By: ICN Bureau
Last updated : March 15, 2022 11:26 am
Olin is unwilling to sell incremental volume into a poor-quality market
Olin Corporation announced that it is temporarily curtailing integrated epoxy production at its Stade, Germany facility.
During first quarter 2022, Olin has experienced weaker epoxy resin demand in Europe than anticipated, which has been exacerbated by the uncertainty following the Russian invasion of Ukraine.
Olin is unwilling to sell incremental volume into a poor-quality market and operating the epoxy resin facility at less than 50% operating rates is impractical. As a result of these factors, the record high natural gas and electrical power costs in Europe, and facility maintenance, Olin has decided to suspend Stade epoxy resin production.
We now expect Epoxy first quarter 2022 results to decrease by approximately $35 to $40 million sequentially from fourth quarter 2021. As Olin's unique model adapts in real-time to globally prioritize system value, we continue to expect first quarter 2022 total Chemicals results to be similar to fourth quarter 2021 levels.