PRODUCTION

The majority of Repsol YPF petrochemical activities takes place in the Spanish industrial centres of Tarragona and Puertollano, at its affiliate Dynasol, in Santander, and at the two Ensenada and Bah�a Blanca centres in Argentina. The most important markets are Europe and the Mercosur (Latin American) countries.

Repsol YPF base petrochemical production is highly integrated with its refining activities, thus benefiting from higher flexibility in supplies to the olefin cracker, an efficient use of by-products, and synergies in the electricity supply.

Integration between base and derivative chemicals is approximately 90%, taking integration to mean the proportion of feedstocks obtained for derivative petrochemicals from base petrochemicals.

Production has increased approximately 10% with respect to 1998, largely as a result of YPF integration from July 1999 onwards.

Overall base petrochemical production was 1,952 thousand tons (excluding butadiene) and derivative chemical production was 1,969 thousand tons.

The derivative petrochemical products produced and marketed by Repsol YPF may be divided into three categories;
 

• Polyolefins: these include a wide range of plastics mainly produced in Spain.

• Industrial products: these include a full range of feedstocks for chemical and manufacturing companies, such as solvents, textile fibres, lubricating oils and detergents.

• Technical products: Petrochemical specialties such as propylene oxide, glycols, polyols, pigments, etc.

Repsol YPF directly produces, distributes and markets its chemical production.  Also, for part of its product list, the company acts through its affiliates:  Polidux, Bronderslev, General Qu�mica, Dynasol, Petroken, Petrochemical Bah�a Blanca and Polisur.

In 1999, Repsol YPF sales were 25% higher than in 1998, with a 34.6%