Oman's Octal Petrochemicals is still offering polyethylene terephthalate in Europe despite a force majeure, contrary to suggestions by some market sources, the company's managing director said Thursday.
A European PET converter said Wednesday that the producer had contacted buyers to tell them it was postponing availability of PET until January.
But Octal's managing director Nicholas Barakat said this was not the case and the company was still offering PET in the European spot market for December.
Barakat said that despite a technical force majeure on one piece of equipment at its 1 million mt/year PET plant in Salalah, it was still producing ample material, with two reactors running at 120%.
"OCTAL has not ceased to supply its customers the PET resin they traditionally purchase. OCTAL, with its 4 reactor site, is ideally positioned to produce and supply converters and brands on a global basis," Barakat said.
One PET producer on Wednesday was under the impression that the force majeure would lead to less competition from Octal and increased demand for product from European producers.
"It's good because it warns our customers not to rely too much on material from overseas," the European producer said.
