Lukoil may develop African projects with Saudi Aramco

MOSCOW (MRC) -- Russian crude producer Lukoil is in talks with Saudi Aramco on potential joint projects outside Russia and Saudi Arabia, including some in Africa, reported S&P Global with reference to CEO Vagit Alekperov's statement Wednesday on the sidelines of the Russia-Africa Summit in Sochi.

"We are constantly discussing joint opportunities with them, including their interest in third countries, in Africa, but this is still at the stage of studying and talks," Alekperov told reporters.

He added that the companies are not currently in talks over cooperation in Uzbekistan.

Alekperov said that Lukoil is also looking to increase its cooperation with Eni in the Republic of Congo.

Earlier this year Lukoil acquired a 25% stake in the Marine XII license offshore the Republic of Congo, on which Eni is operator and holds a 65% stake. State-owned company Societe Nationale des Petroles du Congo also holds a 10% interest in the project.

Alekperov added that the company assumes an oil price of around USD60/b in its budget and other economic parameters, and that African projects that the company is looking into are commercially viable at this price.

Lukoil is planning to sign new agreements with African partners during the summit, Alekperov said.

"These are, as a rule, offshore projects, plus a number of African countries asked us to study and give possible comments on downstream," he said.

Finally he said Lukoil was not in talks with Brazil's Petrobras over a stake in two production projects in Nigeria. Earlier this month the Nigerian Petroleum Ministry indicated that Lukoil was interested in taking over Petrobras' stakes.

According to ICIS-MRC Price report, Stavrolen (part of Lukoil), Russia's major polyolefins producer, has resumed its polypropylene (PP) production in Budennovsk after a long scheduled turnaround. The plant's customers said Stavrolen had fully resumed its PP production after the long scheduled maintenance by 15 October. The outage began on 6 September. The start-up of the plant"s high density polyethylene (HDPE) production will take place with a week delay.

Lukoil is one of the leading vertically integrated oil company in Russia. The main activities of the company include operations for exploration and production of oil and gas, production and sale of petroleum products. Lukoil is the second largest private oil Company worldwide by proven hydrocarbon reserves. In Lukoil structure includes one of the largest Russian and Ukrainian petrochemical industries Stavrolen and Karpatneftekhim.
MRC

MOSCOW (MRC) -- Covestro, part of the Bayer Group, has significantly increased its shipments of PC granules into Russia this year, according to MRC's DataScope report.

Thus, 8,600 tonnes of this producer's material were imported to the Russian market in the first three quarters of 2019, compared to 3,700 tonnes in January-September 2018, up by 2 times year on year.

The share of Covestro deliveries reached in January-September 2019 61% of the total imports from non-CIS countries versus 50% a year earlier.

Covestro's shipments into the country rose in September 2019 by 35% year on year to 1,100 tonnes from 780 tonnes in September 2018.
MRC

MOSCOW (MRC) -- Overall imports of PC granules to Russia (excluding shipments from Belarus) rose in the first three quarters of 2019 almost by 2 times year on year to 14,200 tonnes, according to MRC's DataScope report.

Imports of material into the country were at 7,400 tonnes in January-September 2018.

Extrusion grade PC accounted for 59% (8,370 tonnes) of the total shipments to the Russian Federation. Covestro (with the share of 61%) and Sabic Innovative Plastics (28%) were the main import suppliers of PC granules.

Last month, 2,800 tonnes of PC granules were imported into the country, which is the maximum level since the beginning of the year. Imports were 1,600 tonnes in September 2019.
MRC

MOSCOW (MRC) -- Overall imports of acrylonitrile-butadiene-styrene (ABS) to the Ukrainian market rose in the first nine months of 2019 by 31% year on year, according to MRC's DataScope report.

Thus, imports of material into Ukraine totalled 4,100 tonnes over the stated period. This figure was at 3,200 tonnes in January-September 2018.

September ABS imports into the country were 570 tonnes versus 580 tonnes a month earlier and 320 tonnes in September 2018.

South Korea is the largest ABS supplier into the region. South Korean material accounted for 51% (2,100 tonnes) of the total shipments in January-September 2019, compared to 70% (2,200 tonnes) a year earlier, with LG Chem's shipments being at 1,400 tonnes and Lotte's imports - at 570 tonnes.

MRC

MOSCOW (MRC) -- Overall imports of expandable polystyrene (EPS) to the Ukrainian market remained in the first nine months of 2019 at the last year's level, totalling 27,300 tonnes, according to MRC's DataScope report.

Russian material accounted for 49% (13,500 tonnes) of the total shipments in the first three quarters of 2019, compared to 60% (16,300 tonnes) a year earlier. Chinese EPS shipments reached 38% (10,400 tonnes) over the stated period, compared to 29% (7,900 tonnes) in January-May 2018.

September EPS imports into Ukraine were 3,900 tonnes versus 3,400 tonnes a month earlier and 3,800 tonnes in September 2018.

The share of Russian material dropped to 46% (1,800 tonnes) last month from 50% (1,700 tonnes) a month earlier. The share of Chinese shipments rose to 38% (1,480 tonnes) in September from 26% (870 tonnes) in August.

MRC