TiO2 imports to Russia fell by 36% in the first eleven months of 2016

MOSCOW (MRC) -- Taiwan's Formosa Petrochemical is planning to skip spot purchase of LPG for January delivery as it has become economically unviable to use LPG for petrochemical production, said Plastemart citing Platts.

"We are unlikely to buy [spot] LPG for January," the source said, adding that it is not economical.

Naphtha is the mainstay petrochemical feedstock in Asia for steam crackers, but producers switch to LPG -- which typically comprises propane and butane -- as an alternative if its price is around 90% of naphtha, or when LPG is more than USD50/mt cheaper than naphtha. While the price of physical CFR Japan propane was USD53/mt below the price of CFR Japan naphtha at the Asian close Tuesday, which made LPG consumption for petrochemical production economical by normal standards, the prices of downstream products have tilted the balance in favor of naphtha.
"Now butadiene and benzene prices [are] so high. Buying naphtha is more economical [as naphtha produces more butadiene]," said the source.

As MRC informed earlier, Formosa Plastics is considering construction of a plant in Louisiana to produce 1.2-million t/y of ethylene from shale gas.

Formosa Petrochemical is involved primarily in the business of refining crude oil, selling refined petroleum products and producing and selling olefins (including ethylene, propylene, butadiene and BTX) from its naphtha cracking operations. Formosa Petrochemical is also the largest olefins producer in Taiwan and its olefins products are mostly sold to companies within the Formosa Group. Among the company's chemical products are paraxylene (PX), phenyl ethylene, acetone and pure terephthalic acid (PTA). The company's plastic products include acrylonitrile butadiene styrene (ABS) resins, polystyrene (PS), polypropylene (PP) and panlite (PC).
MRC

МОSCOW (MRC) -- Shell has completed the sale of its 51% shareholding in the Shell Refining Company Berhad in Malaysia, which includes the 125,000-bpd refinery in Port Dickson, to Malaysia Hengyuan International Limited for USD66.3 million, said Hydrocarbonprocessing.

"Shell is the leading retail fuels and lubricants provider in Malaysia, which remains an important market for the company," the company said in a press release. "Shell will maintain supply to its retail and commercial customers, and will honor all current commercial arrangements through existing comprehensive supply agreements in the country. This divestment is consistent with Shell’s strategy to concentrate its global downstream operations in areas where it can be most competitive."

As MRC informed earlier, Shell is considering selling out of its oil fields in Iraq as part of its global USD30 billion asset disposal program.

Royal Dutch Shell, commonly known as Shell, is an Anglo–Dutch multinational oil and gas company headquartered in the Netherlands and incorporated in the United Kingdom.Created by the merger of Royal Dutch Petroleum and UK-based Shell Transport & Trading, it is the fourth largest company in the world as of 2014, in terms of revenue, and one of the six oil and gas "supermajors".
MRC

MOSCOW (MRC) -- ABS is pleased to announce that the ABS-classed Ethane Crystal, the world’s first Very Large Ethane Carrier (VLEC), has loaded its first shipment of ethane cargo at Enterprise Products Partner’s Morgan’s Point Terminal, said Hydrocarbonprocessing.

"Loading ethane onto the world’s first VLEC represents a significant milestone for the global gas industry," said ABS Chairman, President and CEO Christopher J. Wiernicki. "ABS is proud to have worked alongside all of the stakeholders throughout the design, construction, delivery, and now, during operation of this vessel."

Delivered in November 2016, the Ethane Crystal is the first of six VLECs that will be delivered with ABS Class through 2017. The second vessel, the Ethane Emerald, was delivered in early December 2016. This state-of-the-art liquefied gas carrier is able to carry cargoes such as ethane and liquefied petroleum gases (LPG). With an 87,000 cbm cargo carrying capacity, the vessel was the first of its kind to be constructed with a specially designed GTT Mark III membrane cargo containment system.

The Ethane Crystal operates on a trade route between North America and India, carrying ethane that will be used as feedstock for petrochemical production. With its global reach and strong presence in the US, ABS is well-positioned to provide support and guidance throughout the vessel’s life.

"Using vessels like this VLEC can help make expansion into new and emerging markets scalable and economical for the entire supply chain," said ABS Executive Vice President for Global Marine Kirsi Tikka. "As a trusted advisor, ABS provides support to owners and operators throughout the life of their vessels to advance safer and more sustainable shipping."

ABS launched its Global Gas Solutions team in 2013 to support industry in developing gas-related projects.
MRC

MOSCOW (MRC) -- Merck, based in Darmstadt, Germany, a leading science and technology company, has announced to refine and market its innovative 3D plastics technology together in a strategic collaboration with PolyOne, a premier global provider of specialized polymer materials, services and solutions, reported GV.

The companies said they want to develop the in-mould 3D (IM3D) technology and establish it in end-use markets including packaging and consumer electronics. A patent application has been filed for IM3D for plastics applications. Merck already has had success with similar 3D technology for printing on paper.

The human eye perceives in the plastic a three-dimensional image that seems to come out of the flat surface, but the plastic itself is completely smooth and planar. Several processing steps were previously necessary to generate this depth effect in the polymer; now the 3D impression is created in just one step during the injection moulding process itself using technology from Merck. The striking effect turns packaging components such as caps and closures as well as plastic housings into distinctive eye-catchers.

"IM3D is just the beginning of our strategic collaboration with PolyOne. Our objective in the coming years is to jointly launch additional innovative plastics technologies with pearlescent pigments", said Michael Heckmeier, Head of the Pigments & Functional Materials business unit at Merck.

"With the IM3D technology from Merck, brand manufacturers have an outstanding enhancement technology at their disposal to set their premium products apart from the competition," added Christoph Palm, Vice President and General Manager, Color & Additives EMEA & India at PolyOne. "Leading brand owners from the packaging and consumer electronics industries will count among those very interested in this new technology."

As MRC wrote before, in early 2016, PolyOne Corporation announced the acquisition of Magenta Master Fibers (Magenta), an innovative developer of specialty solid color concentrates for the global fiber industry. PolyOne purchased Magenta from BASF for USD22 million, which represents a multiple of 6.8x EBITDA. The acquisition is expected to add USD16 million to revenues and be accretive to earnings in 2016.

PolyOne Corporation is a global provider of specialized polymer materials, services, and solutions with operations in specialty polymer formulations, color and additive systems, polymer distribution and specialty vinyl resins.
MRC