Orlen Unipetrol Declares Force Majeure on Ethylene Unit in Litvínov Plant

Orlen Unipetrol AS, a prominent Czech chemical producer, has officially declared force majeure due to an unforeseen shutdown at its Litvínov steam cracker facility.

ORLEN Unipetrol RPA s.r.o. informed that on 25 July 2024, a serious incident occurred involving an outage of the cooling water system supplying the Ethylene Unit at their production plant in Litvínov – Záluží, Czech Republic. This incident necessitated an emergency shutdown of the Ethylene Unit, resulting in a complete halt of its operations and a significant disruption in the production of Ethylene Unit products. As a direct consequence, the operation of Polyethylene Unit 2 (PE2) was entirely ceased, and the operations of Polyethylene Unit 3 (PE3) and Polypropylene (PP) had to be significantly scaled down. The company acknowledges the impact of this event on their business partners and assures them that a sales representative will provide further details and assistance regarding the situation.

This event signifies an extraordinary, unforeseen, and insurmountable obstacle that has arisen independently of ORLEN Unipetrol RPA s.r.o.'s will and beyond its control, thereby constituting a force majeure event. This force majeure event continues to persist, significantly affecting the company’s ability to operate as usual. Consequently, ORLEN Unipetrol RPA s.r.o. is currently unable to fulfill its contractual obligations with its business partners. The ongoing nature of this obstacle exacerbates the situation, making it impossible for the company to determine when normal operations can resume. This disruption impacts the continuity and reliability of its business commitments, causing delays and potential breaches in agreements. The company remains in close communication with its partners to manage expectations and mitigate any negative repercussions during this challenging period.

The occurrence of this force majeure event absolves ORLEN Unipetrol RPA s.r.o. of any liability and releases it from its contractual obligations with business partners. This includes, but is not limited to, any responsibility to compensate for damages or losses or to fulfill any other obligations or liabilities stipulated under any contractual provisions providing remedies. The force majeure event thereby nullifies the company's accountability for the disruptions caused by this unforeseen and uncontrollable circumstance.

ORLEN Unipetrol RPA s.r.o. assures its partners that all maintenance and refurbishment works are being executed as a top priority. The company is making every effort to restart the Steam Cracker without any further delays, aiming to minimize any adverse consequences resulting from the current situation. Dedicated teams are working around the clock to ensure that operations resume swiftly and efficiently. ORLEN Unipetrol RPA s.r.o. is committed to transparency and will keep all stakeholders informed of any further developments, ensuring that they are aware of the progress and anticipated timelines for the resumption of normal operations.