Industrial gas company,
) launched yet another air separation plant in Brazil, this time
), the largest petrochemical company in the Americas and the
world's largest producer of biopolymers.
The plant has been started up by Praxair's Brazilian
subsidiary, White Martins and is set up in Brazil's north-eastern
state of Alagoas.
The new plant has a capacity of 200 tons per day and will
supply nitrogen and oxygen to Braskem's polyvinyl chloride (PVC)
unit. The unit produces vinylic materials, polyethylene and
polypropylene to serve industries such as footwear, toys,
housing, sanitation and infrastructure. The new PVC unit is
Braskem's highest investment ever in a single project worth $500
With the PVC unit in operation, Braskem's yearly PVC
production will double in the state, making Alagoas the largest
producer of PVC in Latin America. The new plant is perceived as a
vehicle to augment the domestic demand of polyvinyl chloride in
the region with much emphasis on the construction industry.
Earlier in December 2012, the company's subsidiary, Praxair
Volgograd LLC, also commenced its first air-separation plant in
southern Russia. The plant has a capacity of 350 tons per day.
This unit produces oxygen, nitrogen and compressed air for a
division of the Nikochem Group, Kaustik, in order to reduce the
energy consumption of the company at the site by about thirty
Praxair is one of the largest industrial gases companies in
North and South America. We currently maintain a Neutral
recommendation on Praxair. The stock also carries a Zacks Rank #4
(a short-term Sell). Its prime competitor
Air Products & Chemicals Inc.
) has a Zacks Rank #2 (Buy).
AIR PRODS & CHE (APD): Free Stock Analysis
BRASKEM SA (BAK): Free Stock Analysis Report
PRAXAIR INC (PX): Free Stock Analysis Report
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