Sipchem names new CEO

MOSCOW (MRC) -- Sahara International Petrochemical Co.’s (Sipchem) board of directors approved, on Dec. 15, the resignation of chief executive officer (CEO), Saleh M. Bahamdan, citing his request for retirement, said Chemweek.

The resignation took effect from Jan. 1, 2021, the company said in a bourse statement. Meanwhile, the board approved the recommendation of the remuneration and nominations committee, to appoint Abdullah S. Al-Saadoon as the CEO of Sipchem effective from Jan. 1, 2021.

The new CEO has extensive experience in the field of petrochemicals extending for over 30 years, where he worked for the General Corporation for Desalination of Water and then moved to the Saudi Basic Industries Corporation (SABIC), where he held a number of leadership positions, Sipchem stated.

Al-Saadoon joined Sipchem in 2001, participating in many vital projects that the company implemented during the period of its establishment, where he held the position of head of operations and manufacturing for all the company's plants in Jubail Industrial City, as well as the position of Shared Services President to oversee the transformation process carried out in several sectors, including information technology, human resources and supply chains.

In 2019, he was appointed as operations manager of Sipchem after merger with Sahara. This is in addition to his membership in the board of directors of Sipchem in the last tenure and his current chairmanship and membership in several boards of directors of Sipchem's subsidiaries, the statement also said.

As per MRC, Sahara International Petrochemical Co. (Sipchem) is planning to mothball the Polybutylene Terephthalate (PBT) plant, owned by its affiliate, Sipchem Chemical Co., and Ethylene Vinyl Acetate (EVA) Film plant that is owned by affiliate firm, Saudi Specialized Products Co. Steps to implement the decision are underway, Sipchem said in a statement to Tadawul, adding that the suspension of both plants will start on Jan. 1, 2021, until further notice. The company expects a positive financial impact starting from Q1 2021 results.

As per MRC ScanPlast, November imports of other ethylene polymers, including ethylene-vinyl-acetate (EVA), were 9,100 tonnes, compared to 10,100 tonnes in October. Overall imports of other ethylene polymers reached 90,200 tonnes over the stated period versus 85,200 tonnes a year earlier.
MRC

MOSCOW (MRC) -- Sahara International Petrochemical Co (Sipchem) and industrial gas firm Linde have signed an exclusive agreement to set up a joint venture for developing industrial gas projects and networks in Saudi Arabia, said Gasworld.

Under a 50/50 joint venture, Linde and Sipchem said they intend to connect existing hydrogen and syngas plants owned and operated by the two parties in Jubail Industrial City.

"The main focus will be on the development of new production facilities in order to supply carbon monoxide, hydrogen, syngas, ammonia and associated gases alongside efficient solutions for the decarbonisation of downstream production in industrial clusters in the Kingdom," a statement on the Saudi stock exchange said.

"The Strategic Joint Venture is expected to open the door to substantial investment opportunities of approximately USD500m over the next five years subject to the economic viability," it continued.

The equal joint venture aims to build an industrial gases network in Jubail Industrial City by connecting via pipeline the existing hydrogen and syngas plants owned and operated by the two firms, Sipchem said to the Saudi bourse, Tadawul.

As MRC informed earlier, Linde announced it has signed a memorandum of understanding (MoU) with Snam to jointly develop clean hydrogen projects and related infrastructure in Europe. Snam, a world leading energy infrastructure company, owns and operates the largest natural gas transmission network in Europe, having approximately 42,000 kilometers of pipeline across the continent.

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

According to MRC's ScanPlast report, Russia's estimated polyethylene (PE) consumption totalled 1,990,280 tonnes in the first eleven months of 2020, up by 1% year on year. Only high density polyethylene (HDPE) shipments increased. At the same time, polypropylene (PP) shipments to the Russian market reached 1 090,900 tonnes in the first eleven months of 2020 (calculated using the formula: production, minus exports, plus imports, excluding producers' inventories as of 1 January, 2020). Supply of exclusively PP random copolymer increased.

Linde is a global leader in the production, processing, storage and distribution of hydrogen. It has the largest liquid hydrogen capacity and distribution system in the world. The company also operates the world"s first high-purity hydrogen storage cavern coupled with an unrivaled pipeline network of circa 1,000 kilometers to reliably supply its customers. Linde has installed close to 200 hydrogen fueling stations and 80 hydrogen electrolysis plants worldwide. The company offers the latest electrolysis technology through its newly formed joint venture ITM Linde Electrolysis GmbH.
MRC

MOSCOW (MRC) -- A blaze is now under control at the Synthos Dwory (Oswiecim) 185,000 metric-ton/year (mt/y) emulsion styrene butadiene rubber (ESBR) facility in Poland, following an explosion last Thursday, reported Chemweek.

"At 6:46 p.m. (local time), an uncontrolled ignition catalyzed an explosion and a fire in the incinerator of the ESBR rubber production installation. The fire fighting operation began immediately. The fire was extinguished by the teams of the company firefighters and the state fire brigade within about 45 minutes," Synthos said in a statement Friday.

Windows in nearby halls were damaged, pipelines discharging off-gases from the rubber drying installation were also damaged, according to the Synthos Group, who are currently holding an investigation with local authorities into the cause and extent of the damage.

Production at the ESBR production unit in Oswiecim, Poland, has been idled, the company confirmed to OPIS.

"We expect to go back to standard operating rates at the beginning of next week," the producer said. The explosion had "no significant impact on other production facilities," Synthos added.

The idling of production comes as ESBR rubber supplies have been under pressure for a while, according to IHS Markit analysts.

"Synthos are the number one ESBR producer in Europe," said Remko Koster, associate director global olefins at IHS Markit. "The plant in Poland is about 30% of Europe's ESBR capacity. Meanwhile the ESBR market has been rather tight in the last quarter of 2020 so there will be an impact felt in the market."

Synthos produces 120,000 mt/y of styrene and 105,000 mt/y of expandable polystyrene (EPS) at the Oswiecim site. It also produces 50,000 mt/y of polystyrene (PS) at Oswiecim, according to IHS Markit data. It also manufactures synthetic rubber, adhesives, and latex.

As MRC informed earlier, Polish chemicals and plastics group Synthos has launched a new eco-friendly EPS grade for heat insulation panels which includes recycled polystyrene raw material. Synthos, headquartered at Oswiecim in southern Poland, started extruding the product, ‘InVento Optima’ on a dedicated line installed at its base manufacturing site at the end of 2018.

SM is the main feedstock for the production of PS.

According to MRC's ScanPlast report, Russia's estimated consumption of PS and styrene plastics totalled 454,990 tonnes in the first eleven months of 2020, which corresponds to the previous year's figure. November estimated consumption of PS and styrene plastics grew by 4% year on year to 45,830 tonnes.

Synthos SA is one of the largest producers of petrochemical products in Poland and is the largest producer of emulsion rubbers in Europe. Besides, it is the third largest European EPS producer.
MRC

MOSCOW (MRC) -- Alstom will supply six hydrogen fuel cell trains, with the option for eight more, to FNM (Ferrovie Nord Milano), the main transport and mobility group in the Italian region of Lombardy, for a total amount of approximately EUR160 million, said Hydrocarbonprocessing.

The first train delivery is expected within 36 months of the date of the order. The new hydrogen trains will be based on Alstom’s Coradia Stream regional train platform, which is dedicated to the European market and already being produced for Italy by Alstom’s main Italian sites. The hydrogen powered Coradia Stream for FNM, will be equipped with the same fuel cell propulsion technology that was introduced to the world by the Coradia iLint. The hydrogen Coradia Stream will maintain the high standards of comfort already appreciated by passengers of its electric version. The hydrogen version will match the operational performance of diesel trains, including their range.

"We are immensely proud to be introducing hydrogen train technology to Italy, and we recognise the trust placed in us by our Italian customer. This development confirms Alstom’s role in defining the future of mobility. These trains, together with the Coradia iLint that have already proven themselves in commercial service in Germany, represent another major step in the transition towards global sustainable transport systems. I take this opportunity to congratulate FNM for demonstrating that they are a leader in this area," says Gian Luca Erbacci, Senior Vice President of Alstom Europe.

The Coradia iLint is the world’s first passenger train powered by a hydrogen fuel cell, which produces electrical power for traction. This zero-emission train emits low levels of noise, with exhaust being only steam and condensed water. The iLint is special for its combination of different innovative elements: clean energy conversion, flexible energy storage in batteries, and smart management of traction power and available energy. Specifically designed for operation on non-electrified lines, it enables clean, sustainable train operation while ensuring high levels of performance.

The Coradia Stream trains for FNM are manufactured by Alstom in Italy. Project development, most of the manufacturing and certification are performed at Alstom’s site in Savigliano. The on-board signalling systems are delivered by the Bologna site.

As MRC informed previously, Shell said in late December, 2020, it expects improved base and intermediate chemicals margins in the fourth quarter compared with the third quarter of 2020. The company did not give specific estimates for the forecast margins in a trading update for the fourth quarter.

We remind that Royal Dutch Shell plc. said in November, 2020, that its petrochemical complex of several billion dollars in Western Pennsylvania was about 70% complete and was in the process to enter service in the early 2020s. The plant's costs are estimated to be USD6-USD10 billion, where ethane will be transformed into plastic feedstock. The facility is equipped to produce 1.5 million metric tons per year (mmty) of ethylene and 1.6 mmty of polyethylene (PE), two important constituents of plastics.

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

According to MRC's ScanPlast report, Russia's estimated polyethylene (PE) consumption totalled 1,990,280 tonnes in the first eleven months of 2020, up by 1% year on year. Only high density polyethylene (HDPE) shipments increased. At the same time, polypropylene (PP) shipments to the Russian market reached 1 090,900 tonnes in the first eleven months of 2020 (calculated using the formula: production, minus exports, plus imports, excluding producers' inventories as of 1 January, 2020). Supply of exclusively PP random copolymer increased.
MRC

MOSCOW (MRC) -- Dow chairman and CEO Jim Fitterling is N1 in the 2020 ICIS Top 40 Power Players, a global ranking of the leading CEOs and senior executives making the greatest positive impact on their companies and the industry, said the company.

"With a sharp focus on ESG (environmental, social and governance), Fitterling is leading Dow in a new direction through capital disciplined growth combined with sustainability, featuring exciting initiatives in plastics recycling and 'zero carbon crackers'," said Joseph Chang, global editor of ICIS Chemical Business.

Under Fitterling, Dow is accelerating its sustainability goals, aiming to take out around 5m tonnes/year of carbon dioxide (CO2) emissions from its 2020 baseline by 2030 - a 15% reduction - and getting to carbon neutral by 2050.

By 2030, Dow aims to enable 1m tonnes of plastic to be collected, recycled or reused through direct actions and partnerships, and by 2035 have 100% of its packaging products be recyclable or reusable.

"The company's new culture of capital discipline has also served stakeholders well through the coronavirus pandemic as its strong balance sheet served as a buffer from extremely challenging business conditions," noted Chang.

In the 2020 ICIS Top 40 Power Players ranking, Saudi Aramco president and CEO Amin Nasser came in second, followed by Solvay CEO Ilham Kadri.

The ICIS Top 40 Power Players ranking is based on selections by the global ICIS senior editorial staff.

In the 2020 ICIS Top 40 Power Players ranking, Saudi Aramco President and CEO Amin Nasser came in second, followed by Solvay CEO Ilham Kadri. The ICIS Top 40 Power Players ranking is based on selections by the global ICIS senior editorial staff.

As MRC informed earlier, Adriano Alfani, senior global business director at Dow, has been named new CEO of Versalis, effective 1 January. Daniele Ferrari, who has served as Versalis CEO since February 2011, will leave the company at the end of the year. Alfani started his career at Versalis predecessor EniChem and has been with Dow since 2001.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,760,950 tonnes in the first ten months of 2020, up by 3% year on year. Only high density polyethylene (HDPE) and linear low density polyethylene (LLDPE) shipments increased. At the same time, PP shipments to the Russian market reached 978,870 tonnes in January-October 2020 (calculated using the formula: production minus exports plus imports minus producers' inventories as of 1 January, 2020). Supply of exclusively of PP random copolymer increased.
MRC