DOHA: Qatar Petrochemical Company (Qapco)’s ethylene output reached a record 800,000 metric tonnes last year, about 12% higher than budgeted for.
Qapco exported 172,000MT of ethylene last year, company general manager Dr Mohamed Yousef al-Mulla said yesterday.
“Despite the global financial crisis, economic slowdown and week market conditions, Qapco could achieve record breaking results in 2008 due to the management’s proactive plans and vision.
“In line with this Qapco opened many self-operating offices and warehouses in major markets to ensure quality service to customers,” al-Mulla said.
Besides ethylene, Qapco’s main products are low-density polyethylene (LDPE) and sulphur, which is generated as a byproduct. The required feedstock for the production of ethylene-ethane gas is supplied by Qatar Petroleum.
A significant part of ethylene is used in the production of various grades of LDPE, marketed under the brand name – Lotrene.
Qapco consumes about 400,000MT ethylene a year for manufacturing LDPE. It also supplies about 200,000MT of ethylene to its subsidiary - Qatar Vinyl Company (QVC) for producing ethylene dichloride/vinyl chloride monomer. About 120,000MT of ethylene is exported to the international markets.
Currently, the company’s LDPE output is 400,000MT, which is exported to some 80 countries.
Middle East, he said, has the potential of emerging as a major petrochemical hub in future. Qapco has a key role to play in this.
Al-Mulla said Qapco had ambitious expansion plans on the cards. This year Qapco planned to open some seven more offices and three warehouses, mainly in Asia.
Qapco’s sprawling global network now comprises 18 offices and two warehouses.
Meanwhile, Qapco signed a contract of affreightment (CoA) with Norwegian firm, Norgas Carrier to ship ethylene to various destinations in Asia and Europe.
The agreement was signed for Qapco by Dr al-Mulla and for Norgas by Terje Orehagen. Also present were Morits Skaugen, CEO (I M Skaugen) and Abdulrahman Ali Abdullah, Qapco group manager (Commercial & Marketing).
Last year, Qapco had concluded a COA with Norgas and Eitzen under which about 160,000MT Qapco ethylene was shipped to various destinations in Asia and Europe.