Allyl Alcohol, 1,4 BDO (BDO) and Derivatives – Force Majeure Event. Oct 7th, 2020

In Pricing by PattyH

Per the previous letter dated October 7, 2020, Lyondell Chemical Company declared a force majeure event for all products within our Americas PO & derivatives portfolio – PO, P-Glycols, Allyl Alcohol, BDO & Derivatives, P-Series Glycol ethers and P-Specialties glycol ethers, effective October 7, 2020.

As a result of this event, for the foreseeable future, Lyondell Chemical Company is implementing a sales allocation for Allyl Alcohol and BDO & Derivatives, whereby customer’s monthly orders will be allocated as shown in the table below, based on customer’s average monthly purchases for the previous 9 months ( January – September 2020). Orders already placed and shipped in the month of October 2020 will count toward this allocation.

Product

Allocation %

Allyl Alcohol (AA)

100%

1, 4 Butanediol (BDO)

80%

2-Methyl-1,3 Propanediol (MPDiol®)

100%

N-Methyl-2-Pyrrolidone (NMP)

80%

Tetrahydrofuran (THF)

80%

Polytetramethyl Glycol, PolyMEG 1000®

100%

Polytetramethyl Glycol, PolyMEG 2000®

100%

Polytetramethyl Glycol, PolyMEG 650®

100%

Styrene Allyl Alcohol (SAA 100)

100%

Styrene Allyl Alcohol (SAA 101)

100%

Please note that during the period of allocation, customers will not be permitted to borrow ahead of their monthly amounts and unused portions of monthly amounts cannot be added to any subsequent month’s amounts. Additionally, allocations are subject to third party carrier availability and other logistical infrastructure limitations, including, but not limited to, railcar, tank truck, barge/vessel, and port availability, which may impact Product availability and delivery dates. The duration of the force majeure event cannot be determined at this time and the percentage of allocation may change as new information becomes available.

Click here to see the official announcement.

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