Braskem Continues Normal Operation of Triunfo Petrochemical Complex Despite Gasbol Pipeline Leak

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Researched by Industrial Info Resources (Sugar Land, Texas)--Braskem's (NYSE:BAK) (Camacari, Brazil) Triunfo Petrochemical Complex, which the company recently acquired from Compania Petroquimica do Sul, in southern Brazil's Triunfo, Rio Grande do Sul, has been operating at normal capacity despite the recent leak of Petrobras' (NYSE:PBR) (Rio de Janeiro, Brazil) Gasbol pipeline that cut natural gas supplies to the region. Plant officials were forced to use other feedstock to continue operations. The leak, which occurred on November 24, was attributed to severe weather conditions. The problem was detected in the leg of the pipeline in Blumenau, Santa Catarina. For more information on the Gasbol leak, see December 1, 2008, news article - Pipeline Leak Cuts Natural-Gas Supply to Southern Brazil.

Triunfo uses natural gas from Bolivia as the primary fuel to generate the necessary power in its 75-megawatt powerhouse. Because of the lack of natural gas, coal and fuel oil are being burned as substitutes in the boilers in order to keep the facility operating at normal capacity. All of the processing units have been able to continue processing at normal rates using naphtha and condensate, 50% of which is usually bought from Petrobras' REFAP Alberto Pascualini Refinery in Rio Grande do Sul. The remaining 50% is bought on the spot market. At the moment, maintenance groups are working on the pipeline. Some complications, as a result of geographical issues and weather conditions, have caused delays in repairs, which are expected to be complete in January 2009. Until the normal natural-gas supply is restored, Triunfo's powerhouse will continue to use coal and fuel oil as fuel.

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