SIBUR receives first custom-built gas carrier at Ust-Luga terminal

MOSCOW (MRC) -- SIBUR announces the arrival of its first new gas carrier, Sibur Voronezh, at Ust-Luga seaport. The vessel will ship cooled liquefied petroleum gas (LPG) from the company's Baltic Sea terminal on a regular and year-round basis, according to the company's press release.

SIBUR will operate the carrier under a long-term charter agreement with Sovcomflot Group. The carrier was built by Korea-based Hyundai Mipo Dockyard Co. Ltd. The ship has already covered 12,000 nautical miles in 40 days on its journey from the Korean shipyard, where it set-off for Ust-Luga in late July.

The gas carrier is moored for test loading at SIBUR's new terminal as part of its start-up and commissioning programme. Once loading in Ust-Luga seaport has been completed, the carrier will head for Sweden on an LPG delivery.

A naming ceremony for Sibur Voronezh and SIBUR’s other new LPG carrier, Sibur Tobol, took place at Hyundai Mipo Dockyard’s shipyard on 4 July 2013. The gas carriers were named after the Russian Voronezh and Tobol rivers which flow through regions where SIBUR has its operations. Sibur Tobol, is expected to arrive at Ust-Luga in November 2013.

Both gas carriers were designed to SIBUR's specific requirements using the latest shipbuilding technology and in partnership with experts from Sovcomflot Group.

As MRC reported earlier, in the first quarter of 2013, SIBUR's gas processing plants (GPPs) processed 4.9 billion cubic metres of associated petroleum gas (APG), an increase of 5.3% year-on-year. As a result, production of natural gas rose 4.2% year-on-year to 4.2 billion cubic meters. Raw natural gas liquids (NGL) production increased by 12% year-on-year to 1.3 million tonnes. In the first quarter of 2013, the company's natural gas sales volumes increased by 26.7% year-on-year to 3.5 billion cubic meters. External sales of natural gas liquids, which comprise liquefied petroleum gases (LPG), naphtha and raw NGL, rose 11.7% year-on-year to 1.1 million tonnes.

SIBUR is a uniquely positioned vertically integrated gas processing and petrochemicals company. The company owns and operates Russiaэs largest gas processing business in terms of associated petroleum gas processing volumes and are a leader in the Russian petrochemicals industry. As of 31 March 2013, SIBUR operated 27 production sites across Russia and employed over 30,000 personnel. SIBUR serve over 1,500 large customers operating in the energy, automotive, construction, fast moving consumer goods (FMCG), chemical and other industries in approximately 60 countries.
MRC

MOSCOW (MRC) -- Arkema, a France-based chemical manufacturer, has announced that it is moving forward with the construction of a 1234yf LGWP refrigerant gas production plant with an anticipated start-up in 2016, according to the company's press release.

Forane 1234yf refrigerant gas will serve the future needs and satisfy regulations in the global automotive mobile air conditioning industry.

As background, the EU Mobile Air Conditioning Directive bans the use of refrigerants with a Global Warming Potential greater than 150 in new type-approved vehicles manufactured as of January 2013 and in all new vehicles sold in Europe as of January, 2017. Over the past several months, studies conducted by the SAE (Society of Automotive Engineers) have re-confirmed the safe use of 1234yf, effectively reinforcing the EC’s Directive calling for the phase out of the current refrigerant, R134a.

As a leading supplier of refrigerants to the automotive market, Arkema’s position has been that car manufacturers have not been given a sufficiently clear view on the availability and supply conditions for 1234yf, and this has limited progress to convert to the next generation refrigerant. With this investment, the company’s goal is to restore confidence across the automotive sector in 1234yf and Arkema takes this opportunity to assure the automotive industry that 1234yf will be available in commercial quantities to meet the phase down of R134a.

Arkema is executing a two phase strategy based on proprietary technology: this first phase, based in Asia, is a project capable of supplying the emerging needs for 1234yf and a second phase investment in Europe with the objective to fully replace R134a after 2017.

As MRC informed previously, Arkema has selected SpecialChem's Commercial Acceleration Solutions to support the global growth of its water-based fluoropolymer Kynar Aquatec latex in the exterior building and construction markets.

Arkema is a leading European supplier of chlorochemicals and PVC. Kynar and Kynar Flex are registered trademarks of Arkema Inc. With operations in more than 40 countries, some 14,000 employees and 10 research centers, Arkema generates annual revenue of EUR6.4 billion. Moody's Investors Service had upgraded Arkema S.A.'s senior unsecured rating to Baa2 from Baa3. The outlook on the rating was changed to stable from positive.
MRC

MOSCOW (MRC) -- KBR has secured a five-year extension to provide contracted construction and maintenance services to chemical company DuPont, reported Hydrocarbonprocessing with reference to the companies' announcement.

The undisclosed contract value will be booked into backlog in KBR’s third quarter of 2013.

KBR’s contract renewal includes an expansion of services from 17 sites to 26 DuPont sites across the Northeast US and Gulf Coast regions.

"We are pleased to extend our partnership with DuPont for another five years as this award builds upon our powerful 60-year construction and maintenance legacy in the industrial services sector," said Darrell Hargrave, president of KBR's industrial services business.

“KBR’s ability to provide a continuity of service is important for present and future employees as we focus on safety, productivity and providing cost-effective services."

As MRC informed earlier, DuPont Co.is considering a spinoff or sale of its performance chemicals unit, which makes titanium dioxide pigment and Teflon coatings, to focus on less cyclical products and boost shareholder return.

DuPont is an American chemical company that was founded in July 1802 with headquarters located in Wilmington, Delaware. DuPont was the world's third largest chemical company based on market capitalization and ninth based on revenue in 2012.
MRC

MOSCOW (MRC) -- Worldwide demand for thermoplastic elastomers (TPEs) is forecast to rise 5.5% pa to 5.8 million metric tons in 2017, as per Plastemart.

Advances will be driven by ongoing product innovation on the part of TPE manufacturers, allowing these materials to further displace traditional elastomers and thermoplastics in a variety of applications.

In addition, TPE demand will benefit from the ongoing push to reduce motor vehicle weight, particularly as automotive fuel economy standards worldwide become more stringent. Healthy growth will also be fueled by an improved economic outlook in developed regions such as North America and Western Europe, while gains in emerging markets will benefit from further adoption of TPEs over competing materials.

The Asia/Pacific region will continue to be the largest market for TPEs through 2017, rising at an above average pace to account for nearly half of global demand in 2017. China, the world's largest consumer of TPEs in volume terms, will continue to see strong annual growth in demand. Regional gains will also benefit from robust expansion in India and Southeast Asia, although continued sluggishness in the sizable Japanese market will limit growth.

TPE demand in North America and Western Europe will exhibit substantial improvement compared to the recession-plagued 2007-2012 period. Over the long term, however, these regions are expected to account for an increasingly smaller share of global TPE demand. Other world regions will enjoy above-average gains in demand through 2017, particularly the Africa/Mideast region, where current TPE consumption per capita is the lowest worldwide.

Styrenic block copolymers (SBCs) will remain the leading TPE product type through 2017. However, SBC demand will rise at a below average pace compared to TPEs overall, limited by a high degree of market saturation in many large volume applications. The fastest growth is expected for polyolefin elastomers (POEs), a relatively new TPE product class that is gaining rapid acceptance as a performance additive for plastics and packaging adhesives.

Strong gains are also forecast for thermoplastic vulcanizates (TPVs), which are penetrating new applications in motor vehicle, consumer, and medical product markets. A resurgent motor vehicle industry will spur demand for thermoplastic polyolefins (TPOs), although advances will be restrained by maturity in applications such as automotive bumper fascia. Motor vehicles account for the largest portion of the world TPE market, with one-third of total demand in 2012. Gains will be fueled by an improvement in the TPE-intensity of automotive industries in North America and Western Europe, as well as increased TPE usage in emerging markets. The most rapid growth will be seen in the asphalt and roofing market, driven by a rebound in developed world construction spending. The adhesive/ sealant/coatings market will also see good growth, as TPEs continue to displace other resins in adhesive formulations.

As MRC wrote previously, PolyOne GLS Thermoplastic Elastomers, a global leader in high-performance, custom-formulated thermoplastic elastomer (TPE) solutions, has recently introduced Versaflex CE thermoplastic elastomers. Created for applications in the consumer electronics market, this family of TPEs enables consumer electronics companies to differentiate their devices through design, performance and market-driven aesthetics.
MRC

MOSCOW (MRC) -- Midstream player Targa Resources Partners reported a fire at a gas processing plant in New Mexico co-owned by California-based supermajor Chevron, said Upstreamonline.

All workers were "accounted for", Targa said. It did not specify whether there had been any injuries.

The Saunders gas processing facility in Lea County, New Mexico "experienced a fire" on Thursday morning, Targa said.

"Emergency services were notified and arrived promptly on-site," the company said. "The fire was contained and surrounding roads were secured and monitored by emergency personnel."

The fire had been extinguished by late morning. Targa said it would begin to assess damage to the facility.

The facility is owned by Versado Gas Processors, a joint venture 63% owned by Targa and 37% owned by Chevron. Targa is the operator.

Saunders is "the smallest gas processing plant in the Versado system", with around 70 million cubic feet per day churned out. Its total processing capacity is about 280 MMcfpd gross.

As MRC wrote before, Chevron is in advanced talks to sell most of its downstream assets in Egypt and Pakistan in a sale that could be valued at around USD300 million. The company is conducting separate sale processes for its assets in both countries, the sources said in the report.

Chevron Corporation is an American multinational energy corporation headquartered in San Ramon, California, United States, and active in more than 180 countries. It is engaged in every aspect of the oil, gas, and geothermal energy industries, including exploration and production; refining, marketing and transport; chemicals manufacturing and sales; and power generation. Chevron is one of the world"s six "supermajor" oil companies.

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