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Dow Declares Force Majeure for Propylene Oxide, Propylene Glycols

Petrochemical industry | 10 Jan 2005 IST | Polymerupdate.com
Midland, MI - September 01, 2005

The Dow Chemical Company ("Dow") announced today that it has declared force majeure for propylene oxide (PO) and propylene glycols (PG) produced at Plaquemine, Louisiana due to disruption of production, power, utilities and transportation services (including truck, rail and marine) resulting from "Hurricane Katrina."

The PO/PG plant at Plaquemine is currently idle as a result of disruptions in power and utilities caused by the hurricane. The plant equipment, however, was not damaged during the hurricane.

In addition, transportation and logistics have been disrupted on the Gulf Coast and Southeastern United States in preparation for and as a result of the impact of the hurricane.

"While we expect to resume operations of Plaquemine PO/PG within the next several weeks, continued challenges with transportation and logistics may persist for an extended period of time" said Antulio Borneo, Commercial Director for DOW Oxides & Glycols.

"We cannot determine the full impact or duration of this situation on PO and PG supply at this point in time" said Borneo. "Dow~s primary concern is the safety of our employees and the community. We will work to return to normal activities as soon as it is safe and responsible to do so."

Products included in this declaration of force majeure include: Propylene Oxide, Propylene Glycol Industrial Grade, Propylene Glycol USP/EP, Dipropylene Glycol, Dipropylene Glycol LO+, Tripropylene Glycol Regular Grade and Tripropylene Glycol Acrylate Grade.

Dow, with a global capacity of more than one billion pounds, is the industry leader in the manufacture of propylene glycol. Dow offers propylene oxide, monopropylene glycol (MPG), dipropylene glycol (DPG) and tripropylene glycol (TPG) globally. For more information about propylene glycol at Dow, visit the www.dowpo.com and www.dowpg.com websites.

With a global capacity of more than four billion pounds, Dow is the industry leader in the manufacture of propylene oxide. Dow has production facilities in Texas, Louisiana, Germany and Brazil.

About The Dow Chemical Company
Dow is a leader in science and technology, providing innovative chemical, plastic and agricultural products and services to many essential consumer markets. With annual sales of $40 billion, Dow serves customers in 175 countries and a wide range of markets that are vital to human progress: food, transportation, health and medicine, personal and home care, and building and construction, among others. Committed to the principles of sustainable development, Dow and its 43,000 employees seek to balance economic, environmental and social responsibilities. References to "Dow" or the "Company" mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted.
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