South Korea's Hyundai Cosmo Petrochemical (HCP) has closed its No.1 aromatics complex in Daesan for scheduled maintenance from 8 April for 30-45 days.
The No.1 complex can produce up to 120,000 t/yr of benzene and 400,000 t/yr of paraxylene (PX). HCP's No.2 aromatics complex, which has a nameplate capacity of 120,000 t/yr of benzene 800,000 t/yr of PX, is operating at lower rates.
HCP, a joint venture between Hyundai Oilbank and Japan's Cosmo Oil, has reduced operating rates at both aromatics units to 80-85pc since last October because of lower production margins.
The spread between feedstock isomer-grade mixed xylene and PX has been hovering at around $95/t on a cfr basis. Standalone PX producers typically require an MX-PX spread of $120-150/t to cover operational costs and break even.
Hyundai Oilbank will also be having maintenance at its 395,000 b/d Daesan refinery during the same period. It will shut one crude distillation unit, a residual desulphuriser and a fluid catalytic cracker.
