ChemOrbis
Total

25/08/2009 (13:35)


Brief History

Total Petrochemicals was officially created on October 1, 2004 when Atofina changed its structure and set up two new companies; Arkema and Total Petrochemicals. Atofina was the Chemicals Branch of the Total Group. Atofina was one of the world's leaders in base chemicals and commodity polymers, intermediates and performance polymers, and specialty chemicals. The plan was first announced in February 2004 in response to the difficult economic environment. Total decided to create more autonomous, market-oriented and reactive businesses.

Arkema consolidated the businesses of Vinyl Products, Intermediates and Performance Products. Total Petrochemicals on the other hand retained all petrochemical operations and fertilizers. They encompass the petrochemical activities of Total, the fourth largest oil company worldwide. Its business includes base petrochemicals from steam crackers and certain refinery processing plants - olefins (ethylene and propylene), C4 fractions and aromatics (benzene, toluene, xylenes and styrene) and the consumer polymers derived from them (polyethylene, polypropylene, polystyrene and elastomers).

The history of the Total Petrochemicals’ Turkey office was begun with its predecessor Atofina. The reorganization of the company was also official in Turkey on October 1, 2004. It has since changed offices and separated from the Arkema staff, but maintains an office in the country. The reasons for opening its own office were threefold; Turkey was promising and showed strong growth potential; the customs union, while not yet established, was clearly going to be ratified; and lastly, the company wanted to investigate investment opportunities in the country. The first year was spent assuming the business of former agents and learning the market and it immediately grew from there.

The office is here to support its customers and offer service when needed through its expertise. The local office has a team of highly qualified and knowledgeable people, a valuable asset that the company recognizes.

A representative also highlighted that the reorganization of the company shows the Total Group's intention to be a strong player in petrochemicals. It shows it commitment to continue being a global supplier to its customers. The representative said they can now provide more focused customer service and not just better commercial service, but technical service due to the reorganization.

Product Range

The four divisions of Total Petrochemicals include; Base Petrochemicals, Polyethylene, Polypropylene and Styrenics. The Istanbul office offers all grades of PE, PS and PP.

Plastics Volume

Sales volume in 2008 was reported as follows:

PP           60,000 tons

PS           15,000 tons

PE           15,000 tons

Supply Sources

In Polyethylene, the company produces EVA, HDPE, LDPE, MDPE, and metollocene PE at five sites in Europe. In the US they produce HDPE, MDPE and metallocene PE at one site. In addition, Total Petrochemicals has a 20% share of the Qapco (Qatar Petroleum Cy) units, in Qatar which produce LDPE. The company also owns a 36% stake of Qatofin, which is a new LLDPE plant in Qatar scheduled to come onstream in late 2009. Plus, Total has a 51% share of a new HDPE/LLDPE plant in Algeria, which is still under construction and named as Arzew. In South Korea, they have a 50% share of the Samsung-Total Petrochemicals Cy. The site located in Daesan produces LDPE/EVA, HDPE and LLDPE.

In Polypropylene, the company has three PP production sites located in Europe. In North America, it operates the largest single production site for PP in the world. It also has a 50% share in Samsung-Total Petrochemicals Cy. The site located at Daesan operates a PP plant.

In Polystyrene there are four production sites in Europe for GPPS, HIPS and compounds. There is one PS plant in the US. In Asia, PS production takes place in Singapore and in China.

Expansion Plans

The company says the fact that the Total name is being used to brand the petrochemicals business shows a strong commitment and as such they plan to continue expanding in this sector. They have substantial investments in Korea. They also plan to add PP, styrene and aromatics capacity at the Korean site over the next couple of years. The company is also investing in new technologies to increase propylene output at its global units. Total also aims to meet its growing PE demand through the new plants built in Algeria and Qatar.

ChemOrbis/Internet Strategy

They became a member of ChemOrbis because they were interested in the site and the concept. A representative of Total said that the price information on ChemOrbis is truthful and reflects the reality of the market. They believe they can obtain knowledge about the current market conditions by using ChemOrbis and they are also satisfied with the level of customer service.




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