Lummus announces agreement with New Hope Technologies

MOSCOW (MRC) -- Lummus Technology and New Hope Technologies announced that the companies have entered into a cooperation agreement for the marketing and further development of a leading plastic waste conversion technology based on thermal pyrolysis, according to Hydrocarbonprocessing.

The agreement is part of Green Circle, Lummus’ new business entity formed to place the company at the forefront of the circular economy and energy transition.

“This partnership, between Lummus and New Hope, will help reduce plastic waste through integrated processing solutions for turning end-of-life plastics into pyrolysis oil,” said Leon de Bruyn, president and CEO of Lummus Technology. “Lummus has a long history of successful partnerships to commercialize newer, better technologies, and we are grateful for this collaboration with New Hope. We will leverage the extensive expertise, innovation and technology of both companies.”

“New Hope is excited to partner with Lummus to create industrial scale waste plastic to circular chemicals plants to address the over one million tons of plastic impacting the environment daily,” according to Johnny Combs, CEO of New Hope. “New Hope and Lummus intend to be the largest supplier of plastic waste to renewable circular product solutions in the world, helping to support the commitments of the major brands and producers.”

New Hope has over 10 years experience in plastic waste conversion, and its plant in Tyler, Texas, has units that have been in operation for over 5 years. It is one of the largest facilities in the Western Hemisphere, having a design capacity of 150 tons per day (50,000 tons per year). Through a proprietary feedstock preparation and reactor section design, the technology allows for an optimized investment cost and thus higher returns for converting plastic waste. The technology is robust and forgiving to variations in plastic waste feedstock and contaminants.

Under the terms of the agreement, Lummus’ Green Circle LLC will be the exclusive licensing party for this technology and will be responsible for providing studies, basic engineering, technical services, and proprietary equipment as part of the technology transfer package. Green Circle is a business entity recently established by Lummus to offer sustainable solutions including: converting plastic waste to value-added products; production of chemicals and fuels from biomass; and decarbonization of refinery and petrochemical assets.

As MRC reported earlier, Lummus Technology has just announced that it has been awarded a contract by Enter Engineering Pte. Ltd. for the Shurtan Gas Chemical Complex in Uzbekistan. Lummus’ scope includes the design and supply of four proprietary Short Residence Time VI and VII type cracking furnaces, which will more than double the production of ethylene at Shurtan’s facility. Lummus was selected due to its leading ethylene technology position and its extensive experience with ethylene furnaces, having developed pyrolysis furnaces as part of its proprietary equipment portfolio.

Ethylene is the main feedstock for the production of polyethylene (PE).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,496,500 tonnes in the first eight months of 2020, up by 5% year on year. Shipments of all ethylene polymers increased, except for linear low desnity polyethylene (LLDPE).
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Less than one-third of US Gulf offshore crude oil production shut

MOSCOW (MRC) - Less than a third of US Gulf offshore crude oil production remains shut following Hurricane Delta, reported Reuters with reference to the US Bureau of Safety and Environmental Enforcement's (BSEE) statement.

Shut crude oil production is 31% or, 568,505 barrels per day (bpd), as of midday Wednesday, BSEE said. Also, 18% of natural gas output, or 486.3 million cubic feet per day (mmcfd), remains shut.

On Tuesday, shut crude oil production was 44%, or 805,965 bpd. And, 30% of natural gas output, or 809 million cubic feet per day (mmcfd), remained shut, according to BSEE.

Between Oct. 6 and Wednesday, a cumulative total of 11.5 million barrels of crude oil production and 10.9 billion cubic feet of natural gas output from the Gulf has been shut because of Hurricane Delta.

As MRC informed earlier, Hurricane Delta appears to have wreaked minimal damage to chemical facilities in Lake Charles, Louisiana, just six weeks after Hurricane Laura blew through the region, severely damaging major electricity transmission lines that left facilities offline for weeks.

Thus, Westlake Chemical said in a statement on Oct. 12 that initial assessments after Delta's Oct. 9 landfall showed "very limited physical damage" to its Lake Charles complex, and facilities were "in the process of restarting."
The timing of those restarts depends on restoration of electrical power, industrial gases and other feedstocks and utilities, the company said.

Sasol said Oct. 12 that its Lake Charles complex "did not experience significant damage" and that sufficient industrial-level power had been restored to resume startups of some facilities." Additional plants will startup once full load power is restored," the company said in a statement.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,496,500 tonnes in the first eight months of 2020, up by 5% year on year. Shipments of all ethylene polymers increased, except for linear low desnity polyethylene (LLDPE). At the same time, PP shipments to the Russian market reached 767,2900 tonnes in the eight months of 2020 (calculated using the formula - production minus exports plus imports - and not counting producers' inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.
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Baker Botts adds CCUS to its Global Hydrogen Practice Group

Baker Botts adds CCUS to its Global Hydrogen Practice Group

MOSCOW (MRC) -- Baker Botts L.L.P., a leading international technology and energy law firm, has launched a dedicated Carbon Capture, Utilization and Storage Practice Group within the firm’s Energy sector, said Chemweek.

Today’s launch comes on the heels of the firm’s Global Hydrogen Practice Group launch in June this year, which has seen significant interest from clients and the energy markets, even during the difficult COVID working environment. Carbon capture, utilization and storage, or CCUS, projects and technologies will play a critical role in the energy transition by ensuring that the world’s growing energy demand continues to be met whilst at the same time working towards achieving ever more aggressive global climate and emissions targets. CCUS will also be essential in the development of the global hydrogen economy, as “blue” hydrogen production (hydrogen produced from natural gas combined with CCUS to capture the CO2 produced) will be critical to the widespread availability of low-carbon hydrogen supplies that can be combined with virtually no-carbon “green” hydrogen production (hydrogen produced by electrolysis using renewable power) to fuel a global shift towards hydrogen. Baker Botts’ CCUS and Hydrogen offering ensures that the firm’s energy transition practices continue to keep pace with the changing global economy.

“With our market-leading energy practice and proven experience in the technology sector, the formation of this new multidisciplinary practice group is a natural step for the firm to be at the forefront of supporting the development of CCUS and hydrogen projects and technologies that will support both energy transition goals and traditional oil & gas businesses,” said Jason Bennett, Firmwide chair of Baker Botts’ Global Projects department.

As the global economy searches for ways to decarbonize sectors of the economy beyond what renewable energy alone can accomplish, low-carbon hydrogen and ammonia produced from such hydrogen, have emerged as promising sources and carriers of energy that will support that decarbonization. The strong interest in developing a ‘hydrogen economy’ is being driven by demand initiatives and targets set by the European Union and by countries such as the U.K., Japan, and South Korea, where national programs have been developed as part of an overall decarbonization plan.

“With heightened interest in reducing the carbon intensity of energy supplies, hydrogen and CCUS have emerged as critical contributors for providing that low-carbon energy to power industries and sectors that would otherwise be impractical to decarbonize,” added Bennett.

Co-headed by Washington, D.C.-based Global Projects partner Tom Holmberg and London-based Global Projects partner, Rob Butler, the CCUS and Hydrogen practices are full-service offerings for clients that build on the work already done by Baker Botts lawyers in this area.

“Hydrogen end-use markets are set to expand rapidly, and that growth will require swift development of large-scale hydrogen, renewable energy, and CCUS projects, equipment, facilities, and related technology, all of which are within the firm’s Energy Sector core practices,” commented partner Tom Holmberg.

Baker Botts has broad experience on both CCUS and hydrogen matters, having advised on both pre- and post-combustion CCUS projects, and the firm is currently advising on the proposed development and financing of a multibillion-dollar green hydrogen project in the Middle East. Baker Botts has advised on the negotiation and drafting of contracts for Toyota Motor North America to facilitate development of hydrogen fueling stations, and the firm is currently advising AME E-nnovations, a subsidiary of Andes Mining and Energy, on fuel offtake arrangements for their Highly Innovative Fuels (HIF) hydrogen projects. Each HIF project will use renewable power to create green hydrogen, which will be combined with carbon dioxide to produce e-fuels like e-gasoline.

“We have been moving quickly to engage with clients via a collaboration program that will provide for ongoing association in developing their hydrogen businesses. Clients have been receptive to our approach, as they also see the opportunities for hydrogen and carbon capture storage in the evolving energy market,” Holmberg added.

“Close collaboration with the firm’s producer, consumer, and technology clients will drive the firm to a leadership position among law firms in the energy transition industry, similar to the position we hold in LNG, and will ensure that clients and potential clients consider Baker Botts to be the default choice for the industry,” said partner Rob Butler.

The CCUS and Hydrogen practices include lawyers from the firm’s project development and finance, environmental, corporate, capital markets, private equity, tax, IP, technology and disputes practices. They include lawyers from the London, Brussels and U.S. offices, and the overall offering will be expanded to cover the firm’s entire footprint.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,496,500 tonnes in the first eight months of 2020, up by 5% year on year. Shipments of all ethylene polymers increased, except for linear low desnity polyethylene (LLDPE). At the same time, PP shipments to the Russian market reached 767,2900 tonnes in the eight months of 2020 (calculated using the formula - production minus exports plus imports - and not counting producers' inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.



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Solvay inaugurates second sustainable solvent plant in Brazil

MOSCOW (MRC) -- Solvay says it has inaugurated its second plant dedicated exclusively to the manufacturing of sustainable solvent in Sao Paulo, Brazil. The new facility raises the company's production capacity for the bio-based solvent from 6,000 metric tons/year to 20,000 metric tons/year, said Chemweek.

The plant, located at the company's industrial complex in Paulinia, Sao Paulo, is already operating at full capacity, serving mainly the US market, which accounts for more than 30% of exports, followed by Europe, Asia, and Latin America, Solvay says.

Solvay’s sustainable solvent derives from glycerin, a renewable source, and is used in fragrances, personal care, household, and institutional cleaning items, paints and varnishes, as well as in the agribusiness and oil and gas segments, it says.

The product line has been created by Solvay’s researchers in Brazil and is part of the company’s global objective to generate 15% of its revenue from either bio-based or recyclate-based materials by 2030, it says.

As MRC reported earlier, in August, 2020, through the acquisition of the Solvay polyamide (PA) business, BASF enhanced its R&D capabilities in Asia Pacific with new technologies, technical expertise, and upgraded material and part testing services. BASF is planning to integrate the R&D centers from Solvay into its R&D existing facilities in Shanghai, China, and Seoul, Korea. The enhanced capabilities will boost BASF’s position as a solution provider to develop advanced material solutions for key industries.

We remind that BASF-YPC, a 50-50 joint venture of BASF and Sinopec, undertook a planned shutdown at its naphtha cracker on 30 April 2020. The company initially planned to start turnaround at the cracker on April 5, 2020. The plant remained under maintenance unitl 18 June, 2020. Located in Jiangsu, China, the cracker has an ethylene capacity of 750,000 mt/year and propylene capacity of 400,000 mt/year.

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

According to MRC's DataScope report, PE imports to Russia dropped in January-June 2020 by 7% year on year to 328,000 tonnes. High density polyethylene (HDPE) accounted for the main decrease in imports. At the same time, PP imports into Russia rose in the first six months of 2020 by 21% year on year to 105,300 tonnes. Propylene homopolymer (homopolymer PP) accounted for the main increase in imports.
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BASF CEO named new Cefic president

MOSCOW (MRC) -- BASF's CEO, Martin Brudermuller, has been elected president of Cefic, effective immediately, at the European chemical industry association's annual general assembly, according to Chemweek.

He succeeds Daniele Ferrari, CEO of Versalis, who has held the post since October 2018. Brudermuller has been BASF’s CEO since July 2018, and the company’s CTO since 2015.

“The EU chemical industry has the capability, know-how and is developing the innovative technologies to deliver on the challenges we are facing today and in the future,” says Brudermuller. “It is my ambition during my presidency that the European chemical industry strikes a future chemistry deal in the framework of the Green Deal - where we deliver technologies and solutions, and the political framework enables their economical implementation.”

Marco Mensink, director general at Cefic, thanked Ferrari for his work as president over the past two years and expressed his belief that the new president will “be able to lead (Cefic) to deliver on the Green Deal objectives…(and])help Cefic to continue to act as a dialogue partner with the European institutions and societal actors.”

Brudermuller also released an open letter to European citizens following his election, saying that the transition toward climate neutrality by 2050, which is the target of the EU Green Deal, “will bring huge challenges, but it also brings a set of opportunities for industry. In being successful, Europe must therefore show its leadership in innovating and deploying competitive new technologies for delivering a climate neutral, circular and digital transition.” He also noted China’s recent pledge to become carbon neutral by 2060, saying that it “is encouraging and can be a key driver for a truly joint global effort.”

Brudermuller emphasized the need to achieve this transition and his belief that the European chemical industry can become an “innovation hub and a focus area for investments into breakthrough technologies.” He restated Cefic’s target to strike a 'Future Chemicals Deal,' saying he would make it his personal objective to discuss the right framework conditions with European leaders to find joint solutions.

Explaining the industry’s abilities and working with European policymakers and governments to have the right framework conditions in place "that keep competitiveness during this transition in clear focus” will be Cefic’s main aim for the coming period, he says. The Green Deal and climate neutrality by 2050 means a very deep transformation for Europe's chemical industry must take place within only one or two investment cycles, while maintaining its strong position across global markets, Brudermuller says.

The importance of the European Recovery Plan package in moving Europe forward in the post-COVID-19 era and the potential of the chemical industry to deliver innovative and climate-neutral technologies to succeed with the transition, while simultaneously creating jobs and growth, was also highlighted by Cefic's new president.

As MRC wrote previously, Cefic says that the European chemical industry has received a record number of awards in the 2020 European Responsible Care awards “Caring in COVID-19 Times,” for their global response in fighting the pandemic. The awards given to 16 chemical companies and federations across Europe showcase the essential role of the chemical industry in the fight against COVID-19, Cefic says. Winning companies and federations were recognized and rewarded for their efforts to keep critical supply chains running, to protect workers and the workplace, and to support communities in the unprecedented times, it says.

We remind that in 2017, SIBUR joined the European Chemical Industry Council (CEFIC). SIBUR has also become a member of the European Committee of Ethylene Producers and Technology Suppliers (EEPC, part of CEFIC). Membership in the Council allowed SIBUR to take part in the work of 93 sectoral groups on more than 120 petrochemical products, in 90 strategic groups working on issues of sustainable development, innovation, trade, energy and law in the field of petrochemicals.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,496,500 tonnes in the first eight months of 2020, up by 5% year on year. Shipments of all ethylene polymers increased, except for linear low desnity polyethylene (LLDPE). At the same time, PP shipments to the Russian market reached 767,2900 tonnes in the eight months of 2020 (calculated using the formula - production minus exports plus imports - and not counting producers' inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.
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