Mitsubishi Chemical to construct verification facilities in Japan for chemical recycling of acrylic resins

Mitsubishi Chemical to construct verification facilities in Japan for chemical recycling of acrylic resins

MOSCOW (MRC) -- Mitsubishi Chemical Corp. (MCC; Tokyo) and its consolidated subsidiary Mitsubishi Chemical Methacrylates Japan Co., Ltd (MCM) plan to construct facilities in Japan to implement verification testing with the goal of commercializing molecular recycling operations for PMMA (polymethyl methacrylate; acrylic resin), according to Chemical Engineering.

Acrylic resin is a plastic product that possesses excellent transparency and light resistance, and boasts a wide range of applications, including automotive light covers, signs, aquarium tanks, coatings and construction materials.

Global demand for acrylic resin exceeds 3 million tons. In addition, demand has been increasing recently in regions around the world for acrylic plates used to prevent infection due to exhaled droplets/particles. At MCC and MCM, examinations have been conducted for some time on the recycling of acrylic resin. In Europe, which is a global leader in environmental awareness and is seeking speedier actions, considerations are being carried out regarding the construction of acrylic resin recycling facilities which introduce current recycling technologies. A decision is expected to be reached in the near term.

Meanwhile MCC and MCM are cooperating with Microwave Chemical Co., Ltd., a partner looking into recycling technologies for acrylic resin, and have decided to construct new verification facilities at its site in Osaka. Construction is slated to be completed in June 2021.

In Europe and Japan, using respective approaches that take into account the traits of each region, full-fledged consideration for the construction of an acrylic resin-recycling plant is expected to be undertaken with an eye on operations starting from 2024.Acrylic resin waste recycling is not only to the waste materials from MCC and MCM acrylic resin manufacturing plants, but also focus on collecting acrylic resin waste from the broader market in the future.

In conjunction with the Honda Motor, MCC is also examining a scheme for the collection of acrylic resins, mainly from the taillights of scrapped cars, their molecular recycling and reuse. The companies are also jointly conducting verification testing of recycling systems that use new verification facilities. Using MCC acrylic resin recycling technologies, manufactured MMA (methyl methacrylate) and acrylic resins produced using MMA as a raw material retain the same level of performance, including transparency, as regular products. Moreover, it is estimated that CO2 emissions during the manufacturing process can be cut by over 70% of conventional levels.

As MRC reported earlier, in April 2021, Origin Materials, Inc., the world’s leading carbon negative materials company, and Mitsubishi Gas Chemical, Inc., a global leader in basic and fine chemicals and advanced materials, announced a partnership to industrialize and manufacture advanced chemicals and materials built on the Origin Materials technology platform.

We remind that Mitsubishi Chemical Corp (MCC) consolidated its headquarter functions for its global methyl methacrylate (MMA) business in Singapore, and renamed its major MMA subsidiaries to Mitsubishi Chemical Methacrylates, effective 1 April, 2021. The move is aimed at optimising the company's global product supply network by utilising digital technologies that connect regional production, costs and supply and demand.

The main application, consuming approximately 75% MMA, is in the production of polymethyl methacrylate acrylic plastics (PMMA). Methyl methacrylate is also used to produce methyl methacrylate-butadiene-styrene copolymer (MBS), used as a modifier for polyvinyl chloride (PVC).

According to MRC's ScanPlast report, Russia's overall PVC production reached 346,100 tonnes in the first four months of 2021, down 1% year on year. All producers decreased production volumes over the reported period, with the exception of the Bashkir Soda Company

Mitsubishi Gas Chemical Company, Inc. (MGC), headquartered in Tokyo, is a unique technology-oriented manufacturer producing more than 90% of its products using proprietary technologies. Committing itself to creating new technology and value, MGC boasts a broad range of products, from basic chemicals such as methanol, xylene, and hydrogen peroxide to high-performance products such as engineering plastics, foamed plastics, materials for printed wiring boards and oxygen absorbers.
MRC

COVID-19 - News digest as of 16.06.2021

1. Oil futures up on large draw in US crude inventories and bullish demand outlook

MOSCOW (MRC) -- Crude oil futures jumped during morning trade in Asia June 16, as data from the American Petroleum Institute showed a large draw in US crude inventories, and as the market continued to buy into the global demand recovery narrative, reported S&P Global. At 10:23 am Singapore time (0223 GMT), the ICE August Brent futures contract was up 62 cents/b (0.84%) from the previous settle at USD74.61/b while the NYMEX July light sweet crude contract was up 59 cents/b (0.82%) at USD72.71/b. The rise in prices came as API data, released June 15, indicated improved fundamentals in the market, showing an 8.54 million-barrel decline in US crude inventories in the week ended June 11. Given the striking crude draw figure, markets largely overlooked more bearish downstream product inventory data, which showed US gasoline and distillate inventories rising by 2.85 million barrels and 1.96 million barrels, respectively. Part of the reason why the markets dismissed the downstream product inventory data was that US product demand, especially US gasoline demand, remains robust amid rising vaccination rates and easing mobility restrictions.

MRC

Oil futures up on large draw in US crude inventories and bullish demand outlook

Oil futures up on large draw in US crude inventories and bullish demand outlook

MOSCOW (MRC) -- Crude oil futures jumped during morning trade in Asia June 16, as data from the American Petroleum Institute showed a large draw in US crude inventories, and as the market continued to buy into the global demand recovery narrative, reported S&P Global.

At 10:23 am Singapore time (0223 GMT), the ICE August Brent futures contract was up 62 cents/b (0.84%) from the previous settle at USD74.61/b while the NYMEX July light sweet crude contract was up 59 cents/b (0.82%) at USD72.71/b.

The rise in prices came as API data, released June 15, indicated improved fundamentals in the market, showing an 8.54 million-barrel decline in US crude inventories in the week ended June 11.

Given the striking crude draw figure, markets largely overlooked more bearish downstream product inventory data, which showed US gasoline and distillate inventories rising by 2.85 million barrels and 1.96 million barrels, respectively.

Part of the reason why the markets dismissed the downstream product inventory data was that US product demand, especially US gasoline demand, remains robust amid rising vaccination rates and easing mobility restrictions.

The improving pandemic situation in the US is best exemplified by New York, whose Governor Andrew Cuomo on June 15 lifted most pandemic-related restrictions after the statewide vaccination rate for adults hit the 70% threshold, according to media reports. Meanwhile, California, which now has one of the lowest infection rates in the country, also did the same on June 15, media reports said.

Even prior to the removal of these restrictions, the improving pandemic situation in the US was already having an effect on the country's traffic conditions.

A similar trend was seen across Europe, which market analysts said was supportive of the sentiment for oil. With a demand recovery also expected in major Asian economies, where COVID-19 infection numbers have also been on a downtrend, the market expects prices to continue their hot streak.

"Even non-energy traders are placing bets that oil prices will continue to rise," Edward Moya, senior market analyst at OANDA, said in a June 16 note.

"The crude demand outlook is very robust as recoveries across the US, Europe and Asia will have demand return to pre-COVID levels in the second half of next year," he reasoned.

The rosy demand outlook and potential supply constraints have led to traders entertaining the idea of oil prices reaching USD100/b this year.

We remind that as MRC informed earlier, Indian refiners, anticipating a lifting of US sanctions, plan to make space for the resumption of Iranian imports by reducing spot crude oil purchases in the second half of the year. The world"s third-largest oil consumer and importer halted imports from Tehran in 2019 after former US President Donald Trump withdrew from a 2015 accord and re-imposed sanctions on the OPEC producer over its disputed nuclear programme.

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

ChinaCoal Mengda postpones turnarounds at its PE and PP plants

ChinaCoal Mengda postpones turnarounds at its PE and PP plants

MOSCOW (MRC) -- Inner Mongolia ChinaCoal Mengda New Energy & Chemical Industry Co Ltd (Zhongmei Mengda Chemical) has postponed scheduled maintenance works at its polyethylene (PE) and polypropylene (PP) plants to 15 July, 2021, according to CommoPlast with reference to market sources.

Based in Inner Mongolia, China, the company has PP and linear low density polyethylene (LLDPE) plants with production capacity of 300,000 tons/year each.

Both plants were initially scheduled for maintenance by early July, however, due to the celebration of 100th Anniversary of the Communist Party, the local government of Erdos, Inner Mongolia is emphasizing plants to have stability on production. The celebration of the anniversary will be held starting 15 June for a month.

As MRC reported earlier, the company started up its PE and PP plants in Inne Mongolia in Q1 2017.

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

South Korean Hyundai Oilbank targets listing in 2022

South Korean Hyundai Oilbank targets listing in 2022

MOSCOW (MRC) -- Hyundai Oilbank, the refinery unit of Hyundai Heavy Industries Holdings, has decided to pursue a listing in the South Korean market during 2022, reported Reuters with reference to Hyundai Heavy' statement in a regulatory filing.

Hyundai Oilbank had previously pursued a listing in 2018 but had delayed the plan until this year due to regulatory scrutiny of its balance sheet.

Hyundai Heavy Industries Holdings held 74.1% of the refiner as of end-March, while Saudi Aramco owns 17% of the refiner through an overseas unit, according to a Hyundai Oilbank filing.

As MRC informed earlier, Hyundai Oilbank shut its one crude distillation (CDU) unit, a residual desulphurises and a fluid catalytic cracker (FCC) unit at its Daesan refinery for a maintenance turnaround on April 8, 2020. The refinery remained off-stream for around 30-45 days. Located at Daesan in South Korea, the refinery has a crude processing capacity of 395,000 bpd.

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