Zhejiang Petrochemical plans to build a new line of ACN and MMA in eastern China

MOSCOW (MRC) - Zhejiang Petrochemical, a private Chinese company, plans to build a new line of acrylonitrile (ACN) and methyl methacrylate (MMA) in its petrochemical complex, which is located on an island near Zhoushan in eastern China, Polymerupdate reports.

These plants with a capacity of 260,000 tonnes of ACN and 90,000 tonnes of MMA per year will be built as part of the second phase of the project in Zhoushan. As part of the first phase of the project, the company intends to launch an ACN line with a capacity of 260,000 tonnes per year in the first quarter of 2020.

In addition, a cracking unit with a capacity of 1.4 mln tonnes of ethylene per year and plants for the production of aromatic substances with a total capacity of 5.2 mln tonnes per year will be located on this site. The company at the new petrochemical complex Zhoushan at the end of last year already began test production at the refinery with a capacity of 400 barrels per day.

Acrylonitrile is one of the main raw materials for the production of ABS.

As per ICIS-MRC Price Report, November ABS imports were 3,300 tonnes versus 3,500 tonnes a month earlier and 4,100 tonnes in November 2018. Overall ABS imports slightly decreased year on year in the first eleven months of 2019 to 31,300 tonnes.

Private company Zhejiang Petrochemical is building a new petrochemical complex in eastern China. 51% of the company is owned by the majority shareholder of Rongsheng Petrochemical. Other shareholders are the Chinese Juhua Group and Tongkun Group.
MRC

MOSCOW (MRC) - Imports of injection moulding PET chips from Lithuania by Neo Group grew by 41% in eleven months of this year and amounted to 42,300 tonnes, according to MRC DataScope report.
This figure was 28,400 tonnes in January-November 2018. November imports of PET from Lithuania to Ukraine increased more than three times in comparison with the same period last year and amounted to 5,700 tonnes compared to 1,600 tonnes, the October import volume amounted to 5,200 tonnes.

The total volume of Lithuanian PET imports to the country increased to 31% in January-November 2019 against 22% in January-November last year. The main buyers of Lithuanian bottled PET were Coca-Cola Beverages Ukraine Limited and Retal.
MRC

MOSCOW (MRC) -- Celanese Corporation, a global chemical and specialty materials company, reserves USD88 million related to European Commission ethylene cartel investigation, said the company on its site.

In May 2017, Celanese Corporation learned that the European Commission had opened a competition law investigation involving certain subsidiaries of Celanese with respect to certain past ethylene purchases.

Based on information recently learned from the European Commission regarding its investigation, Celanese recorded a reserve of USD88 million in the fourth quarter of 2019. Celanese is continuing to cooperate with the European Commission.

As MRC reported before, Celanese Corporation experienced an emergency incident at approximately 12:00 noon Central time on Saturday, Sept. 21, at the Celanese Clear Lake facility in Pasadena, Texas. On-site emergency personnel extinguished the fire quickly, and appropriate regulatory and first responder agencies were notified and mobilized at the scene to support the incident. Celanese unit operations include acetic acid and monomer vinyl acetate (VAM) with a capacity of 450,000 per year are down. The Fairway methanol unit is also idle.

VAM is the main feedstock for the production of ethylene-vinyl-acetate (EVA).

According to MRC's DataScope report, November EVA imports to Russia dropped by 8,9% year on year to 3,440 tonnes from 3,780 tonnes in November 2018, and overall imports of this grade of ethylene copolymer into the Russian Federation decreased in January-November 2019 by 18,9% year on year to 35,95 tonnes (44,330 tonnes in the first eleven months of 2018).

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 7,700 employees worldwide and had 2018 net sales of USD7.2 billion.
MRC

MOSCOW (MRC) -- BASF India plans to double its capacity for polymer dispersions with a new production line at its site in Dahej, Gujarat, as per the company's press release.

Through the investment, BASF aims to provide a reliable supply of high-quality dispersion solutions to customers in the fast-growing Indian and South Asian markets.

"We see a growing need for our latest generation of innovations, including low-VOC and low-odor dispersions for industries, such as architectural coatings, construction, paper and adhesives. This capacity increase aims to address customers’ needs and support their development in the region," said Jeff Knight, Senior Vice President, Dispersions and Resins Asia Pacific, BASF.

"This new investment will double the production capacity by early 2021. It will be a driving force to support our customers’ growth in the rapidly growing economies in South Asia," said Narayan Krishnamohan, Managing Director, BASF India Limited and Head, BASF South Asia.

BASF began production of polymer dispersions in Dahej, Gujarat in October 2014, and currently operates one line at the plant. As the largest single investment to date for BASF in India, the site is an integrated hub for polyurethanes manufacturing and houses production facilities for Polymer Dispersions as well as Care Chemicals. BASF also produces dispersions in Mangalore, a strategic production site in the southern part of India.

Apart from South Asia, BASF will also double the production capacity in its Pasir Gudang site in Malaysia to support the rising demand for acrylics dispersions in ASEAN, Australia and New Zealand. The new line will be operational in Q2 2020.

We remind that, as MRC reported earlier, BASF, the world's petrochemical major, restarted its No. 1 steam cracker in Germany on September 30, 2019, following a maintenance turnaorund. The plant was shut for maintenance in mid-August, 2019. Located at Ludwigshafen in Germany, the No. 1 cracker has an ethylene production capacity of 235,000 mt/year and a propylene production capacity of 125,000 mt/year.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,724,670 tonnes in the first ten months of 2019, up by 7% year on year. Shipments of all PE grades increased. The estimated PP consumption in the Russian market in January-October 2019 totalled 1,066,520 tonnes, up by 7% year on year. Supply of block copolymers of propylene (PP block copolymer) and homopolymer of propylene (homopolymer PP) increased, demand for statistical copolymers (PP random copolymer) decreased.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries. BASF generated sales of around EUR63 billion in 2018.
MRC

MOSCOW (MRC) -- Alfa Laval, a world leader in heat transfer, centrifugal separation and fluid handling, has recently won an order to supply compact heat exchangers to a refinery and petrochemical plant in China, according to Hydrocarbonprocessing.

The order has a value of approximately SEK 100 million and is booked in the Welded Heat Exchangers unit of the Energy Division. Deliveries are scheduled for 2020.

The order comprises Alfa Laval compact heat exchangers which will be used to recover and reuse heat in the heavy fractions in the refinery, which produces both transportation fuels and feedstock for petrochemical production.

"Our compact heat exchangers are well suited for the demanding processes in refineries and the petrochemical industry. They are reliable and efficient and contribute to huge energy savings which has an impact on our customers' bottom line. Saving energy also saves a lot of CO2 emissions which is beneficial to the society," says Susanne Pahlen Aklundh, President of the Energy Division.

As MRC wrote before, in 2017, Alfa Laval won an order to supply compact heat exchangers to a refinery in China. The order has a value of approximately USD10.6 MM. It was booked late June in the Gasketed Plate Heat Exchangers unit of the Energy Division, with deliveries scheduled for 2018.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,724,670 tonnes in the first ten months of 2019, up by 7% year on year. Shipments of all PE grades increased. The estimated PP consumption in the Russian market in January-October 2019 totalled 1,066,520 tonnes, up by 7% year on year. Supply of block copolymers of propylene (PP block copolymer) and homopolymer of propylene (homopolymer PP) increased, demand for statistical copolymers (PP random copolymer) decreased.
MRC