Petronas picks LyondellBasell PP technology for Rapid plant

MOSCOW (MRC) -- Malaysia's state oil company Petroliam Nasional Bhd (Petronas) has chosen technology from US-listed LyondellBasell for a 900-tonne a year polypropylene (PP) plant in its USD27 billion refinery and petrochemical integrated development (Rapid) project, reported Reuters.

The plant's engineering, procurement, construction and commissioning (EPCC) phase is scheduled to start in November 2015 and mechanical operations will begin in July 2018.

As MRC wrote before, in August 2014, Malaysia's Petronas awarded several major contracts for its Pengerang Integrated Complex (PIC) project, which comprises the Refinery and Petrochemical Integrated Development (Rapid) complex and associated facilities.

Petronas said the recent awards included an engineering, procurement, construction and commissioning (EPCC) contract to Toyo Engineering Corp. for the steam cracker complex.

A consortium of CTCI Corp., Chiyoda Corp., Synerlitz Sdn Bhd and MIE Industrial Sdn Bhd will handle the EPCC work for the residue fluid catalytic cracking units, the liquefied petroleum gas treating unit, propylene recovery unit and caustic neutralization units.

Sinopec Engineering Group received EPCC contracts for the crude distillation, atmospheric residue desulphurization and hydrogen collection and distribution units.

Polypropylenes are used in everything from automotive to household products.

Petronas, short for Petroliam Nasional Berhad, is a Malaysian oil and gas company wholly owned by the Government of Malaysia. The Group is engaged in a wide spectrum of petroleum activities, including upstream exploration and production of oil and gas to downstream oil refining; marketing and distribution of petroleum products; trading; gas processing and liquefaction; gas transmission pipeline network operations; marketing of liquefied natural gas; petrochemical manufacturing and marketing; shipping; automotive engineering; and property investment.
MRC

MOSCOW (MRC) -- Chevron Phillips Chemical Company LP, wholly-owned subsidiary of Chevron Phillips Chemical Company LLC, one of the world’s top producers of olefins and polyolefins, has completed ethylene expansion at its Sweeny complex in Old Ocean, Texas, said Fibre2fashion.

Construction on the expansion began in 2013, and it has been completed with the addition of a tenth furnace to ethylene unit 33 at the Sweeny complex, the company said in a statement.

The latest expansion is expected to increase annual ethylene production at the Sweeny complex by 200 million pounds.

The Sweeny complex is one of the world’s largest single-site ethylene facilities and its capacity has now increased to roughly 12 million pounds of ethylene per day, or 4.3 billion pounds annually.

"This represents the next increment of expansion to our ethylene business. We’re building toward the start-up of the US Gulf Coast Petrochemicals Project in 2017 and supporting incremental growth of our olefins derivative businesses," said Dave Smith, olefins and natural gas liquids vice president for Chevron Phillips Chemical.

Chevron Phillips Chemical’s US Gulf Coast Petrochemicals Project includes the construction of an ethane cracker at the company’s Cedar Bayou plant in Baytown, Texas and two polyethylene units in Old Ocean, Texas near the Sweeny complex.

As MRC reported earlier, in July 2014, Chevron Phillips Chemical (CPChem) received approval from its board of directors and obtained an environmental permit from the Texas Commission on Environmental Quality (TCEQ) to expand normal alpha olefins (NAO) production capacity at its Cedar Bayou plant in Baytown, Texas. This investment will provide an additional 100,000 tpy of capacity. Construction completion is anticipated in July, 2015.

Chevron Phillips Chemica, headquartered in The Woodlands, Texas (north of Houston), US,l is one of the world’s top producers of olefins and polyolefins and a leading supplier of aromatics, alpha olefins, styrenics, specialty chemicals, piping, and proprietary plastics. Chevron and Phillips 66 each own 50% of Chevron Phillips Chemical.

MRC

MOSCOW (MRC) -- Equate Petrochemical Company, Kuwait’s first international petrochemical joint-venture, has announced that it will soon be in the final stages of its plant maintenance (Turnaround), reported the company on its site.

In a statement to Kuwait News Agency (KUNA), Equate President & CEO Mohammad Husain said, "Equate has successfully entered its final stage of the Turnaround’s operations relevant to a number of industrial units for ethylene, polyethylene and ethylene glycol."

Husain noted, "Every phase and step of the Turnaround are implemented in coordination and cooperation with Kuwait’s Environment Public Authority (EPA) by complying with all relevant guidelines. I would like to take this opportunity to express my gratitude and appreciation to the EPA’s management and employees for their support and collaboration that they are extending to all industrial entities. This acknowledgement is also addressed to all public and private bodies which have played a great role to ensure the community’s overall security and safety, especially in the environmental field."

Husain added, "Currently, Equate is preparing to enter the stage of conducting the plants’ return to operations (RTO) after the turnaround. As one of the environmental requirements for the RTO, the flares were operated within a controlled and precise manner as part of the industrial safety guidelines when executing an RTO. All of these practices are global measurements that are applied by all petrochemical plants and within the regulations of relevant regulatory bodies in Kuwait, as well as in accordance with international environment, health and safety standards, especially as stipulated by the EPA."

As MRC informed earlier, in line with The Dow Chemical Company's prior announcement of its intention to rationalize its investments in certain joint ventures, Dow will reconfigure and reduce its equity base in the MEGlobal and Greater Equate joint ventures, including The Kuwait Olefins Company (TKOC) and The Kuwait Styrene Company (TKSC), through a divestment of a portion of the company’s interests in these ventures.

Dow expects such transaction(s) to be completed by mid-2015. While Dow will retain a substantial stake in these long-term partnerships, this effort will open opportunities for new investment in these successful and growing enterprises. Dow remains committed to maximizing the overall value of both MEGlobal and the Greater Equate joint ventures to further enhance their already demonstrated strong value and performance.

Established in 1995, EQUATE Petrochemical Company is an international joint venture between Petrochemical Industries Company (PIC), The Dow Chemical Company (Dow), Boubyan Petrochemical Company (BPC) and Qurain Petrochemical Industries Company (QPIC). Commencing production in 1997, EQUATE is the single operator of a fully integrated world-scale manufacturing facility producing over 5 million tons annually of high-quality petrochemical products which are marketed throughout the Middle East, Asia, Africa and Europe.
MRC

MOSCOW (MRC) - Exports of Russian polyamide (PA) grew to 90,500 tonnes in January-November 2014, up 10% year on year, according to MRC DataScope report.

The exports of Russian PA imply to the delivery of PA 6. The main producer in Russia and, accordingly, exporter of PA 6 is Kuibyshev Azot.
The plant supplies to the domestic and foreign markets polyamide for packaging and textile industries, as well as for compounding.

Export PA 6 is carried out for the following processing technologies: fibers/filaments (55%), compounding (32%), film extrusion (11%), Injection moulding (2%). Export supplies of PA for the textile industry for the period increased by 11% to 49,600 tonnes. Such brands of Russian PA as Volgamid 24, Volgamid 24 SD, Volgamid 34, Volgamid 32 are used for the processing technology fibers/filaments.
Exports of PA for compounding (Volgamid 25, Volgamid 27) increased to 31,200 tonnes in the reporting period, up 34% year on year. Exports of film PA 6 (Volgamid F34) decreased by more than half in the first eleven months of the year to 7,000 tonnes on the back of refocusing to the domestic market and import substitution in the segment.

At the same time, the exports of injection moulding PA 6 increased to 2,000 tonnes over the reported period, up 60% year on year.

Geography of export deliveries of Russian polyamide remained unchanged. The main consumers were China (39.2% of exports), India (15%), Turkey (14%), Germany (12%).
MRC

MOSCOW (MRC) - Russia's imports of polyamide (PA) and engineering plastics based on PA were about 12,000 tonnes in January-November 2014, down 15% compared with the same time a year earlier, according to MRC DataScope.

Thus, imports of PA 6 in the country decreased to 2,700 tonnes over the reported period, down 25% year on year. Imported PA 6 is used for making multilayer films (packing of foodstuff). The share of PA6 in the total imports of PA and PA plastics in the country makes 25%.

The usage of PA for packaging can significantly extend the duration of products, to keep their quality and properties. To date, this material is impossible to replace in the packaging. PA is used in combination with polymers such as polypropylene and polyethylene.

However, Russia has its domestic food PA 6 , produced by Kuibyshev Azot. This allows converters to diversify their procurement of feedstock and reduce costs. At the same time, imports of additives on the basis of the PA, PA copolymers for film extrusion, remained at the same level of last year (3,200 tonnes).

Film PA copolymers occurred for 25% from the total imports delivery of the material in Russia. Film PA copolymers used as various stabilising and colouring agents, improving consumer properties of the films. Import substitution of Film PA copolymers is impossible because of the lack of domestic production. The production process is technologically complex and expensive. Therefore, converters have to continue purchases abroad.

Another significant segment of PA plastic is injection moulding PA copolymers (25% share). Imports of injection moulding PA copolymers for eleven months declined to 3,200 tonnes, down 25% compared with the same time a year earlier. In this sector there is import substitution, which increases in line with the rouble devaluation. There are many Russian producers of various compounds based on PA.

The main application of these materials: mechanical engineering, automotive, electronics, electrical engineering. Consumption of imported PA-emulsion remained unchanged compared with the previous year (1,700 tonnes). There is no production of PA-emulsion in Russia.

Demand for imported PA 66 in January-November 2014 fell to 670 tonnes, down 20% year on year. PA 6 can be replaced partly by injection moulding PA copolymers or other engineering plastics. The popularity of the PA 66 in the Russian market is declining, regardless of the economic situation. Because of the rouble volatility many importers suspended or cut supplies of PA 6 to the Russian market. PA and PA plastics are above the average price segment, so the rise in domestic prices has become quite expensive for converters. Russia tries to reduce imports of PA as more as possible, resulting in the decrease ofthe total imports.


MRC