Saudi Sipchem to start acetic acid exports in Jan

KHOBAR, Saudi Arabia, Nov 23 - Saudi International Petrochemicals Co <2310.SE> said on Monday it expects to begin exports of its first shipment of acetic acid in January.

The firm started trial operations at its plant in Jubail on Sunday, it said in a statement on the bourse website. This is the second plant of Sipchem's acetyl complex to begin operations.

In August, it started testing production at the carbon monoxide plant which will provide feedstock for the production of acetic acid and other products. [ID:nLI91727]

The acetic acid plant has a production capacity of 460,000 tonnes per year and 50,000 tonnes of acetic anhydride, Sipchem said.

Acetic acid is used as a solvent and in the manufacture of rubber, plastics, acetate fibres and pharmaceuticals.

Almost half of the acetic acid is used as a feedstock for the vinyl acetate monomer plant which Sipchem plans to commission next month, it said in the statement.

Sipchem started developing the acetyls complex in 2005. The complex will produce 450,000 tonnes of acetic acid, 330,000 tonnes of vinyl acetate monomer and 345,000 tonnes of carbon monoxide annually, Sipchem said in August. ((reem.shamseddine@thomsonreuters.com; +9663 8592898; Reuters Messaging: reem.shamseddine.thomsonreuters.com@reuters.net))

Source: http://asia.news.yahoo.com/rtrs/20091123/tbs-sipchem-plant-7318940.html