Petrochina Daqing resumes production at No. 3 LLDPE unit

MOSCOW (MRC) -- Daqing Petrochemica, part of PetroChina, has brought on-stream its No. 3 linear low density polyethylene (LLDPE) unit, according to Apic-online.

A Polymerupdate source in China informed that, the company resumed operations at the unit on June 18, 2020. The unit was shut for unplanned maintenance on June 8, 2020.

Located in Daqing, China, the No. 3 LLDPE unit has a production capacity of 300,000 mt/year.

As MRC reported earlier, PetroChina has nearly doubled the amount of Russian crude being processed at its refinery in Dalian, the company’s biggest, since January 2018, as a new supply agreement had come into effect. The Dalian Petrochemical Corp, located in the northeast port city of Dalian, is expected to process 13 million tonnes, or 260,000 bpd of Russian pipeline crude this year, up by about 85 to 90 percent from last year’s level. Dalian has the capacity to process about 410,000 bpd of crude. The increase follows an agreement worked out between the Russian and Chinese governments under which Russia’s top oil producer Rosneft will supply 30 million tonnes of ESPO Blend crude to PetroChina in 2018, or about 600,000 bpd. That would represent an increase of 50 percent over 2017 volumes. The additional oil sent to Dalian is about 120,000 bpd and will make up the bulk of the Russian increases.

According to MRC's ScanPlast report, April LLDPE shipments to Russia rose to 42,830 tonnes from 36,790 tonnes a month earlier, production increased. Russia's overall LLDPE shipments totalled 152,840 tonnes in the first four months of 2020, up by 13% year on year. SabSibNeftekhim accounted for the main increase in shipments.

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.
MRC

Indian Oil Corporation Ltd. selects LyondellBasell Spheripol technology

MOSCOW (MRC) -- LyondellBasell, the world’s largest licensor of polyolefin technologies, today announced that Indian Oil Corporation Ltd. (IOCL) will use the LyondellBasell Spheripol technology for a new facility, said the company.

The process technology will be used for a 450 KTA polypropylene plant to be built in Panipat, Haryana State, India.

"We are excited about this additional award for our Spheripol technology at the Panipat site,” said Jim Seward, Senior Vice President, R&D, Technology and Sustainability at LyondellBasell. “The remarkable licensing track record of our polyolefin technology portfolio and our own build in asset operation experience makes the Spheripol’s process the technology of choice if plant operability, leading operating cost and excellent product properties are key in differentiating within the specific market place."

Indian Oil is already operating polypropylene plants with a total capacity of 1300 KTA at its Panipat and Paradip sites in India which are also based on LyondellBasell’s proprietary Spheripol technology. LyondellBasell's Hostalen technology is additionally employed by IOCL to produce 300 KTA of HDPE product. Indian Oil is aiming to almost double the polypropylene production capacity in the next five years and is the largest commercial enterprise of India, having the largest refining capacity and having the second largest share of Indian Petrochemical market.

The Spheripol technology is the leading PP process technology with more than 27 million tons of licensed capacity. The latest fifth generation Spheripol technology includes process improvements that further maximize operational efficiency. The plant will commence operations using Avant ZN catalyst.

New licensees can take advantage of LyondellBasell’s in-house expertise of continuous production improvement, sustainable product development and catalyst knowhow, by optionally joining our Technical Service program.

As MRC reported earlier, global petrochemical producer LyondellBasell has reduced rates across its system to accommodate lower demand wrought by shutdowns around the globe to stem the spread of the coronavirus pandemic, said the company's CEO Bob Patel. LyondellBasell's overall global petrochemical and refining assets were expected to operate at 60% to 80% of nameplate capacity through the second quarter, Patel said during the company's first-quarter earnings call. European crackers were seen running at 80% to 85%, while US crackers were expected to run at about 75%.

We also remind that to further aid in the fight against the COVID-19 pandemic, LyondellBasell (LBI) donated a key ingredient to Huntsman Corporation to produce hand sanitizer for US first responders.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 721,290 tonnes in the first four month of 2020, up by 4% year on year. Low density polyethylene (LDPE) and linear low density polyethylene (LLDPE) shipments grew partially because of the increased capacity utilisation at ZapSibNeftekhim. At the same time, PP shipments to the Russian market totalled 347,440 tonnes in January-April 2020 (calculated by the formula production minus export plus import). Supply exclusively of PP random copolymer increased.

LyondellBasell is one of the largest plastics, chemicals and refining companies in the world. Driven by its 13,000 employees around the globe, LyondellBasell produces materials and products that are key to advancing solutions to modern challenges like enhancing food safety through lightweight and flexible packaging, protecting the purity of water supplies through stronger and more versatile pipes, and improving the safety, comfort and fuel efficiency of many of the cars and trucks on the road. LyondellBasell sells products into approximately 100 countries and is the world's largest licensor of polyolefin technologies.
MRC

Borealis still keeps its Stenungsund cracker shut

MOSCOW (MRC) -- Austria-based petrochemicals producer Borealis has maintained its cracker in Stenungsund (Sweden) offline longer than initially anticipated, after it was shut following a force majeure declaration at the site on May 11, reported S&P Global.

Sources said that the unit has been offline longer than initially expected with no confirmed startup date.

The Stenungsund cracker has an ethylene capacity of 625,000 tonnes and a propylene capacity of 150,000 mt/year.

As MRC informed earlier, Borealis said Monday (11 May) that it was still investigating a fire that broke out late Saturday at its Stenungsund steam cracker in Sweden. Borealis said in an initial public statement issued Sunday that "its emergency plan was immediately activated by the local crisis team." The fire broke out on 9 May, at 20:45 CEST.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 721,290 tonnes in the first four month of 2020, up by 4% year on year. Low density polyethylene (LDPE) and linear low density polyethylene (LLDPE) shipments grew partially because of the increased capacity utilisation at ZapSibNeftekhim. At the same time, PP shipments to the Russian market totalled 347,440 tonnes in January-April 2020 (calculated by the formula production minus export plus import). Supply exclusively of PP random copolymer increased.

Borealis is a leading provider of innovative solutions in the fields of polyolefins, base chemicals and fertilizers. With headquarters in Vienna, Austria, Borealis currently employs around 6,500 and operates in over 120 countries.
MRC

COVID-19 - News digest as of 22.06.2020

1. Dutch business coalition, including AkzoNobel, calls for sustainable COVID-19 recovery plan

MOSCOW (MRC) -- AkzoNobel, together with the other members of the Dutch Sustainable Growth Coalition (DSGC), a CEO-led coalition of eight Dutch multinational corporations, has endorsed sustainability as the cornerstone of COVID-19 recovery plans at a national and EU level, said Chemweek. DSGC is calling on the Dutch government to endorse the EU Green Deal as one of the cornerstones of the EU's recovery plan, and build a COVID-19 recovery plan around an investment schedule that firmly puts the Dutch economy on the path of realizing the UN Sustainable Development Goals (SDGs) and the Paris Climate Agreements, AkzoNobel says.


MRC

SABIC shut its cracker in Wilton owing to technical issues

MOSCOW (MRC) -- SABIC Europe, an affiliate of Saudi Basic Industries Corp (SABIC), has unexpectedly shut its No. 6 cracker in Wilton (UK), reported S&P Global.

Thus, this cracker which has an annual ethylene capacity of 865,000 tonnes and propylene capacity of 415,000 tonnes was shut on June 17 due to technical issues.

It is not expected to come back online for another two weeks.

As MRC wrote before, SABIC took off-stream its SABIC Olefins 4 cracker owing to technical issues on May 10, 2019. Further details on duration of the shutdown could not be ascertained. Located in beek, the Netherlands, the cracker has an ethylene production capacity of 690,000 mt/year and a propylene production capacity of 360,000 mt/year.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 721,290 tonnes in the first four month of 2020, up by 4% year on year. Low density polyethylene (LDPE) and linear low density polyethylene (LLDPE) shipments grew partially because of the increased capacity utilisation at ZapSibNeftekhim. At the same time, PP shipments to the Russian market totalled 347,440 tonnes in January-April 2020 (calculated by the formula production minus export plus import). Supply exclusively of PP random copolymer increased.

Saudi Basic Industries Corporation (Sabic) ranks among the world's top petrochemical companies. The company is among the world's market leaders in the production of polyethylene, polypropylene and other advanced thermoplastics, glycols, methanol and fertilizers.
MRC