LyondellBasell plans to retain Houston refinery after asset review

MOSCOW (MRC) -- LyondellBasell said that it would retain its Houston-area refinery following a review of strategic options for the business, said Reuters.

"During the normal course of business it is not unusual for a company to periodically review its asset portfolio," said Michael Waldron, vice president of corporate communications for LyondellBasell. The refinery has the ability to process 264,000 barrels a day of crude.

As MRC informed earlier, LyondellBasell’s US announced the increase of contract prices of monoethylene glycol (MEG) and diethylene glycol (DEG) in the US market from 1 January 2017. January MEG contract prices will be raised by 5 cents per pound (USD110 per ton), and DEG prices – 4 cents per pound (USD88 per tonne).

LyondellBasell is one of the world’s largest plastics, chemical and refining companies and a member of the S&P 500. LyondellBasell manufactures products at 56 sites in 19 countries. LyondellBasell products and technologies are used to make items that improve the quality of life for people around the world including packaging, electronics, automotive parts, home furnishings, construction materials and biofuels.
MRC

MOSCOW (MRC) -- Evonik Industries AG has completed the activities to acquire the specialty additives business (Performance Materials Division) of the US company Air Products, Inc. for USD3.8 billion (approx. EUR3.5 billion), as per the company's press release.

All relevant antitrust authorities have approved the transaction and the integration of the acquired business is underway. The transaction financing was completed successfully in September and will consist of the company’s own funds in the amount EUR1.6 billion, with the other half to be financed by bonds with a nominal value of EUR1.9 billion.

"The successful completion of the acquisition paves the way for swiftly merging the activities of Evonik and the acquired units of the Air Products Performance Materials business," said Klaus Engel, Chairman of the Executive Board of Evonik Industries AG. "It puts Evonik in an excellent position for further profitable growth in the attractive specialty additives market."

"We are well prepared to ensure a smooth business transition and a successful integration. To this end, we have worked intensively with Air Products over the past few months to develop integration plans," confirmed Ralph Sven Kaufmann, Chief Operating Officer and Executive Board member responsible for the integration.

The annual synergy effects in the amount of USD80 million can be confirmed at this time and should be fully realized by 2020 at the latest. Evonik expects to leverage synergies in the amount of €10 to 20 million in the year 2017.

The acquisition is expected to increase the adjusted earnings per share (EPS) of Evonik in the 2017 business year.

As MRC informed before, Evonik Resource Efficiency will invest in a capacity expansion of its performance foams business at its production site in Darmstadt, Germany. The investment will increase the output of the facility by about 20% as a first step. The Group will be adding production equipment to its operations complex that manufactures products marketed under the Rohacell brand. The expanded production capacity is expected to be operational by the second half of 2017.

Evonik, the creative industrial group from Germany, is one of the world leaders in specialty chemicals. Its activities focus on the key megatrends health, nutrition, resource efficiency and globalization. Evonik benefits specifically from its innovative prowess and integrated technology platforms. Evonik is active in over 100 countries around the world.
MRC

MOSCOW (MRC) -- Sinopec Jingmen Petrochemical has restarted operations at its polypropylene (PP) plant, according to Apic-online.

A Polymerupdate source in China informed that the plant was taken off-stream for a scheduled maintenance turnaround on December 15, 2016 and it remained shut until January 3, 2017.

Located at Jingmen, Hubei province in China, the PP plant has a production capacity of 120,000 mt/year.

As MRC informed before, in early June 2016, Sinopec Yangzi Petrochemical, another subsidiary of Sinopec took off-stream its PP plant in China for a brief maintenance. The plant remained off-line for period of around 1 week. Located in Jiangsu province, China, the plant has a production capacity of 200,000 mt/year.

Sinopec Corp. is one of the largest scale integrated energy and chemical companies with upstream, midstream and downstream operations. Its refining and ethylene capacity ranks No.2 and No.4 globally. The company has 30,000 sales and distribution networks of oil products and chemical products, its service stations are now ranked third largest in the world.
MRC

MOSCOW (MRC) -- China's largest state refiner Sinopec Corp has begun supplying the Chinese capital with a new, lower-emission grade of petrol and diesel in line with efforts to combat smog that has plagued the country just a month into the winter, reported Reuters.

Beijing was the first city in China to adopt Sinopec's new fuel standard - known as 'Beijing Six' - with the country as a whole set to roll out a grade dubbed 'National Five', similar to Europe's 'Euro V' grade fuel, for petrol and diesel from Jan 1.

In a statement Sinopec said between Friday and mid-February it plans to equip all of its 562 petrol stations in Beijing to supply Beijing Six fuel. The refiner didn't say how much the project will cost.

While National Five caps sulphur content at 10 parts per million, Beijing Six fuel also has a lower emission of nitrogen oxides and olefins, among other specifications.

Sinopec said three of its refineries - Cangzhou, Yanshan and Qilu - will be the main producers of the new grade. The Yanshan plant, located in suburban Beijing, supplies 75% of all the petrol required for Sinopec's filling stations in Beijing.

As MRC informed before, Russian petrochemical company Sibur is in talks with shareholder Sinopec about investing in a planned gas chemical plant in Russia's Far East, said Reuters in April 2016, citing Sibur boss Dmitry Konov. Sibur plans to buy gas from fields which Russia's Gazprom will develop in Eastern Siberia.

Sinopec Corp. is one of the largest scale integrated energy and chemical company with upstream, midstream and downstream operations. Its principal business includes: exploring, developing, producing and trading crude oil and natural gas; producing, storing, transporting and distributing and marketing petroleum products, petrochemical products, synthetic fiber, fertilizer and other chemical products. Its refining capacity and ethylene capacity rank No.2 and No.4 globally. Sinopec listed in Hong Kong, New York, London and Shanghai in August 2001.
MRC

MOSCOW (MRC) -- Dear readers of MRC!

We congratulate you on Christmas and New Year!

Please accept our sincere good wishes and many happy returns for the year to come!

On this special day, we wish you happiness, prosperity and success, hoping that we continue our association through many more wonderful years ahead! HappyNewYear!


Best wishes,


MRC staff.

MRC