SIBUR closes sale of certain assets including production facilities to Tatneft

MOSCOW (MRC) -- SIBUR and Tatneft have closed the sale and purchase of certain production and other assets that to date have been registered in the name of SIBUR Togliatti and Togliattisintez legal entities, said the company.

After the deal, Tatneft intends to further develop the acquired assets in line with its gas and petrochemical strategy, while SIBUR will concentrate efforts on establishing and developing global-scale production of basic polymers, high-potential medium-tonnage products and premium special chemicals.

"Our main focus is on the long-term development of our core business and operational excellence,” said Pavel Lyakhovich, member of the Management Board and Managing Director at SIBUR. “At the same time, we will continue to cooperate with the Togliatti-based companies as partners."

As it was infortmed earlier, SIBUR Holding's Biaxplen has purchased a 50% stake in Manucor SpA, an Italy-based biaxially oriented polypropylene (BOPP) films maker. Under the deal, Manucor and Biaxplen will share their greatest practices in terms of sales and marketing, RandD, technical support and production. The transaction is predicted to open new opportunities for Biaxplen in Europe.

Besides, in October 2019,, ZapSibNeftekhim affiliate produced the first batch of polyethylene (PE) granules using its own ethylene feedstock at its Tobolsk complex in Siberia. Earlier this year, ZapSib produced a test batch of PE from imported feedstock, "while today the process is running smoothly using our own feedstock," SIBUR said. Commissioning and start-up are "well under way", and after ramping up to its full capacity, the petrochemical facility will produce 1.5m tonnes/year of PE - making ZapSib’s Tobolsk project Russia’s largest polymer production facility.

Ethylene and propylene are feedstocks for producing polyethylene (PE) and polyprolypele (PP).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,436,390 tonnes in the first eight months of 2019, up by 9% year on year. Shipments of all PE grades increased. At the same time, the PP consumption in the Russian market was 909,260 tonnes in January-August 2019, up by 10% year on year. Shipments of PP block copolymer and homopolymer PP increased.

PAO SIBUR Holding is the largest petrochemical company in Russia and Eastern Europe with full coverage of the industry cycle from gas processing, production of monomers, plastics and synthetic rubbers to plastics processing.
MRC

Philippines JG Summit to restart PE unit late November

MOSCOW (MRC) -- JG Summit Petrochemical, a major petrochemical producer in the Philippines, is expected to restart its polyethylene (PE) unit at Batangas after maintenance in late November, reported NCT with reference to market sources.

The turnaround at this facility began on 6 October, 2019.

The company produces 325,000 tons/year of high density polyethylene (HDPE)/linear low density polyethylene (LLDPE) at its facility.

As MRC wrote previously, in November 2017, JG Summit Olefins Corp. awarded an engineering, procurement and construction contract to Posco Engineering & Construction to expand an existing naphtha cracker and build a hydrogenation unit in Simlong, Batangas, Philippines.

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.
MRC

Deficit of PS might intensify in Ukrainian market in November

MOSCOW (MRC) -- The existing shortage of material, especially of high impact polystyrene (HIPS), in the Ukrainian polystyrene (PS) market, may worsen next month, according to ICIS-MRC Price report.

Thus, sentiments of participants of the domestic PS market changed last week, as the Russian plant - Nizhnekamskneftekhim - said PS quantities will either be significantly reduced or completely absent for Ukrainian buyers in November.

The updated information on import prices and available quantities of Russian material for November will only appear at the end of this week.

At the same time, the main Iranian PS supplier to the Ukrainian market - Tabriz - will also have available HIPS quantities no earlier than in a month.
MRC

PPI restarts its PP unit after extended maintenance

MOSCOW (MRC) -- Philippine Polypropylene Inc. (PPI) restarted its polypropylene (PP) unit on October 15 after extended maintenance, reported NCT.

PPI’s unit at Mariveles in Bataan province experienced an unplanned outage in mid-September due to a technical issue.

The PP unit has an initial capacity of 160,000 tons/year which could be increased 225,000 tons/year, according to the company website.

Meanwhile, as MRC informed before, another Philippines producer - JG Summit - has started maintenance at its PP and polyethylene (PE) units at Batangas. The company produces 190,000 tons/year of PP and 325,000 tons/year of high density polyethylene (HDPE)/linear low density polyethylene (LLDPE) at its facilities. The PP plant will be offline until early November, while PE unit - for two months from October to the end of November.

According to MRC's ScanPlast report, the estimated PP consumption in the Russian market was 976,790 tonnes in January-September 2019, up by 4% year on year. Shipments of PP block copolymer and homopolymer PP increased.
MRC

Philippines JG Summit PP unit to restart early Nov

MOSCOW (MRC) -- Philippines producer JG Summit is expected to restart its polypropylene (PP) line at the beginning of November upon completion of maintenance, reported NCT with reference to market sources.

The turnaround at this plant began on 6 October, 2019. Initially, it was planned to be shut until end-November.

Located in Batangas City, the Philippines, the plant has a production capacity of 190,000 mt/year.

As MRC informed earlier, this year, the company already conducted an unscheduled maintenance turnaround at its PP unit in Batangas from early June to 1 July.

Besides, in November 2017, JG Summit Olefins Corp. awarded an engineering, procurement and construction contract to Posco Engineering & Construction to expand an existing naphtha cracker and build a hydrogenation unit in Simlong, Batangas, Philippines.

According to MRC's ScanPlast report, the estimated PP consumption in the Russian market was 976,790 tonnes in January-September 2019, up by 4% year on year. Shipments of PP block copolymer and homopolymer PP increased.
MRC