SIBUR to collaborate in producing a cutting-edge fashion collection

MOSCOW (MRC) -- SIBUR and WOS, a leading Russian fashion brand, have announced their plans to collaborate in producing a cutting-edge fashion collection, said the company.

Thanks to SIBUR’s extensive expertise in circular economy, this will be the first time the luxury clothing segment will use fabric derived from recycled plastic to produce garments that will be in no way inferior to those made from traditional materials in terms of sensory friendliness and other important properties.

The fashion industry has traditionally been a testing ground for experiments, reflecting trends in the modern world. An increasing focus on the sustainability of processes and materials has become a major driver behind consumer demand.

The development of this new collection has been entrusted to Andrey Artyomov, a famous Russian designer and the founder of the WOS brand. In 2020, he was named one of the 500 most influential people in the fashion industry by Business of Fashion. WOS is renowned for its experiments in using sustainable technologies in their collections.

While fashion may be often perceived as something ephemeral and short-lived, the new joint capsule collection will have practicality and durability at its heart. The collection will include items with universal silhouettes in standard colours that will not lose their relevance over time and will become the central piece of any wardrobe. The fabric used in the collection is derived from recycled plastic and is GRS (Global Recycle Standard) certified.

Alexey Kozlov, member of the Management Board and Managing Director of SIBUR: "As a responsible polymer producer, SIBUR has long advocated the smart use of plastics and best disposal practices. With its extensive expertise in recycling and re-use of polymers, SIBUR has joined forces with one of Russia’s most progressive and sustainable clothing brands to create a capsule collection suited for the lifestyle and demands of a new kind of person, a collection that seeks to be both cutting-edge and environmentally friendly. This is a vivid illustration of how plastic can find its second life in new items. Moreover, this is the first step towards developing sustainability in the Russian fashion industry."

Andrey Artyomov, designer and WOS founder: "Partnership with SIBUR, one of Russia’s leaders in sustainable development, has been a new and very exciting experience for me. The values that I put at the heart of the WOS brand, including technical efficiency and lean resource management, align perfectly with the values pursued by SIBUR in its championship of environmental responsibility. I have always paid particular attention to the materials my clothes are made of, but I did not know much about plastics and plastic recycling. This collection gives me an opportunity to get new insights in this area. I hope that this new knowledge will help me improve the main collections of WOS, too. This partnership will help many people see that the fashion industry can, and should, be sustainable, and that plastic is not just rubbish, but a valuable raw material."

The collection will be released for limited sale in the autumn of 2021. The proceeds from the sales will be transferred to a charitable foundation and will be used to support carbon footprint neutralisation projects.

As it was said earlier, SIBUR-Neftekhim and Linde Gas Rus (both located in Dzerzhinsk) signed an agreement to launch a recycling project focusing on the carbon dioxide (CO2) generated as a by-product at SIBUR’s facility. The project is an integral part of SIBUR’s sustainable development strategy aiming to reduce GHG emissions by 15% by 20205, and as such it is expected to mitigate the impact of petrochemical production on the air quality. The signing ceremony was attended by Evgeny Lyulin, Chairman of the Nizhny Novgorod Regional Assembly, and Ivan Noskov, head of the Dzerzhinsk Municipal District, as part of their working visit to the facilities.

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.

SIBUR Holding is the leader in the Russian petrochemical industry and one of the largest global companies in the sector with more than 23 thousand employees. In 2019, SIBUR's revenues amounted to USD 8.2 billion, EBITDA - USD2.6 billion. Over the past 10 years, SIBUR has implemented a number of large-scale investment projects worth about RUB 1 trillion.
MRC

MOSCOW (MRC) -- Brazilian energy company Raizen, a joint venture between Royal Dutch Shell Plc and local group Cosan SA is acquiring Shell’s lubricants business in Brazil, reported Reuters with reference to the Brazilian joint venture between Shell and Cosan's announcement on Monday.

The acquisition includes the lubricant blending plant in Ilha do Governador and the terminal in Duque de Caxias, both in Rio de Janeiro. It also includes the distribution chain and related agreements.

Transaction figures and closing date were not disclosed. The sale is subject to approval by the Brazilian Antitrust Authority (CADE).

As MRC informed previously, in late May, 2021, Shell agreed to sell its controlling interest in a Texas refinery to partner Petroleos Mexicanos (Pemex) for about USD596 million. And in early May, Shell announced the sale of its 149,000 barrel per day (bpd) refinery in Washington to Hollyfrontier Corp.

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.

Royal Dutch Shell plc is an Anglo-Dutch multinational oil and gas company headquartered in The Hague, Netherlands and with its registered office in London, United Kingdom. It is the biggest company in the world in terms of revenue and one of the six oil and gas "supermajors". Shell is vertically integrated and is active in every area of the oil and gas industry, including exploration and production, refining, distribution and marketing, petrochemicals, power generation and trading.
MRC

MOSCOW (MRC) - The deal on the merger of SIBUR and TAIF will not affect the position of Kazanorgsintez (KOS), TAIF will remain its shareholder, reports Tatar-inform, citing the words of SIBUR CEO Dmitry Konov during SPIEF-2021.

"Kazanorgsintez is the main production enterprise, one of three at TAIF. We are making a deal through the company with TAIF. Accordingly, the merged company will be a shareholder of TAIF, which will remain a shareholder of Kazanorgsintez. Nothing will change in this regard," said D. Konov.

Earlier, SIBUR and TAIF started to merge petrochemical businesses. The process implies the creation of a company on the basis of SIBUR Holding PJSC, 15% in which will be received by the current shareholders of TAIF. In return, a controlling stake in a Tatarstan group consisting of petrochemical and energy enterprises will be transferred. According to the press service of SIBUR, the remaining stake in TAIF may be subsequently redeemed by the merged company.

Earlier it was reported that the joint company of SIBUR and TAIF will include the parent company of the Tatarstan group, its two chemical plants and an energy company. On the part of TAIF, the following companies will join the merged company: TGK-16 JSC, Kazanorgsintez PJSC, Nizhnekamskneftekhim PJSC and TAIF JSC. The oil complex of TAIF-NK PSC is not included in the deal with SIBUR.

SIBUR is the largest vertically integrated gas processing and petrochemical company in Russia, uniting a number of production sites in various regions of the Russian Federation. The company sells products to consumers in the fuel and energy complex, automotive, construction, consumer goods, chemical and other industries in more than 80 countries around the world.

PSC "TAIF" was established in 1995, is the parent company of the group of the same name, which includes enterprises structured in four business areas: oil and gas processing, chemistry and petrochemistry (energy); investment and financial services; building; telecommunications and complex services, including trade. TAIF Group of Companies is a large Russian holding that controls 96% of the chemical, petrochemical and oil and gas processing industries in Tatarstan. The most important of its areas is the Chemistry, Petrochemistry and Oil and Gas Processing Division, which includes the leading Russian polymer producers Nizhnekamskneftekhim and Kazanorgsintez.
MRC

MOSCOW (MRC) -- India's government will bring forward to 2023 from 2025 the possibility of fuel companies selling gasoline containing up to 20% of ethanol (E20), reported Reuters with reference to brokers and a publication in the country's official gazette.

It is the second time India's government anticipates sales of the E20 fuel, which originally would happen only in 2030, as the country seeks to cut its oil import bill and reduce carbon dioxide pollution in cities.

"The central government hereby directs that the oil companies shall sell ethanol blended petrol with percentage of ethanol up to 20% as per the Bureau of Indian Standards specifications, in the whole of the states and union territories," the publication said.

The move from India towards higher production and use of ethanol is expected to cut the country's exportable surplus of sugar, potentially leading to higher international prices for the sweetener. Most of the additional ethanol production in the country will come from sugar cane processing, so less cane will likely be used to make sugar.

Wednesday's publication comes after changes earlier last week by the government on rules for companies to set up standalone ethanol production units, aiming to facilitate those projects.

As MRC informed previously, Indian state refiners’ daily gasoline and gasoil sales declined by about a fifth in May from a month earlier as lockdowns to curb the second deadly wave of COVID-19 hit industrial activities and consumption. Daily gasoline sales in May fell by about 19% from April while diesel consumption, which is linked to industrial activity and accounts for over two-fifths of India’s fuel demand, fell by 19.9%, data compiled by state refiners showed.

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) -- Venezuela's political opposition has replaced members of the boards overseeing Citgo Petroleum Corp as factions in the movement led by Juan Guaido try to gain greater influence over Houston-based oil refiner, reported Reuters.

Citgo split from Venezuelan state-run oil company PDVSA in 2019 after the US imposed sanctions intended to oust Venezuela's President Nicolas Maduro. Then congress chief Juan Guaido appointed new boards and won US court recognition of their authority over the refining subsidiary.

Tuesday's shakeup introduced five new appointees tied to different opposition parties, some of them the sons of former PDVSA executives.

Chief Executive Carlos Jorda was replaced at the boards of Citgo Petroleum and parent company Citgo Holding. Citgo operating chief Edgar Rincon also stepped down from the board of Citgo Holding, according to a statement by the Guaido-led assembly.

Jorda and Rincon remain in their executive roles, a Citgo spokeswoman said.

The National Assembly statement did not provide a reason for the moves, which come after several previous management changes at the company. Citgo has lost hundreds of million dollars over six of the last eight quarters amid pandemic-related demand declines and storm shutdowns.

Factions within the National Assembly have been fighting for influence at Citgo since last year. Some lawmakers have sought to require Citgo pay dividends to holding companies Citgo Holding and PDV Holding, a move Jorda long opposed, according to people familiar with the matter.

Venezuelan businessman Luis Giusti Lugo, the son of a former PDVSA president, will replace CEO Jorda on the Citgo Petroleum board, while Ernesto Hernandez Bolivar will replace Pablo Perez on the same board, the statement said.

Samuel Wilhelm Belloso, the son of a former PDVSA executive, and Elio Tortolero Arevalo are joining the Citgo Holding board, replacing Jorda and COO Rincon. Hernandez Bolivar will fill the seat vacated on that board by Luisa Palacios in October.

Wilhelm Belloso and Andres Arvelo Guerrero also joined the PDV Holding ad-hoc board that oversees Citgo.

As MRC wrote before, in September 2020, Citgo Petroleum Corp said it did not plan to idle its 418,000 barrel-per-day (bpd) Lake Charles, Louisiana, refinery damaged by Hurricane Laura. Rumors have circulated since Laura’s passage over the Lake Charles area on Aug. 27 that Citgo was considering shutting the refinery for an indefinite period because of the extent of the damage and continuing low demand for motor fuels in the COVID-19 pandemic.

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