LEVERKUSEN, Germany (March 13) — Lanxess A.G.´s Sarnia, Ontario, plant has returned to full-scale production of butyl rubber and lifted its "force majeure" declaration dating back to last year.
Lanxess was forced to cut back butyl production late in 2005 after encountering raw material supply problems from Nova Chemicals (Canada) Ltd. Lanxess said the reduced business resulting from the force majeure will reduce its pre-tax profits by about $12.5 million.
Nova operates a flexi-cracker in Corunna, Ontario, which produces isoprene monomer and isobutylene, both used to make butyl rubber — which has the chemical name of isobutylene-isoprene rubber, or IIR. A Lanxess spokesman declined earlier to confirm or deny that the raw materials concerned are isobutylene and isoprene.
Nova Chemicals issued a force majeure notice to Lanxess in October 2005 regarding the supply of raw materials after problems arose in connection with maintenance and modernization work at the Corunna plant, and extended the notice several times thereafter.