Momentum is gaining in Japan on facility expansion by oil refining companies for paraxylene (PX) or for mixed xylene (MX) to be used as a direct raw material. While expectations are that the supply–demand balance will remain tight for the foreseeable future, a prominent trend has come about in examining PX investment opportunities on account...
Idemitsu Kosan
Idemitsu Kosan, Showa Shell Enter Pre-Merger Crude Purchase and Shipping Tie-up
Idemitsu Kosan Co. Ltd. (TYO:5019) and Showa Shell Sekiyu KK (TYO:5002) announced on May 9 that they have reached an agreement on collaboration in such areas as crude oil procurement, refining and logistics. The two companies aim to create synergies worth 25 billion yen ($218.69 million) annually in the next three years by forming an...
Industry Outlook 2017: Displays
The most closely followed area in the display market this year is likely to be organic electroluminescence (EL), which is expected to comprise half of small–mid-size smartphone displays as early as mid-2017. Foldable displays, which can be bent or folded, are projected to be introduced between year’s end and early 2018. Anticipating a rise in...
Industry Outlook 2017: Petroleum Refining
A large-scale restructuring of the Japanese petroleum industry is under way. The merger between industry leader JX Holdings Inc. (TYO:5020) and fourth-ranked TonenGeneral Sekiyu KK (TYO:5012) is officially set to start on April 1, 2017, with the Japan Fair Trade Commission having approved the merger and resolutions having passed at each company’s extraordinary general meeting...
Commentary: Tight Global Supply of Hydrogenated Petroleum Resin Looks Set to Ease
The global balance of supply and demand for hydrogenated petroleum resin, used in products such as disposable diapers, appears at present as though it is set to ease. Amid steady expansion in demand, European, U.S. and Japanese manufacturers have initiated plans for new manufacturing plants that are expected to come online between 2017 and 2019....
TonenGeneral Sekiyu Considers Overseas Production of Hydrocarbon Resin
TonenGeneral Sekiyu KK (TYO:5012) is investigating the prospect of overseas hydrocarbon resin production, with existing plants in Japan are already operating at full capacity. And as there are limits on sourcing raw materials in Japan, the aim is to build a new overseas plant located where there is good access to raw materials. Global growth...
Idemitsu Kosan, Mitsui Chemicals to Increase Propane Ratio in Petrochemical Raw Materials
Idemitsu Kosan Co. Ltd. (TYO:5019) and Mitsui Chemicals Inc. (TYO:4183) will increase the propane processing capacity at Chiba Chemicals Manufacturing LLP. Jointly operated by the two companies, the complex has an ethylene manufacturing facility with a current capacity of 370,000 tons per year. Periodic maintenance will be carried out at the complex in the autumn...
Idemitsu Kosan to Reduce Throughput at Three Refineries
Idemitsu Kosan Co. Ltd. (TYO:5019) will reduce the throughput for atmospheric distillation (topper) units at three refineries by a total of 55,000 barrels per day by the end of March 2017. The move is being made in accordance with the Second Notice of the Act on Sophisticated Methods of Energy Supply Structures from the Ministry...
Commentary: Japanese Polypropylene Companies Consider Major Facility Upgrades
Japanese manufacturers of polypropylene (PP) are kicking off upgrades to production infrastructure to be completed for around 2020. These companies had been cutting production capacity in line with contracting domestic demand, but now they will reverse course in a simultaneous effort to boost that capacity. PP self-sufficiency in China is behind the shift. PP manufacturers...
Idemitsu Kosan and Showa Shell Sekiyu Postpone Merger
Showa Shell Sekiyu KK (TYO:5002) and Idemitsu Kosan Co. Ltd. (TYO:5019) announced on Oct. 13 that they are postponing their merger, which had been set to take place on April 1, 2017. With no new date in place, the companies will make an announcement as discussions develop. The delayed merger owes to stalled talks between...
METI Launches IoT Demonstration Project to Improve Chemical Plant Safety
Japan’s Ministry of Economy, Trade and Industry (METI) has initiated a demonstration project to use Internet of Things (IoT) technology for chemical plant safety. Data from pipework tests will be collected and analyzed to help predict external corrosion. There are 13 companies involved in the project, including Asahi Kasei Corp. (TYO:3407). Ten-thousand pieces of data...
Idemitsu Kosan Delays Acquisition of Showa Shell Shares
Idemitsu Kosan Co. Ltd. (TYO:5019) announced on Sept. 7 that it will delay its acquisition of Showa Shell Sekiyu KK (TYO:5002) shares from Royal Dutch Shell Plc., pushing the schedule from September to sometime in October or November. There is a sense that the reason for the delay is due to the regulatory review by...
Idemitsu Kosan and Formosa Petrochemical to Produce Hydrogenated Hydrocarbon Resin in Taiwan
Idemitsu Kosan Co. Ltd. (TYO:5019) will build a manufacturing unit for producing hydrogenated hydrocarbon resin in Taiwan. The company has established a joint venture with Formosa Petrochemical Corp. (FPCC), a Formosa Plastics Group member. The JV is working toward starting operations in the first half of 2019 with a 25,000 ton annual production capacity. The aim...
Prime Polymer Starts Metallocene Polymer Production in Singapore
Prime Polymer Co. Ltd., a joint venture of Mitsui Chemicals Inc. (TYO:4184; 65 percent) and Idemitsu Kosan Co. Ltd. (TYO:5019; 35 percent), announced on Aug. 25 that it has commenced full-scale production of the metallocene polymer Evolue at its new plant in Singapore. Evolue is produced in part from ethylene supplied by Royal Dutch Shell PLC,...
