Iran, China ink Major petrochemical deal

MOSCOW (MRC) -- Iran’s National Petrochemical Company (NPC) and the China Petroleum and Chemical Industry Federation (CPCIF) signed a memorandum of understanding (MoU) for construction of a petrochemical park in Iran by Chinese companies, as per Hydrocarbonprocessing.

NPC CEO Reza Norouzzadeh and Chairman of CPCIF Li Shousheng signed the document in Tehran.

Speaking about the deal, NPC Director in Investment Hossein Alimorad said it was signed subsequent to an agreement between the presidents of Iran and China back in 2015 for bolstering bilateral relations in the energy section, especially in the petrochemical industry.

He said, based on the MOU, the NPC and China’s NDRC will pursue enhancement of petrochemical relations between the two countries and the project will be constructed after precise considerations by the two sides.

NPC, as the sole custodian of development of the petrochemical industry in Iran, will provide the paramount land for construction of the park by Chinese companies, added Alimorad.

Jacobs selected by ENCINA for new BTX Plant in Wyoming

MOSCOW (MRC) -- Jacobs Engineering Group Inc. received a contract from ENCINA Chemicals, LLC to provide operations readiness (OR) support services for its new benzene toluene xylene (BTX) processing plant in Gillette, Wyoming, as per Hydrocarbonprocessing.

As part of the front-end loading (FEL 2) phase, Jacobs will evaluate operability, maintainability, layout, operations and maintenance (O&M) guidelines; provide O&M input for the hazard and operability study (HAZOP); and define the size, required capabilities and cost of the O&M workforce.

ENCINA's new processing plant will create BTX with high-value aromatic hydrocarbons containing benzene, toluene and xylene. Also known as hydrogenated pyrolysis gasoline or pygas, these aromatics are extracted for further processing. When commissioned in the summer of 2020, this petrochemical plant will feature a scalable design of 200 to 400 total petroleum hydrocarbon (TPH) and produce approximately 50,000 to 100,000 tons of BTX per year.

"Our advanced Jacobs Operations Readiness and Design for Reliability processes will be implemented on ENCINA's new BTX plant to support the scalability requirements of this facility," said Jacobs Construction, Maintenance and Turnarounds Senior Vice President and General Manager Stephen Hillier. "From initial operability to ongoing maintenance, the safety of the operations and maintenance workforce will be a key focus of Jacobs and ENCINA as we work together on this project."

Siemens awarded long-term service agreement for Canadian cogeneration project

MOSCOW (MRC) -- Siemens has received an order from Inter Pipeline Ltd to provide long-term service for two SGT-800 gas turbine generator sets in Canada, as per Hydrocarbonprocessing.

The units are scheduled for operation at the Central Utilities Block (CUB), part of the company's Heartland Petrochemical Complex currently under construction in Alberta's Industrial Heartland near Fort Saskatchewan.

The 25-year service and maintenance agreement includes scheduled maintenance for the two SGT-800 gas turbine generator sets and associated auxiliaries. Siemens' remote diagnostics services, part of the company's "Digital Services for Energy" portfolio, are included and are designed to predict and prevent issues before they impact turbine operations.

The gas turbine generator sets will be a critical part of the CUB, supplying power and steam to the propane dehydrogenation and polypropylene facilities within the Heartland Complex. This facility will use propane to produce polypropylene (PP), a valuable and recyclable plastic used in consumer products. Commercial operation of the CUB is expected in late 2021.

"This 25-year agreement is a testament to the quality and expertise of our SGT-800 service operations and solutions-based digital offerings," said Thorbjoern Fors, CEO, Siemens Power Generation Services, Distributed Generation and Oil & Gas. "We look forward to working with Inter Pipeline to help ensure the long-term reliability, availability and performance of their SGT-800 units for years to come."

As MRC informed earlier, in December 2017, Inter Pipeline Ltd. announced that its board of directors had authorized the construction of a world-scale integrated propane dehydrogenation (PDH) and PP plant. The facilities, collectively referred to as the Heartland Petrochemical Complex, are estimated to cost USD3.5 B in aggregate and will be located in Strathcona County, Alberta near Inter Pipeline’s Redwater Olefinic Fractionator.

Chevron first-quarter profit jumps 36% on rising oil prices

MOSCOW (MRC) -- U.S. oil producer Chevron Corp said on Friday its first-quarter profit jumped 36 percent thanks to rising crude prices and production, as per the company's press release.

The company posted net income of USD3.64 billion, or USD1.92 per share, compared to USD2.68 billion, or USD1.41 per share, in the year-ago quarter.

Production rose 7 percent to 2.9 million barrels of oil equivalent per day.

As MRC informed earlier, a USD36.8bn expansion of the Tengiz oilfield in Kazakhstan, the largest investment by private sector oil companies this decade, has been given the go-ahead by Chevron of the US, bucking the trend of delays and cancellations resulting from the slump in crude prices since mid-2014.

Chevron is the second-largest US oil group by production and market capitalisation, after ExxonMobil. Chevron Phillips Chemical (part of Chevron), 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.

Wisconsin city lifts evacuation order after refinery blast hurts 16

MOSCOW (MRC) -- Tens of thousands of residents of a northern Wisconsin city were cleared to return to their homes on Friday, the day after an explosion at the Husky Energy Inc refinery injured at least 16 people, reported Reuters with reference to a local official.

The facility, which refines 38,000 barrels of oil a day, was shut on Friday as firefighters monitored hot spots from the fire within the plant, said Husky spokeswoman Kim Guttormson.

Only one of the 16 people injured in the blast remained in Essentia-St Mary's Medical Center in Duluth, Minnesota, a hospital spokeswoman said on Friday. The patient was listed in good condition.

"All indications are that the refinery site is safe and stable and the air quality is clean and normal," Superior Mayor Jim Paine said on Facebook. The city of about 27,000 people lifted the evacuation order as of 6 a.m. local time (1100 GMT).

It was too early to determine the cause of the blasts or the extent of damage to refinery production units at the site, which employs about 165 people, Guttormson said.

Fifteen other people who were treated for blast-related injuries have been released from Essentia Health hospitals, the hospital spokeswoman said.

The cause of the explosion was not clear. After an initial blaze was extinguished, a storage tank was punctured, and a second fire erupted.

Thick black smoke billowed from the facility and hung over Superior throughout the day on Thursday, forcing tens of thousands to flee homes and businesses.

The refinery had additional workers on site preparing for a plant-wide overhaul when the blast occurred, Husky said. It produces asphalt, gasoline, diesel and heavy fuel oils, largely using heavy crude oil imported from Canada.

The U.S. Chemical Safety and Hazard Investigation Board sent a four-person team to investigate the blasts. The non-regulatory federal agency investigates serious chemical accidents such as refinery fires.

Husky purchased the refinery from Calumet Specialty Products Partners LP last year.