ITEM 1.02 Termination of a Material Definitive Agreement.

We currently have a contract (the "Contract") providing for the sale of propylene by us to INEOS Oelfins & Polymers USA ("INEOS"). The sales under such Contract are expected to provide approximately 18% of our 2012 revenue. The term of the Contract expires on December 31, 2013 and automatically renews for successive one year periods unless either party gives at least twelve months' notice of termination. We are currently negotiating with INEOS as to changes to the commercial terms of the Contract that would become applicable starting in 2014. In order not to be required to purchase propylene from us under the terms of the existing Contract in 2014, INEOS delivered the required twelve months' notice of termination of the Contract on December 3, 2012. Although we believe that we will be able to successfully negotiate a contract with INEOS, we cannot provide at this time any assurances as to the terms of such contract or as to when or whether such an agreement will be reached.

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