Teijin opens new compounding plant in Thailand

MOSCOW (MRC) -- Teijin Ltd has recently started operations at its compounding plant and a related R&D facility in Ayutthaya, Thailand to address the rising demand for new compounds in the ASEAN region, driven by economic development and growth in population, according to PlasticsNesEurope.

Marking Teijin’s third resin-related R&D hub in Asia, the new technical centre will collaborate with R&D units in Japan and China to develop compounds particularly for the automotive and E&E sectors.

In its statement, Teijin said it was positioning the new technical center as a development hub for the ASEAN region in order to to strengthen product development capabilities and increase focus on the fast-growing Chinese and ASEAN markets.

Teijin is currently producing compounds at its facilities in Japan and China and through subcontractor factories across the ASEAN region.

The new 10-kilotonnes-per-annum plant in Thailand will improve the company's production capacity to meet that growing demand more quickly.

The EUR11.3m facility, according to Noboru Yamanishi, general manager of Teijin’s resin & plastic processing business unit, will offer materials which will help reduce weight and enhance functionality of next-generation cars and communication device.

"We aim to contribute to the further development of the region by collaborating proactively with ASEAN customers and partner companies in order to provide innovative products that meet diverse needs," he added.

As MRC informed before, by end 2015, Japan's Teijin shut down its polycarbonate (PC) resin plant in Singapore and put the industrial facility on Jurong Island up for sale through an expression of interest. The Singapore plant haв 225,000 t/y of PC capacity.

According to ICIS-MRC Price report, Russia's estimated PC consumption rose in in the first three quarters of 2019 by 11% year on year to 61,000 tonnes (54,800 tonnes a year earlier). Consumption in the injection moulding sector grew in the first nine months of 2019 by 10% year on year to 7,900 tonnes from 7,200 tonnes a year earlier.

Teijin is a technology-driven global group offering advanced solutions in the areas of sustainable transportation, information and electronics, safety and protection, environment and energy, and healthcare. Its main fields of operation are high-performance fibers such as aramid, carbon fibers & composites, healthcare, films, resin & plastic processing, polyester fibers, products converting and IT. The group has some 150 companies and around 17,000 employees spread out over 20 countries worldwide.

PetroChina aims to produce 25 mln tonnes crude oil each year at Changqing by 2020

MOSCOW (MRC) -- China’s top oil and gas producer, PetroChina, aims to produce 25 million tonnes of crude oil per annum and 42 billion cubic metres (bcm) of natural gas at its Changqing field by 2020, reported HellenicShippinNews with reference to the Gansu provincial government backed media reports, citing a company spokesman.

The spokesman said that the Changqing field also set a target of churning out 28 million tonnes per annum of crude and 45 bcm of gas by 2025.

Changqing, in the Ordos basin in Inner Mongolia, is China’s biggest gas field.

PetroChina in September said in a statement that it found additional proved original oil in-place of 358 million tonnes at the Qingcheng oilfield in Gansu province.

As MRC informed earlier, in April 2019, LyondellBasell announced that PetroChina will use the LyondellBasell Hostalen "Advanced Cascade Process" technology to produce 1,100,000 metric tons per year of high density polyethylene (HDPE) capacity. Licensor selection had been done by China HuanQiu Contracting & Engineering Co., Ltd. (HQC), a wholly owned subsidiary of PetroChina. The low-pressure slurry process technology will be used for a 300,000-mt/year HDPE unit to be built in Korla City, Xinjiang Province, a 400,000-mt/year plant in Jieyang City, Guangdong Province and a 400,000-mt/year plant in Yulin City, Shaanxi Province in the P.R. China.

We also remind that PetroChina Co, Asia’s largest oil and gas producer, reported a sharp fall in third-quarter profit on Wednesday, dragged down by weaker global energy prices and slowing growth in its domestic gas market.

According to MRC's ScanPlast report, Russia's September estimated HDPE consumption fell to 70,570 tonnes from 108,320 tonnes a month earlier. Russian producers reduced their output due to maintenance works, whereas imports were high partially because of an increase in US shipments. The estimated HDPE consumption totalled 862,170 tonnes in January-September 2019, up by 7% year on year. HDPE imports increased by 47%, whereas production dropped by 5% due to a long period of maintenance works at three production capacities.

PetroChina Company Limited, is a Chinese oil and gas company and is the listed arm of state-owned China National Petroleum Corporation, headquartered in Dongcheng District, Beijing. It is China's biggest oil producer.

Kazakhstan to increase Russian crude transit to China

MOSCOW (MRC) -- Kazakhstan plans to increase the transit of Russian oil to China by 30 percent after 2023, reported Reuters with reference to Kazakh oil pipeline operator Kaztransoil's statement.

Russia’s Rosneft currently sends 10 million tons of oil annually to China through Kazakhstan under a deal which will last until 2023. Some of Rosneft’s oil is consumed by a Kazakh refinery and replaced under a swap arrangement.

Asked about further transit plans, Kaztransoil said in an email that it wanted to increase the volume.

"We are now working on the issue of increasing transit volumes to China to 13 million tons a year," the company said.

The boost will become possible after Kazakhstan reverses the domestic Kenkiyak-Atyrau pipeline that is used to ship crude in a westerly direction. Doing so will allow Kazakhstan to both pump more oil eastward and supply its refineries with domestic crude, freeing up volumes for China.

As MRC informed earlier, Kazakhstan has banned the export of oil products by car for a period of six months. Last month Kazakhstan's energy minister Kanat Bozumbaev warned against exports to nearby countries of cheaper gasoline and diesel and said prices in Kazakhstan could be raised to the level of Russian prices, according to media reports published on the energy ministry website.

We also remind that in January 2016, South Korea's LG Chem said it had decided to drop a plan to jointly build a USD4.2-billion petrochemical complex in Kazakhstan, citing a prolonged slump in oil prices and a sharp increase in facility investments. In 2011, the chemical company said it would construct the complex near the western Kazakh city of Atyrau as part of a 50-50 joint venture with two Kazakh companies. The plan involved building ethylene and polyethylene (PE) plants with annual capacities of 840,000 tonnes and 800,000 tonnes, respectively. The project was announced in 2013.

Ethylene is a feedstock for producing PE.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,589,580 tonnes in the first nine months of 2019, up by 7% year on year. Shipments of all PE grades increased.

Nizhnekamskneftekhim significantly reduced November PS shipments to Ukraine

MOSCOW (MRC) -- Nizhnekamskneftekhim (part of the TAIF group) significantly reduced its shipments of high impact polystyrene (HIPS) and general purpose polystyrene (GPPS) to the Ukrainian market in November, according to ICIS-MRC Price report.

Thus, some market participants said the plant would not ship HIPS and GPPS to Ukrainian traders.

Moreover, a major increase in available quantities for Ukrainian buyers are not expected in December either.

An acute shortage of HIPS still remained in the Ukrainian polystyrene (PS) market, traders had available quantities of GPPS.

Due to the current situation, some market participants intend to start purchasing material from Turkey along with Iranian PS.

PJSC "Nizhnekamskneftekhim" (NKNK) - one of the largest Russian manufacturers of petrochemical products. The industrial complex of the company includes ten major production plants and ten departments (Railway Transport, Ethylene trunk, etc..). NKNKh produces more than 120 types of chemical products, including synthetic rubber, polyethylene, polypropylene, polystyrene, surfactants. Nizhnekamskneftekhim is a member of TAIF Group of companies.

SIBUR-Khimprom further reduces November EPS prices for Ukrainian market

MOSCOW (MRC) -- SIBUR-Khimprom once again reduced its expandable polystyrene (EPS) prices for November shipments to Ukrainian buyers by USD10/tonne, according to ICIS-MRC Price report.

This time, the reduction in prices of material was USD10/tonne. At present, November prices of material for the Ukrainian market are at USD1,220/tonne FCA Voronezh, excluding VAT.

As reported previously, in early November, the Russian producer reduced its EPS prices for this month's shipments to Ukraine by USD45/tonne to USD1,230 per tonne, FCA Voronezh, excluding VAT.

At the same time, SIBUR-Khimprom did not limit buyers' orders for November deliveries.

Material has been shipped from a warehouse in Voronezh in a standard mode.

SIBUR-Khimprom (part of SIBUR Holding) specializes in the processing of liquid hydrocarbons and is one of the leading Russian producers of a number of the most important petrochemical products. The company has three main production capacities: production of butyl alcohols and 2-ethylhexanol with a capacity of 160,000 tonnes per year, production of ethylbenzene (220,000 tonnes per year), styrene monomer (SM) production (135,000 tonnes per year) and polystyrene (PS) production (100,000 tonnes per year), ethylene and propylene unit, production of eco-friendly plasticizer DOTF (100,000 tonnes per year).