Covestro Adnoc – Saudi Arabia cuts crude oil prices 25-06-2024

Covestro Adnoc

Crude Oil Prices Trend 

Crude Oil Prices Trend by Polyestertime

Crude Oil Prices Trend by Polyestertime

Covestro AG has decided to enter into concrete negotiations with the Abu Dhabi National Oil Company (Adnoc) regarding a potential transaction

This decision follows open-ended talks between the two companies. The Board of Management of Covestro, after consulting with the Supervisory Board, has agreed to pursue detailed discussions with Adnoc, aiming for an investment agreement and an adequate exchange of company information to confirm assumptions (confirmatory due diligence).

The Board of Management believes that the discussions so far indicate a potential for Covestro and Adnoc to align on core aspects of a possible transaction, including support for Covestro’s growth strategy.  Covestro Adnoc

Negotiations will start from a possible offer price of €62 per Covestro share, proposed by Adnoc. This price is contingent upon the results of the confirmatory due diligence and the agreement on the investment terms.

“We have made significant progress in our discussions with Adnoc. Therefore, we have decided to proceed with concrete transaction negotiations,” said Markus Steilemann, CEO of Covestro.  Covestro Adnoc

Covestro Adnoc

Saudi Arabia cuts crude oil prices

The oil market has renewed its focus on fundamentals
Oil prices declined in Asian trading as markets remained cautious on the outlook for global demand growth amid expectations of increased supply. This is reported by Arab News.
Meanwhile, global oil demand growth slowed to an annualised 890,000 barrels per day in the first quarter.
Output at China’s refineries in May fell 1.8 per cent year on year as refiners carried out routine maintenance.  Covestro Adnoc
Experts predict that oil production in Saudi Arabia in January–September of this year will amount to 8.98 million barrels per day and then gradually increase to 9.23 million barrels per day in December 2024 and 9.98 in October–December 2025.
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Covestro Adnoc

Austria’s first polyolefin processing plant

ARA patent heralds a new era in plastics recycling

Not all plastic packaging is recyclable – if it is too dirty, too small or consists of different chemical substances, packaging is sorted out and then thermally recycled. ARA has now developed a process to also recycle these sorting residues. Austria’s first polyolefin processing plant will be launched in Pöchlarn, Lower Austria, in summer 2024. ARA has already applied for an EU patent for this innovative process.  Covestro Adnoc

The state-of-the-art plastics sorting plant operated by ARA and its partners Bernegger and Der Grüne Punkt will go into operation in Upper Austria in 2024. High-tech processes will achieve a sorting depth of 80%, which is unique in Austria. The remaining 20% consists mainly of so-called mixed plastic fractions, which can no longer be sorted in an economically viable way. These residues consist of different types of plastics and differ in their chemical and physical properties. This means that valuable secondary raw materials are lost.  Covestro Adnoc

With Austria’s first polyolefin processing plant, UPCYCLE in Pöchlarn, Lower Austria, recovers up to 50% of the recyclable materials from these sorting residues that were previously thermally recycled.


Covestro Adnoc

Dilo Temafa, a leading expert in fibre preparation and natural fibre processing machinery, is delighted to announce the successful sale of a line extension to Eco-Technilin in Bergisch Gladbach

This expansion will enhance an existing flax fibre preparation plant in France, aiming for superior fibre quality.

Eco-Technilin, a well-known producer of sustainable materials, has selected Dilo Temafa’s machines to boost production capacity and efficiency. The plant’s expansion focuses on efficiently cleaning flax scutcher tow to meet modern manufacturing demands while enhancing process stability and plant availability.  Covestro Adnoc

With over thirty years in natural fibre extraction, Dilo Temafa has supplied numerous systems for processing bast fibres such as flax and industrial hemp. These fibres serve various industries, including construction, automotive, nonwovens, and textiles, significantly contributing to reducing the ecological footprint.

Dilo Temafa’s expertise and advanced machinery will enable Eco-Technilin to meet the growing demands for sustainable and high-quality fibres.

This collaboration underscores Dilo Temafa’s commitment to innovation and sustainability in fibre processing technology. The successful implementation of this line extension marks a significant milestone for both companies, promising improved production capabilities and environmental benefits.  Covestro Adnoc

Dilo Temafa, a leading expert in fibre preparation and natural fibre processing machinery, is delighted to announce the successful sale of a line extension to Eco-Technilin in Bergisch Gladbach

Balanced Dynamics in the European Polyamide 66 Market Amid Sluggish Demand

The European Polyamide 66 market has exhibited a stable demand over the past week, supported by a sufficient supply of the product. This stability in demand reflects a balanced market dynamic, despite fluctuations in the prices of key feedstocks. Notably, Adipic Acid prices have experienced a decline, followed by a stabilization period, while cyclohexane prices have remained largely unchanged due to sluggish demand. These trends in feedstock pricing are indicative of the broader market conditions affecting the Polyamide 66 sector.  Covestro Adnoc

Polyamide 66, a crucial polymer used extensively in the automotive and textile industries, has maintained its demand levels despite ongoing challenges in its downstream sectors. The automotive industry, in particular, has faced a period of weakness, with manufacturers reporting a reduction in orders. This downturn can be attributed to a combination of factors, including economic uncertainties and a general slowdown in consumer spending. Similarly, the textile sector has not been immune to these pressures, experiencing subdued demand that has translated into fewer orders for polyamide-based products.

The sufficient supply of Polyamide 66 in the European market has been a key factor in maintaining price stability.  Covestro Adnoc


Balanced Dynamics in the European Polyamide 66 Market Amid Sluggish Demand

Regulatory Barriers Hamper Investment in Indonesia’s Textile Industry

Indonesia’s textile and textile products industry struggles to attract investment, primarily due to unclear and inconsistent regulations, according to the Indonesian Fibre and Filament Yarn Producers Association (APSyFI).

Challenges and Stalled Investments The sector faces significant hurdles, especially in polyester production lines. APSyFI highlights that investments, including those from China’s Tongkun Group, remain stalled. APSyFI General Chair Redma G. Wirawasta expressed concern over the long-awaited investments in polyester raw materials that have yet to materialize.  Covestro Adnoc

Regulatory Certainty Needed Redma emphasized the need for long-term regulatory certainty to ensure the sustainability of businesses within the industry.

Industry Growth Potential Despite these challenges, Indonesia’s minister of industry, Agus Gumiwang Kartasasmita, has a positive outlook for the domestic textile sector. He projects that the domestic fashion industry will grow at an average rate of 4.26 percent per year until 2029, reaching a market value of $9.6 billion. This sector employs over 1.6 million people, underscoring its significance to the economy. Covestro Adnoc

Regulatory Barriers Hamper Investment in Indonesia's Textile Industry

Circular economy – Borealis has introduced its Borcycle GD3600SY compound for use in car interiors, marking a significant step towards sustainable automotive manufacturing 24-06-2024

Covestro Adnoc