McDermott wins technology contract for Ningbo Union PX Unit in China

MOSCOW (MRC) -- Ningbo Union King Polyester Material Ltd. has awarded a technology contract to McDermott International for a new grassroots paraxylene (PX) plant at Ningbo Union's petrochemicals facility in Ningbo, China, according to Apic-online.

The contract, valued at between USD1-million and USD50-million, involves the technology license, process design engineering and operator training services for a 1.6-million-t/y PX facility.

A schedule for the project was not given.

The PX plant will utilize BP's PX technology, for which McDermott's Lummus Technology is the exclusive licensor. The technology "offers PX production at purities of 99.8%, with lower energy consumption and lower capital costs compared to more traditional PX technologies," McDermott noted.

As MRC reported earlier, in May 2019, McDermott International, Inc. was awarded a sizeable technology contract by MOL Petrochemicals for the basic engineering, technology license, catalyst and Front End Engineering Design (FEED) for an Olefins Conversion Technology (OCT) unit at MOL’s petrochemicals complex in Tiszaujvaros, Hungary. Once complete, this unit will have a production capacity of 100,000 MTA of polymer grade propylene from steam cracker and refinery feedstocks, utilizing Lummus’ proprietary OCT, and CDHydro Deisobutenizer. The unit will also produce an isobutene-rich stream.
MRC

Wood secures contract for petrochemicals project

MOSCOW (MRC) -- Wood has been awarded a new contract by Duqm Refinery and Petrochemicals Industries Company (DRPIC) to provide FEED (front-end engineering design) for a proposed onshore petrochemicals facility at the Special Economic Zone Area Duqm (SEZAD) in southern Oman, as per Hydrocarbonprocessing.

Wood has already delivered associated studies for the facility which will include a world-scale steam cracker unit; production facilities for hydrogen, syngas, methanol, and other petrochemicals; and associated utilities.

SEZAD is one of the largest developments of its kind in the Middle East and North Africa, attracting significant investment for petrochemicals and infrastructure development aimed at supporting Oman’s overall vision for strong and sustainable economic growth.

Effective immediately, the project will be delivered by Wood’s capital projects teams based in Oman and the UK. The work is due to be completed by Q3 2020 and will see up to 300 people working on the project during the peak delivery phase.

Dave Stewart, CEO of Wood’s Asset Solutions business in Europe, Africa, Asia & Australia, comments: "This new contract continues our strong track record in delivering robust engineering design services on large, complex capital projects for greenfield developments in the Middle East.

"The award also demonstrates DRPIC’s confidence in our ability to successfully execute key design projects in support of their significant investment in Oman’s petrochemicals industry and continued growth of the SEZAD."

In 2018, Wood secured a new contract to provide two Terrace Wall double-fired delayed coker heaters at Duqm Refinery, following delivery of the facility’s pre-FEED, FEED, and ongoing project management. After completion, the refinery and petrochemical complex will have the capacity to process around 230,000 barrels of crude oil per day.

Duqm Refinery and Petrochemical Industries Company LLC is a joint venture between Oman Oil Company and Kuwait Petroleum International.

As MRC wrote before, in late March 2019, Wood was awarded a new contract by Sinochem Quanzhou Petrochemical for its 1MTA ethylene and refinery expansion project being built in Quanzhou, in the Fujian province of southeast China.
MRC

HDPE production in Russia down by 1% in Jan-May 2019

MOSCOW (MRC) -- Russia's production of high density polyethylene (HDPE) totalled 408,200 tonnes in the first five months of 2019, down by 1% year on year. Only two producers out of four reduced their output, according to MRC's ScanPlast report.

May total HDPE output in Russia grew to 88,900 tonnes in May, whereas this figure was about 82,900 tonnes a month earlier, Kazanorgsintez increased its capactiy utilisation. Thus, overall HDPE production reached 408,200 tonnes in January-May 2019, compared to 412,400 tonnes a year earlier. Gazprom neftekhim Salavat and Kazanogrsintez's higher output did not allow to compensate for the reduction in the output of the two other plants.

The structure of polyethylene production by plants looked the following way over the stated period.


Kazanorgsintez's total HDPE output rose to 50,300 tonnes in May from 47,200 tonnes a month earlier. The Kazan plant's overall HDPE production totalled 229,000 tonnes in January-May 2017, up by 5.4% year on year.

Stavrolen produced 27,400 tonnes last month, compared to 26,600 tonnes in April. The plant's overall output reached 126,900 tonnes over the stated period, down by 1% year on year.

Gazprom neftekhim Salavat produced 10,500 tonnes in May, compared to 10,800 tonnes a month earlier. The Baskhir plant's overall HDPE output reached 50,000 tonnes in the first five months of 2019, up 1% year on year.

Nizhnekamskneftekhim produced exclusively linear low density polyethylene (LLDPE) over the stated period.

MRC

Evonik commissions second complex for MetAMINO production in Singapore

MOSCOW (MRC) -- On June 18, 2019, and following the scheduled two-year construction period, Evonik officially commissioned its second complex for the production of MetAMINO® (DL-methionine) and strategically important precursors in Singapore, said the company.

“Our methionine complex on Jurong Island, which we commissioned in late 2014 has been a real success story. Now, we want to continue the success story with this second plant,” said Christian Kullmann, chairman of the Executive Board of Evonik, during the opening festivities.

Each plant has an annual production capacity of 150,000 metric tons of DL-methionine elevating Evonik’s annual global capacity to approximately 730,000 metric tons. The new complex has been modeled on the successful existing plant and has been constructed right next to it. “Synergies from the infrastructure that we set up in 2014, the complete backward integration of both plants into the precursor products, and the joint operation of the entire complex will bring about significant structural efficiency gains,” said Kullmann. In total, Evonik has invested more than half a billion euros in the new complex and has created more than 100 additional jobs at the site.

Evonik produces MetAMINO® in world-scale plants in Antwerp (Belgium), Wesseling/Cologne (Germany), Mobile (Alabama, USA), and in Singapore. This global production network ensures the highest supply security for its customers.

As Johann-Caspar Gammelin, chairman of the board of management of Evonik Nutrition & Care GmbH, explained, the demand for the methionine amino acid for animal nutrition in Asia continues to show strong growth. “On the one hand, the growing consumer affluence in Asia supports the increasing demand for animal protein. On the other, producers are increasingly focusing on more sustainable production of meat, eggs, milk, and fish. We are proud that our MetAMINO® plays a key role in supporting these efforts,” says Gammelin.

DL-methionine is an essential amino acid which must be ingested as part of healthy nutrition. When added to poultry and pig feed, the crude protein content in the feed can be reduced, which benefits the animal organisms, and also reduces the impact on the environment. Through its contribution to efficient, healthy and environmentally friendly animal nutrition, the feed additive is an important component in providing a sustainable supply of animal protein for the world’s growing population.

Evonik’s Animal Nutrition business line has over 60 years of experience in the manufacture of essential amino acids and provides customers in more than 100 countries with solutions for efficient and sustainable animal nutrition. By extending its product range to include additional innovative and sustainable solutions in feed additives, and digital software concepts for efficient farm management, Evonik is making a substantial contribution to a holistic approach to healthy animal nutrition and sustainable animal husbandry, while creating added value for its customers.


MRC

Celanese announces increase in July prices for acetate tow

MOSCOW (MRC) -- Celanese Corporation, a global chemical and specialty materials company, has announced it will raise prices of all acetate tow product grades sold globally by up to 10%, as per the company's press release.

This price increase will be effective for orders shipped on or after July 1, 2019, or as contracts otherwise allow.

"To aid in securing sustainability of the Celanese acetate tow business, it is paramount that we increase prices and offset declines. Celanese is committed to our acetate tow business as we continue to invest in manufacturing assets, innovation and service in order to position the company as the strategic partner for our customers," said Marcel van Amerongen, Vice President, Acetate Tow, for Celanese.

As MRC informed earlier, Celanese has increased May list and off-list selling prices for Vinyl Acetate Monomer (VAM) sold in Europe, the Middle East, Africa and Asia Outside China (AOC). The price increases below were effective for orders shipped on or after 24 April, 2019, or as contracts otherwise allow, and are incremental to any previously announced increases. Thus, VAM prices rose, as follows:

- by EUR100/mt - for Europe, the Middle East & Africa;
- by USD50/mt - for AOC.

Besides, Celanese increased its prices of emulsion polymers by USD25/mt for AOC and prices of acetic anhydride by EUR30/mt for Europe, the Middle East and Africa.

Celanese Corporation is a global technology leader in the production of differentiated chemistry solutions and specialty materials used in most major industries and consumer applications. Based in Dallas, Celanese employs approximately 7,600 employees worldwide and had 2017 net sales of USD6.1 billion.
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