Sinopec Maoming to shut is LDPE plant in China for maintenance on 24 March

MOSCOW (MRC) -- Sinopec Maoming Petrochemical Company, part of Sinopec, has delayed the turnaround at its No. 2 low density polyethylene (LDPE) unit in Guangdong, China until 24 March, reported CommoPlast with reference to market sources.

Initially the company intended to take off-stream its 250,000 tons/year No. 2 LDPE unit on 15 March, 2021.

However, Sinopec Maoming Petrochemical decided to delay the shutdown slighlty. The outage is expected to last for 63 days.

As MRC informed previously, Sinopec Maoming Petrochemical Company plans to shut down its high density polyethylene (HDPE) plant in Guangdong for a scheduled turnaround on 25 March, 2021. The company's HDPE plant can produce 350,000 tons/year. The maintenance works are expected to last until 2 May, 2021.

According to MRC's ScanPlast report, January estimated LDPE consumption in Russia grew to 61,210 tonnes from 43,090 tonnes a year earlier. Russian producers increased their capacity utilisation, and export LDPE shipments decreased. Russia's estimated LDPE consumption was about 563,730 tonnes in 2020, up by 1% year on year.

Sinopec corp. is one of the world's largest integrated energy and chemical companies. Business Sinopec Corp. includes oil and gas exploration, production and transportation of oil and gas, oil refining, petrochemical production, production of mineral fertilizers and other chemical products. In terms of refining capacity, Sinopec Corp. ranks second in the world, in terms of ethylene capacity - fourth.
MRC

HDPE production in Russia up 13% in Jan-Feb 2020

MOSCOW (MRC) -- Russia's production of high density polyethylene (HDPE) totalled 329,800 tonnes in the first two months of 2021, up by 13% year on year. At the same time, only one Russian producer increased HDPE output, according to MRC ScanPlast report.

February HDPE production in Russia decreased to 152,500 tonnes, whereas this figure was about 172,500 tonnes a month earlier, three out of four manufacturers have reduced capacity utilisation. Thus, overall HDPE output reached 329,800 tonnes in January-February 2021, compared to 291,400 tonnes a year earlier. Only ZapSibNeftekhim's production increased, while Kazanorgsintez and Gazprom neftekhim Salavat reduced their production.

The structure of PE output by grades looked the following way over the stated period.
February production of HDPE at ZapSibNeftekhim reached 93,700 tonnes against 99,200 tonnes a month earlier. In general, total output of HDPE at the Tobolsk enterprise approached the level of 192,900 tonnes in January-February, up 57%year on year.

Last month's HDPE production at Kazanorgsintez decreased to 28,300 tonnes from 38,100 tonnes in January, the decrease in production was in favor of linear polyethylene. Thus, overall production of this PE grade totalled 66,300 tonnes over the stated period, down by 29% year on year.

Stavrolen's February HDPE production decreased to 24,800 tonnes from 28,800 tonnes a month earlier. Overall HDPE output exceeded 53,500 tonnes over the stated period, which virtually corresponded to the 2020 figure.

Gazprom neftekhim Salavat decreased HDPE production to 5,800 tonnes in February from 11,300 tonnes in January. Thus, overall production of this PE grade totalled 17,100 tonnes at the plant over the stated period, down by 20% year on year.

MRC

Sinopec Maoming to shut HDPE plant in China for maintenance

MOSCOW (MRC) -- Sinopec Maoming Petrochemical Company, part of Sinopec Corporation, plans to shut down its high density polyethylene (HDPE) plant in Guangdong for a scheduled turnaround on 25 March, 2021, according to CommoPlast with reference to market sources.

The company's HDPE plant can produce 350,000 tons/year.

The maintenance works are expected to last until 2 May, 2021.

As MRC reported earlier, Sinopec Maoming Petrochemical has delayed the planned shutdown at its No.2 polypropylene (PP) unit in Guangdong until 25 March. Initially the company was to shut this PP unit for a scheduled turnaround on March 5, 2021. Sinopec Maoming plans to conduct maintenance at this unit to 5 May, 2021.

According to MRC's ScanPlast report, January estimated HDPE consumption in Russia grew to 146,880 tonnes from 141,100 tonnes a month earlier. Domestic producers increased their output, whereas imports slumped by 50%. Overall HDPE shipments to the Russian market totalled 1,232,100 tonnes in 2020, up by 3% year on year. Production and exports grew significantly, whereas imports fell by a third.

Sinopec Corp. is one of the world's largest integrated energy and chemical companies. Business Sinopec Corp. includes oil and gas exploration, production and transportation of oil and gas, oil refining, petrochemical production, production of mineral fertilizers and other chemical products. In terms of refining capacity, Sinopec Corp. ranks second in the world, in terms of ethylene capacity - fourth.
MRC

Saudi oil giant to reduce spending after 2020 profit fall

MOSCOW (MRC) -- Saudi Arabian state oil giant Aramco is betting on an Asian-led rebound in energy demand in 2021 after it reported a steep fall in last year's net profit and scaled back its spending plans, reported Hydrocarbonprocessing.

The COVID-19 pandemic took a heavy toll on the company and its global peers in 2020, but oil prices have rallied this year as economies recover from last year’s downturn and after oil producers extended output cuts.

“We are pleased that there are signs of a recovery,” Aramco CEO Amin Nasser told an earnings call. “China is also very close to pre-pandemic levels. So in Asia, East Asia in particular, there is strong pickup in demand.”

He said demand in Europe and United States would improve with more deployment of vaccines. Global oil demand is expected to reach 99 million barrels per day by the end of this year, he said.

Aramco lowered its guidance for capital expenditure in 2021 to around USD35 billion from a range of USD40 billion to USD45 billion previously, according to a disclosure to the kingdom’s Tadawul bourse. Capital spending in 2020 was USD27 billion.

As MRC informed earlier, in October 2019, McDermott International announced that it had been awarded a contract by Saudi Aramco and Total Raffinage Chimie (Total) for their joint venture (JV) Amiral steam cracker project at Jubail, Saudi Arabia. Amiral is a JV in which Aramco holds 62.5% and Total the rest. The plant, designed to produce 1.5 million metric tons/year (MMt/y) of ethylene, will be one of the world's largest mixed-feed crackers.

Aramco and Total launched their USD5-billion Amiral JV project in October 2018. The steam cracker will be fed with a mixture of 50% ethane and refinery off-gases. It will supply ethylene to a downstream 1 MMt/y polyethylene manufacturing complex and other petrochemical products. The project aims to fully exploit operational synergies with the adjacent refinery, owned by Satorp, another JV between Aramco and Total. Third-party investors, including Daelim and Ineos, will locate plants at the value park adjacent to Amiral with a combined investment of USD4 billion. A final investment decision is expected in 2021.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 241,030 tonnes in January 2021 versus 217,890 tonnes a year earlier. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, PP shipments to the Russian market reached 141,870 tonnes in January 2021 versus 123,520 tonnes a year earlier. Supply of homopolymer PP and PP block copolymers increased.

Saudi Aramco, officially the Saudi Arabian Oil Company, is a Saudi Arabian national oil and natural gas company based in Dhahran, Saudi Arabia. Saudi Aramco"s value has been estimated at up to USD10 trillion in the Financial Times, making it the world"s most valuable company. Saudi Aramco has both the largest proven crude oil reserves, at more than 260 billion barrels, and largest daily oil production.
MRC

Versalis to keep Porto Marghera cracker running until at least 2022

MOSCOW (MRC) -- Versalis will keep the Porto Marghera cracker running until spring 2022, said Chemanager-online.

In the spring of 2018, Versalis announced that maintenance was due in 2022 and that the future of the cracker would be determined. The cracking unit was first shut down in 2014 and has been closed for almost a year.

Since about 2016, ethylene products have been mainly exported to Asia under procurement agreements.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 241,030 tonnes in January 2021 versus 217,890 tonnes a year earlier. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, PP shipments to the Russian market reached 141,870 tonnes in January 2021 versus 123,520 tonnes a year earlier. Supply of homopolymer PP and PP block copolymers increased.

Versalis is a petrochemical company, a 100% subsidiary of the Italian oil and gas company Eni SpA. The company manufactures a wide range of petrochemical products and is also one of the world's leading elastomer companies.

Eni S.p.A. (Ente Nazionale Idrocarburi) is an Italian oil and gas company headquartered in Rome. Eni operates in 70 countries around the world.

MRC