Nova's force majeure for its ethylene, hydrogen and polyethylene in the US is considered not to have affected MEGlobal's supply of monoethylene in Asia. MEGlobal is a 50:50 joint venture between Dow Chemical and Petrochemical Industries Co of Kuwait.
Due to a storm in the US, Nova Chemicals had declared a force majeure following which its feed stock supply was curbed to a lot of producers. It was this feedstock cut that resulted in Nova shutting down its MEG 1.2-mil mta ethylene plant in Alberta, Canada. However this is not known to be a setback for MEGlobal, securing about 60-70% of its ethylene supply for its 700,000 mta MEG plant in Alberta from Nova Chemicals, as MEGlobal has other plants to provide for its supplies.
Currently, MEGlobal has a 380,000 mta MEG joint-venture plant in Malaysia with Petronas under the Optimal Group in addition to a 350,000 mta joint venture plant in Kuwait with Equate.
27-Jun-05 
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