Output of caustic soda at French petrochemical producer Kem One's chlor-alkali plants at Lavera and Fos-sur-Mer is back at full operational capacity after sharply reduced volumes earlier this month, the company said.
"Stocks were very low. February was bad, with strong losses over three months. Now electrolysis is running as usual and production has returned to normal (at both Lavera and Fos)," spokesman Yves Heroes said Tuesday.
Caustic soda output from Lavera was previously reported to be less than 50% of capacity, with output at around 80% at Fos-sur-Mer.
Output at Lavera has been low for three months due to high water levels on the river Rhone, while technical problems during February curbed production at Fos-sur-Mer.
Spot caustic soda prices in Northwest Europe were assessed $30 lower on the week Tuesday on rising output from Kem One with tanks at maximum capacity, while prices in the Mediterranean eased due to a fall in demand. Prices were assessed at $620/mt FOB Rotterdam.
"Lavera has been gradually ramping up its exports to the Mediterranean and the rest of the EU, which has started to pressure spot prices," a buyer said.
