and other customary closing conditions," the Avon Lake-based compounder and distributor said in a news release.

Carlos Manrique, managing director of Mexichem's chlorovinyl network, said a major attraction of the deal is PolyOne's technological development of made-to-measure solutions.

PolyOne's raft of products "will complement in a big way our product portfolio," Manrique said in a statement posted on the Mexican Stock Exchange Web site,

"This acquisition is consistent with [Mexichem's] strategy of downstream vertical integration, focusing on products that offer added value and in which Mexichem has only a small market share.

"The acquisition will strengthen Mexichem's position in the market thanks to the intrinsic competitive advantages of shale gas in the North American region and Mexichem's vertical integration."

PolyOne's resin assets are part of its Performance Products and Solutions business segment. They generated sales of $147 million in 2012, PolyOne said.

"Since we began our specialty transformation, we have divested commodity equity investments including Oxy Vinyls in 2007 and SunBelt in 2011 and reinvested the proceeds to accelerate the growth of our specialty offerings," said Stephen Newlin, chairman, president and CEO of PolyOne, in a statement. "As our only remaining business involved in the direct manufacture of base resins, we view the sale of our resin production assets as a natural and next step in the evolution of our portfolio."

The sale's impact to PolyOne 2013 earnings depends on several factors, including the timing of the transaction's close, the company said. It expects that dilution on an annualized basis will be about 22 cents per share.

Newline said that while the sale "is dilutive to earnings in the near term, we remain committed to our 2015 earnings target of $2.50 per share."

The sale to Mexichem follows another big deal for PolyOne which was finalized earlier this month — the company's $393 million purchase of Spartech Corp. That deal, which was first disclosed on Oct. 24, was completed on March 13.

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12 September 2013  [Source: ICIS news] 

Completion of Mexichem, Pemex JV to secure VCM supply for PVC

The joint venture (JV) for vinyl chloride monomer (VCM) production between Mexican petrochemical company Mexichem and Pemex's petrochemical business unit PPQ (PEMEX Petrochemicals) will secure the long-term supply of VCM needed for Mexichem’s polyvinyl chloride (PVC) operations, a source at Pemex said on Thursday.     JV: Petroquimica Mexicana de Vinilo (PMV)

Mexichem announced the creation of the long anticipated JV on 11 September.

The JV includes a cash investment and assets contribution of up to $518m (€389m), of which PEMEX will participate with $228m in assets.

Mexichem will contribute with $90m in assets and $200m in cash to modernise the Pajaritos petrochemical complex, according to Mexichem.

The resources to be invested in the Pajaritos complex and Mexichem will increase all products related to the chlorine-vinyl chain, Mexichem said.

In the first year, the Pajaritos complex is expected to produce 24,000 additional tonnes of VCM, 146,000 tonnes in the second year, and 217,000 tonnes in the third year, reaching a capacity of 400,000 tonnes/year (to its nameplate capacity of 405,000 tons per year from its current nearly 200,000 tons per year. The project is planned to be completed in the fourth quarter of 2015.)

Caustic soda and VCM imports will largely be eliminated, as the Mexichem supply chain will be integrated, the source said.

The deal was first announced in June 2011 and had been waiting for Pemex board backing since it secured antitrust approval in October 2012.

Mexichem is the largest producer of PVC resin in Latin America.

PEMEX Petrochemicals, produces, commercializes, and distributes High, and Low Lineal Density Polyethylene, Ethylene Oxide, Glycol, Vinyl Chloride, Ethylene, Ammonia, Methanol, Styrene, Benzene, Toluene, Xylem, Paraxylene, Propylene, Orthoxylene and Acrylonitrile to satisfy the demand in the national market and a part of the international market.
Our main activity are petrochemical non basic processes, derived from the first transformation of PEMEX Natural Gas, Methane, Propane and Naphtha