Yansab completes cracker turnaround at Yanbu, Saudi Arabia

MOSCOW (MRC) -- Yanbu National Petrochemical Company (Yansab), part of Saudi Basic Industries Corporation (Sabic), has restarted its cracker after a planned turnaround, reported Chemweek.

Thus, the cracker in Yanbu, Saudi Arabia, which can produce 1.38 mln mt/year of ethylene and 400,000 mt/year of propylene, resumed operations on 15 February, 2021. It was shut for a turnaround on 5 February.

The company also has polyolefin plants at the same site with production capacity of 400,000 tons/year of polypropylene (PP) and linear low density polyethylene (LLDPE) each. They were also taken off-line for maintenance on 5 February. Both plants are expected to resume production this week.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 2,220,640 tonnes in 2020, up by 2% year on year. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, polypropylene (PP) shipments to the Russian market reached 1 240,000 tonnes in 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.

Yansab is the most recent SABIC, (Saudi Basic Industries Corp), affiliate in Saudi Arabia, and will be the largest Sabic petrochemical complex. It will have an annual capacity exceeding 4 million metric tons (MT) of petrochemical products including: 1.3 million MT (metric-tons) of ethylene; 400,000 MT of propylene; 900,000 MT of polyethylene; 400,000 MT of polypropylene; 700,000 MT of ethylene glycol; 250,000 MT of benzene, xylene and toluene, and 100,000 MT of butene-1 and butene-2.

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

MOSCOW (MRC) -- Neste, the world’s leading provider of renewable diesel and sustainable aviation fuel and an expert in delivering drop-in renewable and circular chemical solutions, today announced that it has acquired a minority stake in Alterra Energy, an innovative chemical recycling technology company, said Hydrocarbonprocessing.

Neste’s equity investment supports Alterra Energy’s expansion. The collaboration between the companies will include joint technology development and global technology licensing, enabling the partners to collaborate in commercializing Alterra’s proprietary thermochemical liquefaction technology in Europe.

The companies are working together towards a global rollout of Alterra’s liquefaction technology with a strong initial focus on Europe, a leading market in the global transition towards making plastics value chains fully circular. With this, the companies aim to accelerate the adoption of chemical recycling and develop capacity to turn hard-to-recycle plastic waste into high-quality, high-performance polymers and chemicals. The collaboration of the companies supports Alterra Energy’s target of commencing the construction of a state-of-the-art liquefaction site in Europe during 2021.

Alterra’s existing industrial-scale waste plastics liquefaction plant in Akron, Ohio produces commercial volumes that can already be refined and upgraded into high-quality feedstock for plastics and chemicals. This, together with Neste’s refining capability, enables sustainability-oriented brands globally to start introducing recycled content into their products and offerings.

"Collaboration with Alterra Energy strengthens Neste’s ecosystem of partnerships that are aimed at accelerating the transition to a circular plastics economy. It demonstrates our commitment to continue developing the chemical recycling industry by supporting some of the leading companies in commercializing promising technologies. This partnership also supports Neste’s aim of building new business growth based on chemical recycling, while marking another significant step towards our target of processing more than one million tons of plastic waste from 2030 onwards,” says Mercedes Alonso, Executive Vice President, Renewable Polymers and Chemicals at Neste.

“The Neste-Alterra partnership will unlock the full potential of the circular economy, bringing our technology to more partners around the world, creating a cleaner planet,” said Alterra’s CEO Frederic Schmuck. “Neste is a world leader in renewable and circular solutions and its endorsement of Alterra's proprietary process is both extremely rewarding and validating.”

As per MRC, Neste is planning to restructure its refinery operations in Porvoo and Naantali, Finland. The company is exploring the shutdown of its refinery operations in Naantali and focusing the Naantali site on the terminal and harbor operations, as well as transforming the Porvoo refinery operations to co-processing renewable and circular raw materials.

As MRC informed earlier, last year, Exxon Mobil Corp announced it will lay off about 1,900 employees in the United States as the COVID-19 pandemic batters energy demand and prices.

We remind that ExxonMobil has undertaken a planned shutdown at its cracker in Singapore. The company halted operations at the cracker for maintenance on September 14, 2020. The cracker was expected to remain off-line till end-October, 2020. Located at Jurong Island, Singapore, the cracker has an ethylene production capacity of 1 million mt/year and a propylene production capacity of 450,000 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 2,220,640 tonnes in 2020, up by 2% year on year. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, polypropylene (PP) shipments to the Russian market reached 1 240,000 tonnes in 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) -- American Chemistry Council (ACC) voiced support for the Biden administration efforts to determine the social costs of greenhouse gas emissions, but urged for methodologies that “adhere to rigorous methodology” and include “ample” channels and opportunities for public and stakeholder input, said Chemweek.

ACC was among 11 signatories on a letter sent to Biden administration officials tasked with implementing the president’s executive order (EO) 13990, Protecting Public Health and the Environment and Restoring Science to Tackle the Climate Crisis. Signed on 20 January, EO 13990 mandates the formation of an Interagency Working Group on Social Cost of Greenhouse Gases (IWG) to update estimates of the Social Cost of Carbon (SCC), Social Cost of Nitrous Oxide (SCN) and Social Cost of Methane (SCM) using recommendations from the National Academies of Sciences (NAS). “An accurate social cost is essential for agencies to accurately determine the social benefits of reducing greenhouse gas emissions when conducting cost-benefit analyses of regulatory and other actions,” EO 13990 stated.

EO 13990 required the IWG to publish interim estimates of these “economically significant values” within 30 days of the EO and a final set of updated estimates by January 2022, the signatories say. “However, it is not clear what the process is to solicit public and stakeholder input for developing the interim estimates presumably by February 19, 2021 or final estimates by January 2022. For example, when updating estimates, the NAS recommends that such estimates draw on external technical expertise and that revisions be subject to public notice and comment. EO 13990 directs the IWG to consider the NAS recommendations, solicit public comment and engage with stakeholders in its activities related to the SCC, SCN and SCM."

The group also called for the administration to harmonize the SCC, SCN and SCM activities with the directives contained in the President’s “Modernizing Regulatory Review” Memorandum for Heads of Executive Departments and Agencies, also issued on 20 January 2021. “That Memorandum requires the Director of Office of Management and Budget to update, as soon as practicable, the tools used by the Executive Branch to quantify the costs and benefits of regulations, including OMB Circular A-4. These include some of the same tools and methodologies that will be used to revise the SCC, SCN and SCM. The timelines for these two regulatory efforts should be complementary and should benefit from robust stakeholder input so that the resulting guidance from each is consistent with the other.”

The letter was addressed to four key officials within the Biden Administration: Robert S. Fairweather, acting director, Office of Management and Budget; Dr. Robert M. Fisher, General Counsel and Senior Economist, Council of Economic Advisers; Rachael Leonard, Chief Operating Officer and General Counsel.

Office of Science and Technology Policy; and Dominic Mancini, Deputy Administrator, Office of Information and Regulatory Affairs. The full list of signatories are ACC, American Forest & Paper Association, American Fuel & Petrochemical Manufacturers, American Iron and Steel Institute, American Petroleum Institute, Council of Industrial Boiler Owners, Fertilizer Institute, Independent Petroleum Association of America, National Association of Manufacturers, Portland Cement Association and U.S. Chamber of Commerce.

As MRC informed earlier, last year, Exxon Mobil Corp announced it will lay off about 1,900 employees in the United States as the COVID-19 pandemic batters energy demand and prices.

We remind that ExxonMobil has undertaken a planned shutdown at its cracker in Singapore. The company halted operations at the cracker for maintenance on September 14, 2020. The cracker was expected to remain off-line till end-October, 2020. Located at Jurong Island, Singapore, the cracker has an ethylene production capacity of 1 million mt/year and a propylene production capacity of 450,000 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 2,220,640 tonnes in 2020, up by 2% year on year. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, polypropylene (PP) shipments to the Russian market reached 1 240,000 tonnes in 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) -- A deep freeze across Texas took a toll on the energy industry in the largest US crude-producing state, shutting oil refineries and forcing restrictions from natural gas pipeline operators, reported Reuters.

The cold snap prompted the state’s electric grid operator to impose rotating blackouts, while President Joe Biden declared an emergency on Monday, unlocking federal assistance to Texas.

Texas produces roughly 4.6 MMbpd of oil and is home to some of the nation’s largest refineries, spread throughout the Gulf Coast. In Midland, heart of the US Permian shale region, temperatures were in the single digits Fahrenheit.

Motiva Enterprises said it was shutting down its Port Arthur, Texas complex, which includes its 607,000-bpd refinery, the largest in the United States.

Exxon also began shutting its 369,024-bpd Beaumont, Texas refinery, while its Baton Rouge facility in Louisiana experienced operational issues.

Citgo Petroleum Corp. said some units at its 167,500-bpd Corpus Christi, Texas refinery were being shut. Sources familiar with plant operations said earlier that the crude distillation unit, a reformer and a hydrotreater were shut by cold weather at the refinery, with all other units also being powered down.

The cold snap also forced Lyondell Basell’s 263,776-bpd Houston refinery to operate at minimum production and shut most units at Marathon’s 585,000-bpd Galveston Bay plant.

“We are also getting reports of power outages across the Permian, which are expected to continue if the current weather system persists. This may result in intermittent production shut-ins, with a moderate impact on Permian oil production expected in February,” Rystad Energy’s head of oil markets, Bjornar Tonhaugen said, in a note.

Energy distribution was stalled across large parts of the United States.

Kinder Morgan’s Natural Gas Pipeline Co. reported capacity constraints at various locations on its pipeline system, while Enable Gas Transmission said it was taking measures to ensure adequate supply for customers.

Oil pipeline operator Enbridge on Monday said a 585,000-bpd crude oil pipeline that runs from its terminal near Pontiac, Illinois, outside of Chicago, to the largest U.S. oil storage hub in Cushing, Oklahoma, was halted because of power outages. “Crews are working with electric utility providers to restore power to Line 59,” (as the pipeline is called), said Enbridge spokesman Michael Barnes. “The power failure is due to the winter storm the US is experiencing.”

The icy weather conditions also prompted Port Houston public terminals to cease vessel operations from Sunday evening through Monday.

As MRC informed earlier, last year, Exxon Mobil Corp announced it will lay off about 1,900 employees in the United States as the COVID-19 pandemic batters energy demand and prices.

We remind that ExxonMobil has undertaken a planned shutdown at its cracker in Singapore. The company halted operations at the cracker for maintenance on September 14, 2020. The cracker was expected to remain off-line till end-October, 2020. Located at Jurong Island, Singapore, the cracker has an ethylene production capacity of 1 million mt/year and a propylene production capacity of 450,000 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 2,220,640 tonnes in 2020, up by 2% year on year. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, polypropylene (PP) shipments to the Russian market reached 1 240,000 tonnes in 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) -- Daniele Ferrari, former CEO of Italian chemicals maker Versalis, will join private equity from SK Capital Partners (New York, New York) as a senior director, according to Chemweek with reference to the firm's statement.

Ferrari was CEO of Versalis, a subsidiary of energy giant Eni, for nine years. Ferrari also served as chairman of Matrica, a bioplastics joint venture between Novamont and Versalis, during that time.

Ferrari has held other executive roles at Eni and Huntsman during a 35-year career, and has served as a leader in industry trade associations in Europe.

As MRC reported previously, SK Innovation Co Ltd, the owner of South Korea's top refiner SK Energy, said in early February, 2021, that refining margins are expected to gradually recover this year on a pick-up in fuel demand as the impact of COVID-19 eases. The company, which has been battered by weak margins during the global pandemic, posted an operating loss of 243 billion won (USD218 million) in the October-December quarter.

We remind that SK Advanced is planning to start up the new polypropylene (PP) plant in Ulsan, South Korea this March 2021 as construction works are nearly completed. The PP unit is a joint venture between PolyMirae and SK Advanced, using the “Spheripol” process of LyondellBasell, and have an annual output of 400,000 tons/year. The unit will be utilizing the propylene output from SK’s 600,000 tons/year propane dehydrogenation (PDH) unit at the same complex. It is expected that SK Advanced would have a smaller propylene allocation for export once the new PP line comes online.

According to MRC's ScanPlast report, PP shipments to the Russian market reached 1 240,000 tonnes in 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