Output of chemical products in Russia grew by 2.4% in January-November 2018

MOSCOW (MRC) -- Russia's output of chemical products rose in November 2018 by 3.4% month on month.
However, this figure increased by 2.4% in the first eleven months of 2018, according to Rosstat's data.

According to the Federal Service of State Statistics, last month's production of basic chemicals increased by 3.4% from October 2018, with ethylene accounting for the main increase. Overall production of chemical products grew in January-November 2018 by 2.4% year on year.

270,000 tonnes of ethylene were produced in November versus 196,000 tonnes a month earlier, Kazanorgsintez, Stavrolen and Ufaorgsintez's production capacities were shut down for maintenance in October. 2,700,000 tonnes of this olefin were produced in the first eleven months of 2018, up by 4.4% year on year.

Last month's production of benzene rose to 112,000 tonnes from 96,600 tonnes in October. Overall output of this product reached 1.278,400 tonnes over the stated period, up by 3.4%year on year.

November production of sodium hydroxide (caustic soda) were 109,000 tonnes (100% of the basic substance), which equalled the October figure. Overall output of caustic soda grew to 1.164,500 tonnes in January-November 2018, up by 3.2% year on year.

Last month's output of mineral fertilizers was 1.886 m tonnes (in terms of 100% nutrients) versus 1.736 m tonnes in October, Russian producers increased their production of nitrogen and potash fertilizers. Overall, Russian plants produced 20.850,000 tonnes of mineral fertilizers in the first eleven months of 2018, up by 1.2% year on year.
Nitrogen fertilizers accounted for the greatest increase - up by 3.8% year on year.

Indian HPCL-Mittal Energy to start new PP plant in 2021

MOSCOW (MRC) -- India's HPCL-Mittal Energy Limited, or HMEL, will start a new 500,000 mt/year polypropylene (PP) plant in Bhatinda in 2021, as per Apic-online.

The company has an existing 440,000 mt/year PP unit at the same site.

Sources welcomed the news, given that India's net deficit in PP was growing.

India is short of around 0.5 million mt/year of polypropylene in 2019, according to S&P Global Analytics.

As MRC wrote before, in March 2018, HMEL received clearance from India’s ministry of environments for the polymer addition project at its Guru Gobind Singh refinery and Petrochemical complex. The proposed units at the petrochemical complex include a 1.2m tonnes/year naphtha cracker, two linear low density polyethylene/high density polyethylene (LLDPE/HDPE) swing plants of 400,000 tonnes/year capacity each. The complex, in Bhatinda region of Punjab province, will also house a 450,000 tonnes/year HDPE unit, a 500,000 tonnes/year PP plant and a 55,000 tonnes/year butane-1 line.

Hindustan Petroleum Corporation Limited (HPCL) is an Indian state-owned oil and natural gas company with its headquarters at Mumbai, Maharashtra and with Navratna status. HPCL has about 25% marketing share in India among PSUs and a strong marketing infrastructure. The Government of India owns 51.11% shares in HPCL and others are distributed amongst financial institutes, public and other investors.

Canada gives struggling oil sector CD1.6 billion boost

MOSCOW (MRC) - The Canadian government said on Tuesday that it would spend CD1.6 billion (USD1.19 billion), mostly through loans, to assist the country’s oil and gas industry, which has struggled to move energy to U.S. markets due to full pipelines, as per Hydrocarbonprocessing.

Natural Resources Minister Amarjeet Sohi said in Edmonton, Alberta, that the aid package would include C$1 billion for energy exporters to invest in new technologies, boost working capital or find new markets.

Canada is producing a record 4.9 million barrels of oil per day this month, according to National Energy Board estimates, but pipeline capacity has not expanded as quickly to move crude to U.S. refineries. The bottlenecks have resulted in steep price discounts.

The federal aid package also includes C$500 million in commercial financing spread over three years to help high-risk oil and gas companies weather current market conditions, Sohi said. Another CD100 million will go toward energy projects through an innovation fund, and CD50 million will fund projects that involve reducing environmental damage from resource extraction.

The funds will stabilize struggling oil companies, but they really need greater access to markets, said Mark Scholz, president of the Canadian Association of Oilwell Drilling Contractors.

The struggles of the oil sector, concentrated in the western province of Alberta, have generated rallies in the past month demanding that Ottawa do more to help. Prime Minister Justin Trudeau’s Liberal government bought the Trans Mountain pipeline in the summer with plans to expand it, but a Canadian court quashed government approval of the project.

This month, Alberta Premier Rachel Notley took the rare step of ordering oil curtailments amounting to 325,000 barrels per day, starting in January, to reduce the province’s glut. Small oil producers will benefit from Ottawa’s support package, although it is “cut and paste” from federal aid for other sectors, Notley told reporters in Calgary.

Both Trudeau and Notley face elections next year and the oil industry’s problems pose a political liability. The Canadian economy is projected to grow by 1.9 percent next year, more slowly than this year’s 2.1 percent pace, partly due to weak energy investment, the think-tank Conference Board of Canada said.

KBR announces a new propane dehydrogenation technology

MOSCOW (MRC) – KBR, Inc. announced that it has developed a new Propane Dehydrogenation (PDH) technology (K-PROTM) that offers high propylene selectivity and conversion, as per Hydrocarbonprocessing.

This technology is based on KBR's catalytic olefins technology (K-COTTM) which is a commercially proven fluidized-bed technology for converting low-value olefinic, paraffinic or mixed streams into high-value propylene and ethylene.

K-PROTM delivers significant capital cost and operating cost advantages when compared with conventional designs. This arises from its fluidized-bed design which delivers reliable operation and high on-stream factors when compared with fixed or moving bed reactors.

K-PROTM technology combines the know-how and experience of K-COTTM with a novel high selectivity, low-cost, dehydrogenation catalyst that does not require precious metals. Plants based on this new technology will be designed as stand-alone propylene production units independent of a steam cracker or a FCC unit. Additionally, existing PDH operating units can be easily modified to benefit from the superior process performance and lower operating cost.

"K-PROTM is a further evolution and extension of KBR's pioneering work in catalytic cracking process technology," said John Derbyshire, KBR President, Technology. "The CAPEX savings for K-PROTM over other commercially available technologies is in the range 20-30% based on our internal studies. In addition the FCC-based design will deliver higher on-stream factors and much better energy efficiency when compared with existing designs. Our clients have every reason to be excited about this newest addition to our olefins technology portfolio."

KBR has over 70 years of experience in olefins plant design and construction. KBR's K-COTTM technology is extremely flexible in terms of feed and products and its versatility can enhance economic performance of steam crackers in a number of ways KBR's SCORETM is a versatile, high yield and low CAPEX steam cracking technology which can be designed for feedstock ranging from ethane to heavy gas oils. With the addition of new PDH technology to its offerings, KBR is positioned better than ever to address all its clients' needs for olefin technology solutions.

Equinor halts output at Norway methanol plant due fire

MOSCOW (MRC) -- A fire broke out at Equinor’s Tjeldbergodden industrial facility in Norway, triggering an evacuation of staff, reported Reuters with reference to the company and police.

The fire was later put out, and no injuries were reported, Equinor added.

Output was halted from the facility’s methanol plant and an air separation plant, according to a company spokeswoman

There was no information available regarding the facility’s third plant, a terminal receiving natural gas from the offshore Heidrun field, she added.

As MRC informed before, in March 2018, Norway’s Statoil announced plans to change its name to Equinor, reflecting its commitment to become a broad energy company rather than one focused only on oil