Evonik to generate additional sales of over EUR350 mln by 2030 with solutions for circular plastics

MOSCOW (MRC) -- Evonik expects its global circular plastics program to generate additional sales of more than EUR350 million a year by 2030, as per the company's press release.

The company is pooling its activities for circular plastics in a global program. As part of the transition to a circular economy, the company offers its customers solutions for all stages in the polymer value chain. Additives and technologies from Evonik make mechanical and chemical recycling more efficient thus improving the availability of circular plastics. Evonik will also increase the use of sustainable raw materials from circular sources in its own production processes.

“The careful use of resources and protection of the climate leads us down the path towards a circular economy,” said Harald Schwager, deputy chairman of Evonik's executive board, who is responsible for innovation. “We have the innovative capability to create new materials cycles with fewer fossil-based feedstocks and more circular ones. We intend to utilize that potential.”

More than 350 million metric tons of plastics are produced worldwide every year. However, only a small fraction of that amount is recycled. Evonik can facilitate the transformation to a circular economy for sustainable plastics applications with its additives and solutions, and that at competitive cost and quality.

Specialty additives from Evonik can increase the amount of high-quality re-usable recyclate obtained by about 5%. Evonik aims to offer such solutions for about 400,000 metric tons of recyclable plastics by 2025.

Evonik is also working on various chemical recycling technologies for plastic waste that cannot be recycled mechanically. Here, the polymer chains are split to obtain building blocks for the production of new plastics. For example, Evonik is currently developing a process to facilitate recycling of heavily contaminated polyethylene terephthalate (PET) waste. New molecules for high-end applications can be obtained via methanolysis.

Another method of chemical recycling is controlled incineration of plastic waste to produce pyrolysis oils or synthesis gases. Evonik offers modern technologies that play a part in making these processes more efficient. Examples are additives, catalysts, and membranes for the treatment of gas. These pyrolysis oils and synthesis gases can be used as raw materials for the production of plastics.

All of these processes have one thing in common: The goal is to replace fossil-based resources such as oil wherever possible, avoid waste, and minimize carbon dioxide emissions.

As MRC informed before, earlier this month, Evonik signed a purchase agreement to acquire the privately owned technology-driven company Infinitec Activos, with closing expected by July.

According to MRC's ScanPlast report, Russia's estimated PET consumption grew to 263,660 tonnes in the first four months in 2021, up by 13% year on year. Bottle grade PET accounted for 78.3% of the increase in consumption due to the virtual absence of exports and higher imports.

Evonik is one of the world leaders in specialty chemicals. The focus on more specialty businesses, customer-oriented innovative prowess and a trustful and performance-oriented corporate culture form the heart of Evonik’s corporate strategy. They are the lever for profitable growth and a sustained increase in the value of the company. Evonik benefits specifically from its customer proximity and leading market positions. The company is active in more than 100 countries around the world and generated sales of EUR12.2 billion and an operating profit (adjusted EBITDA) of EUR1.91 billion in 2020.
MRC

MOSCOW (MRC) -- Russia's offline oil refining capacity was revised up by 5.2% from the previous plan to 3.123 million tons in July, according to Refinitiv Eikon data and Reuters calculations, said Reuters.

The offline capacity has also been revised up this month, by 5.6% from the previous plan to 3.889 million tons.

The revision follows adjustments of maintenance schedule by some refineries.

As per MRC, global oil consumption is set to return to pre-pandemic levels by the first quarter of 2022, driven by a strong expansion in global manufacturing and freight transport as well as the gradual re-opening of major economies. Booming consumption from miners, manufacturers, shipping and trucking firms, as well as private motorists, is expected to offset the continued loss of jet fuel consumption from quarantine restrictions on passenger aviation. Global liquids consumption (including biofuels) is forecast to reach 100.6 million barrels per day (bpd) in March 2022, according to the US Energy Information Administration (EIA).

Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 744,130 tonnes in the first four month of 2021, up by 4% year on year. Shipments of all PE grades increased. At the same time, PP deliveries to the Russian market were 523,900 tonnes in January-April 2021, up by 55% year on year. Supply of homopolymer PP and PP block copolymers increased, whereas shipments of PP random copolymers decreased.
MRC

MOSCOW (MRC) -- Abu Dhabi National Oil Company (ADNOC) will reduce the volume of crude oil it supplies to Asian term buyers by 15% in September, reported Reuters with reference to six sources with direct knowledge of the matter.

The cut was much deeper compared with a reduction of 5% in term volume allocation for crude oil cargoes loading in August, three of the sources said. ADNOC did not provide a reason for the deeper cuts, the sources said.

ADNOC declined to comment on such issues.

The move came as a surprise for some market participants ahead of an upcoming OPEC+ meeting on July 1. It was not immediately clear why ADNOC was making a deeper supply cut for crude oil loading in September for its term contract customers.

The Organization of the Petroleum Exporting Countries and allies, known as OPEC+, is returning 2.1 million barrels per day (bpd) to the market from May through July as part of a plan to gradually unwind last year's record oil output curbs.

Sources told Reuters last Tuesday that OPEC+ was discussing a further easing of oil output cuts from August as oil prices rise on demand recovery, but no decision had been taken yet on the exact volume to bring back to the market.

As MRC informed earlier, in March 2021, the UAE's Abu Dhabi National Oil Co. signed an agreement with Malaysia's Petronas to explore collaboration in the oil and gas sector of Abu Dhabi and in the low-carbon energy industry in the first such partnership between the two national oil producers.

Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 744,130 tonnes in the first four month of 2021, up by 4% year on year. Shipments of all PE grades increased. At the same time, PP deliveries to the Russian market were 523,900 tonnes in January-April 2021, up by 55% year on year. Supply of homopolymer PP and PP block copolymers increased, whereas shipments of PP random copolymers decreased.
MRC

MOSCOW (MRC) -- Polyethylene (PE) imports into Kazakhstan decreased in the first four months of 2021 by 20% year on year to about 46,000 tonnes. At the same time, only high density polyethylene (HDPE) accounted for the reduction in shipments, said MRC analysts.

PE imports to Kazakhstan reached 12,800 tonnes in April 2021, compared to 13,600 tonnes a month earlier, local companies almost halved their PE purchasing in Russia. Overall PE imports totalled about 46,000 tonnes in January -April 2021, compared to 57,800 tonnes a year earlier. Purchasing of linear low density polyethylene (LLDPE) imports increased significantly, whereas HDPE imports decreased.

The structure of PE imports by grades looked the following way over the stated period.

April HDPE imports dropped to 9,700 tonnes from 10,600 tonnes, Russian producers reduced their export sales of pipe grade PE to the local market. Overall HDPE imports totalled almost 34,500 tonnes in the first four months of 2021, down by 27% year on year.

April low density polyethylene (LDPE) imports fell to 1,600 tonnes from 2,600 tonnes a month earlier, a Russian producer restricted its shipments to the local market. Overall LDPE imports reached 6,900 tonnes over the stated period, which corresponded to the last year's figure.

Apri LLDPE imports reached 1,500 tonnes versus 400 tonnes a month earlier. Overall LLDPE imports exceeded 4,600 tonnes in January-April 2021, up by 21% year on year.

MRC

1. US refining capacity drops 4.5% on weak demand during COVID-19 pandemic

MOSCOW (MRC) -- US refining capacity last year fell 4.5% to 18.13 million barrels per day (bpd) from a record 18.98 million bpd a year earlier, the US government reported, reflecting weak demand for motor fuels during the COVID-19 pandemic, according to Reuters. It was the first annual decline since 2018, when capacity fell by 18,530 bpd and the largest since 2012, according to Energy Information Administration (EIA) data. That year capacity shrank 414,192 bpd following the Great Recession. US refiners last year suffered deep financial losses and closed five facilities as the pandemic slashed fuel sales. Average U.S. gasoline consumption fell 13% last year with gasoline and diesel prices hitting a four-year low, according to government figures.


MRC