PVC production likely to restart in Italy from March

17-Jan-11

Polyvinyl chloride (PVC) production is likely to restart in Italy in March after a nearly two-year break as a Russian-Swiss fund presents a final offer for Italian producer Vinyls Italia, as per Platts. Production at Italian facilities at Porto Marghera (200,000 tpa), Porto Torres (65,000 tpa) and Ravenna (205,000 tpa) will be restarted next month with a view to resume production in March. The three facilities, Italy's only PVC production sites, were closed in May 2009 as Vinyls Italia went into receivership. The Italian Economic Development Ministry, which is handling the sale, entered into a second round of talks with the Swiss-based fund Gita after deciding that its October bid for the business was more suitable than competing bids from Croatian petrochemical producer Dioki and Italian polyolefins distributor Industrie Generali. According to Il Sole, Gita, having held exclusive negotiations with all related parties, will present a final bid for the purchase of the Vinyls Italia assets on February 15 and the agreement will be closed by March 10. In the meantime, the parties, which include Italian oil major Eni will discuss details of asset transfers and human resources.