Westlake (NYSE:WLK) -6.2% in Wednesday’s buying and selling, tumbling to its lowest in additional than three months, after it declared force majeure on chlorine and all grades of caustic soda all through its U.S. system, S&P International Platts reported.
Westlake (WLK) mentioned its chlor-alkali manufacturing “has been immediately and adversely impacted as a result of sudden and unanticipated failures of crucial processing tools,” in line with a letter seen by S&P International.
Westlake (WLK) didn’t specify the websites affected by tools failures, however S&P International mentioned the chlor-alkali unit in Natrium, West Virginia, has skilled tools points since concluding a latest turnaround and was working at decreased charges.
S&P International additionally reported the corporate has confronted brine high quality issues from a third-party supplier at its Geismar, Louisiana, chlor-alkali unit, and has launched a complex-wide turnaround at its Plaquemine, Louisiana, web site, together with the chlor-alkali facility.
Westlake’s (WLK) pressure majeure got here a day after prime chlor-alkali producer Olin (OLN) mentioned its Freeport, Texas, plant would temporarily idle a “significant portion” of its ethylene dichloride and related chlor-alkali production.