Total to shut down Lacq steamcracker in 2005, move PEVA unit

Doris Leblond
OGJ Correspondent

PARIS, June 4 -- Depletion of the Lacq gas field will require Total SA to shut down its Lacq steamcracker in southwestern France in 2005 and move its EVA polyethylene (vinyl acetate) production from Atofina's Mont unit, one of the three units on the site. The Lacq steamcracker shutdown was first announced last December within the framework of Total Exploration Production France's restructuring.

Total plans to transfer the PEVA production to Balan, north of Lyon, which produces polyvinyl chloride and polyethylene. Balan already is supplied with ethylene via pipeline.

About 46 million euros will be spent to adapt the Balan site to the new productions. Remaining at Mont will be two other production units—the Rilsan polymer and Lactame units—which have been bolstered regularly through 45 million euros spent for the purpose in 2000-01.

Atofina promised that 108 of the 419 Mont employees concerned with the transfer would receive early retirement or other "employment solutions." The Total Group will continue the reindustrialization of the Lacq area, developing fine chemicals, among other options.