BOREALIS
Turn-around succeeds in 2002 / Integration improved at all levels / Expansion
The European polyolefins group Borealis (DK-2800 Lyngby; www.borealisgroup.com) can look back on a positive year in 2002. Although sales declined slightly to EUR 3.5 bn (3.7 bn), operating profit rose to EUR 83m (54m). Below the line, the company managed to turn around a net loss of EUR 41m in the previous year to a net profit – although modest – of EUR 6m.
Strategically, there was a great deal of movement in the field of feedstock material. The company reports that the integration of olefin production into the petrochemical supply chains of Borealis´ owners (e.g. the Norwegian company Statoil and the Austrian company OMV) improved significantly. In total, Borealis produced around 60% of its olefin requirements itself in 2002. Through the acquisition at the beginning of the year of the 50% stake held by its former partner Shell in a Belgian propylene facility, this percentage will increase further in 2003. With the additional annual capacity of 250,000 t, the group is strengthening its upstream integration and is now the biggest propylene manufacturer in Belgium.
In the downstream segment, Borealis made news on both the technological and the regional front. In a project in cooperation with Bosch Siemens Hausgeräte, a dishwasher tub has been produced for the first time made entirely of an exceptionally resistant proprietary grade of PP, representing a competitive alternative to the previously used stainless steel. The introduction of the new “Casico” platform has opened up the possibility of producing environmentally friendly flame-retardant PE insulation for electric cables in the construction segment with much lower thicknesses than before. Another recent technical success for Borealis involves transparent PP blow moulding grades as a PET substitute in the field of non-carbonated drinks.
Regionally, the company has expanded above all towards the Asian markets. In Abu Dhabi, the Borouge joint venture began full operation in October 2002 with capacities of 600,000 t/y ethylene and 450,000 t/y polyethylene. In spring, the first licensed “Borstar” facility went on stream in China. The production line of the Shanghai Petrochemical Company has a capacity of 250,000 t/y.
• e-Service:
Borealis Annual Report 2002 as PDF document (1.81 MB)
Strategically, there was a great deal of movement in the field of feedstock material. The company reports that the integration of olefin production into the petrochemical supply chains of Borealis´ owners (e.g. the Norwegian company Statoil and the Austrian company OMV) improved significantly. In total, Borealis produced around 60% of its olefin requirements itself in 2002. Through the acquisition at the beginning of the year of the 50% stake held by its former partner Shell in a Belgian propylene facility, this percentage will increase further in 2003. With the additional annual capacity of 250,000 t, the group is strengthening its upstream integration and is now the biggest propylene manufacturer in Belgium.
In the downstream segment, Borealis made news on both the technological and the regional front. In a project in cooperation with Bosch Siemens Hausgeräte, a dishwasher tub has been produced for the first time made entirely of an exceptionally resistant proprietary grade of PP, representing a competitive alternative to the previously used stainless steel. The introduction of the new “Casico” platform has opened up the possibility of producing environmentally friendly flame-retardant PE insulation for electric cables in the construction segment with much lower thicknesses than before. Another recent technical success for Borealis involves transparent PP blow moulding grades as a PET substitute in the field of non-carbonated drinks.
Regionally, the company has expanded above all towards the Asian markets. In Abu Dhabi, the Borouge joint venture began full operation in October 2002 with capacities of 600,000 t/y ethylene and 450,000 t/y polyethylene. In spring, the first licensed “Borstar” facility went on stream in China. The production line of the Shanghai Petrochemical Company has a capacity of 250,000 t/y.
• e-Service:
Borealis Annual Report 2002 as PDF document (1.81 MB)
08.05.2003 Plasteurope.com [14679]
Published on 08.05.2003