Versalis in the red, goes green

ERJ Staff report (PR)

Milan, Italy – Versalis has posted a 13.4% year-on-year increase in its adjusted operating loss to €93 million for the second quarter, parent group Eni’s results for the three months to 20 June show.

The decline at the producer of basic chemicals, styrenics, elastomers and polyolefins was driven by increased oil-based feedstock costs, continued weakness in commodity demand, the Italian group reported.

The widened loses, said Eni, also reflected slow economic growth and increasing competition from Asian producers which left product margins at depressed levels.

On a more positive note, Eni’s statement also highlighted the start-up in June of the Matrìca green chemical project - a 50/50 joint venture between Versalis and Novamont that is converting the Italian group’s loss-making Porto Torres petrochemicals complex.

Matrica’s first commercial plant is employing new technology to transform vegetable oils into monomer and intermediate feedstock for use in the tire, bio-lubricants and plastics industries, among others.

In the coming months another two plants will come online, reaching a total capacity of approximately 70 kilotonnes per year, Eni stated.