Technip awarded a services contract for a new PTA plant in China

MOSCOW (MRC) -- Technip was awarded a services contract by BP Zhuhai Chemical Company Limited, a joint venture between BP and Zhuhai Port Co. Ltd, for the execution of a new world-scale purified terephthalic acid (PTA) plant at their Zhuhai site in the Guangdong Province, China, according to the company's press-rease.

Technip's scope includes the management of the engineering, procurement and construction services, executed by a team integrated with the client.

The new plant, with a capacity of 1,250,000 tonnes per year, will use BP's latest proprietary technology and is expected to come on stream at the end of 2014.

Technip’s operating center in Rome, Italy, will execute the contract.

This award falls within the framework of the on-going alliance between BP and Technip for PTA and follows Technip’s completion of the Zhuhai 1 and 2 plants, the Zhuhai 2 expansion project as well as the basic and front-end engineering design for the Zhuhai 3 plant.

Purified terephthalic acid (PTA) has the form of a white and crystalline powder primarily applied as raw material in the production of polyester fibers and plastic materials.

As MRC reported earlier, ZapSibNeftekhim LLC, an affiliate of JSC Sibur Holding, awarded two front-end engineering and design (FEED) contracts to Technip for polyethylene plants located in Tobolsk, in the Tyumen region of Russia.
The first contract concerns a linear-low/high-density gas phase polyethylene plant. And in early June, Technip was awarded by Oil Projects Company SCOP a significant contract for project management consultancy (PMC) services for the engineering, procurement and construction (EPC) phase of the Karbala refinery, Iraq.

Technip is a world leader in project management, engineering and construction for the energy industry. Present in 48 countries, Technip has state-of-the-art industrial assets on all continents and operates a fleet of specialized vessels for pipeline installation and subsea construction.
MRC

MOSCOW (MRC) -- Further to the previous announcement, which was published in Tadawul on Dec 26, 2012 Sahara announces that an affiliate company of Tasnee and Sahara Olefins Company (Saudi Acrylic Acid Company) has signed on Sunday (16/6/2013) a tolling and processing agreement with Sadara Chemical Company (Sadara), Saudi Kayan Petrochemical Company (Saudi Kayan) and Saudi Butanol Company (SaBuco), said 4-traders.

Sabuco is a special purpose joint venture company established by Saudi Kayan, Sadara, and SAAC for the purposes of owning and funding a the Butanol production plant (Butanol Plant).

The tolling and processing agreement governs the terms on which, SAAC, Sadara and Saudi Kayan shall supply propylene to the Butanol Plant for conversion into butanol products, and their corresponding rights to offtake such butanol products.

The design capacity of the Butanol Plant is 330,000 metric tons per annum of n-butanol and 11,000 metric tons per annum of iso-butanol, which is scheduled to go on-stream on the first quarter of 2015.

As MRC reported earlier, Sahara Petrochemicals' net profit in 2012 amounted to SR 204.45 million compared to SR 411.58 million for the previous year with a decrease of 50%. However, the company's net profit surged 1,187 % to SR64.49 million in the fourth quarter of 2012 compared to SR5.01 million for the same quarter last year, and an increase of 48% from SR43.71 million from the preceding quarter.

Sahara owns 43.16% of SAAC and will announce any development in this regard later on.
Sadara Chemical Company is a joint venture, formed by Saudi Aramco and The Dow Chemical Company in Saudi Arabia.
MRC

MOSCOW (MRC) -- Praxair Inc. announced it will build its second air separation plant and extend its pipeline system in the Port of Antwerp, the second largest petrochemical enclave in the world after Houston, Texas, said Praxair.

The new 1,300 ton per day plant will increase Praxair’s oxygen and nitrogen capacity in the port and expand its business with customers under long-term contracts, including agreements with several leading global companies. Start-up of the air separation plant is expected in early 2016.

Praxair’s new plant and extensive pipeline system will have the ability to supply oxygen and nitrogen to the majority of chemical companies in the port. The new facility is also designed to produce liquid oxygen, nitrogen and argon to support customers in the pharmaceutical, chemical, glass, cement, metal fabrication and food industries in Belgium and the Netherlands.

According to the Antwerp Port Authority, some of the world’s leading refining, petrochemical and chemical companies have announced more than one billion euro of investments into the Port. The Port Authority also projects an additional one billion euro of investments to be made in the near future.

"The increase of installed capacity, as well as an expansion of Praxair’s pipeline network in the Port of Antwerp, gives us the reach and production to supply the increasing oxygen and nitrogen demand of customers throughout the port," said Todd Skare, president of Praxair Europe. "Integrated ports such as Antwerp have remained competitive, in spite of the extended recessionary period in Europe, and we fully expect the port to continue to grow and attract significant new investment in the future."

As MRC wrote before, in 2012 Praxair bought Volga Azot industrial gas producer from Russia's largest petrochemical group Sibur. The overall capacity of projects implemented by Praxair in Russia exceeds 3,500 tons of gaseous and liquid oxygen, nitrogen, hydrogen and argon per day.

Praxair, Inc. is the largest industrial gases company in North and South America, and one of the largest worldwide, with 2012 sales of USD11 billion. The company produces, sells and distributes atmospheric, process and specialty gases, and high-performance surface coatings. Praxair products, services and technologies are making our planet more productive by bringing efficiency and environmental benefits to a wide variety of industries, including aerospace, chemicals, food and beverage, electronics, energy, healthcare, manufacturing, metals and others.
MRC

MOSCOW (MRC) -- DAK Americas LLC (DAK) announced the planned closure of all operations at its Cape Fear Site, near Wilmington, NC. The site was built in the late 1960's and acquired by DAK Americas in 2001, said Fibre2fashion.

Approximately, 350 full service employees and 250 contract workers are employed on-site to produce PTA, PET resins and polyester staple fibers.

Jorge Young, DAK Americas' President stated: "We acknowledge that this business decision is very difficult for our employees and thank them for their dedication and commitment to our industry for more than 40 years. Closure of the site will allow us to further improve our low cost position by supplying the vast majority of the Cape Fear Site customers from our other North American facilities."

DAK Americas remains dedicated to the polyester value chain and supplying trade leading products and services through its six remaining production facilities in the Americas.

The closure of the site is expected to be completed by September 2013. Employees will be given timely notice and will be provided with a comprehensive separation package as part of the closure.

As MRC wrote earlier, Dak Americas, a subsidiary of Mexican conglomerate Alfa acquired the PET business of US plastic packaging company Wellman in a deal worth approximately USD 185mn in cash and the assumption of certain liabilities.

DAK Americas is one of the largest producers of polyethylene terephthalate (PET) resins, used in carbonated soft drink and water bottles. It also makes terephthalic acid (TPA) monomers, used in PSF and PET products, and specialty polymers, sold in markets such as film and packaging and nonwovens. DAK Americas maintains manufacturing facilities in the Carolinas and Mississippi in the US as well as in Mexico. Alpek, a subsidiary of Mexican industrial giant Alfa, S.A. de C.V., owns DAK Americas.
MRC

MOSCOW (MRC) - In Jan-May 2013, production of key goods made of polymers increased by 11% year on year.
However, some sectors of finished polymers products slowed down in May compared with April indexes, according to MRC analysts.

Long-term holidays in May led to a decline in the production of polymer films and bottles in comparison with the April figures. The production of other key polymers finished goods in May was not reduced.

In general, in January - May of this year, Russian producers of finished products from polymers showed quite high growth in output, the exception was only a pipe sector. According to the Russian Federal State Statistics, May production of films and sheets, non-porous and not combined with other materials totalled 72,300 tonnes, from 74,500 tonnes in April.

During the five months of this year, the total output of these products in Russia made 330,000 tonnes, up 2.4% year on year. The total volume of pipes, hoses and fittings made of polymers in the past month was 48,100 tonnes, up 3,2% over April figures.

In January - April of this year the total production of pipes, hoses and fittings made of polymer was 222,800 tonnes, down 3,7% year on year.

The production of plastic windows and sills in May of this year was 2.3 million sqm, which is 7.5% more than in April.
In general, over the five months of 2013 the total production of these products in Russia amounted to 8.3 million sqm. The volume of production of doors and boxes of plastic in the last month was 75,600 tonnes, down 2.7% less than in April. In January - May of this year the total production of these products amounted to 306,500 tonnes sqm, an increase of 3.4%.

May production of polymer plates and sheets made 13.7 million tonnes, up 2.3% from April. In the first five months of this year, production of these products in Russia amounted to 77,300 tonnes, which is 14.9% more than in January - May 2012.

The total volume of production of bottles, , flasks and other polymer goods in Russia in May of this year was 1.3 billion items, almost same as in April.

For five months, the total production of these products amounted to 5.73 billion items, down 7% year on year.
MRC