Nizhnekamskneftekhim received the latest equipment for EP-600 by water

MOSCOW (MRC) - Nizhnekamskneftekhim Plant (NKNKH, TAIF) announced that the Oksky-56 cargo ship delivered a decoking air compressor unit for the EP-600 ethylene complex under construction to the TransKama industrial port on June 6, the message says. companies.

The injection device was manufactured in South Korea and sent to Russia by sea through the Indian Ocean on a special barge. The installation includes two compressors. One of the positions is intended for supplying technical and instrumentation air to the EP-600 technological shops. Another compressor is used to supply compressed air to the coils of the pyrolysis ovens for the decoking procedure. The equipment will be installed in the water treatment shop No. 7209 EP-600.

The compressor unit will be the last batch of equipment delivered by water transport. The delivery of the main part of large-sized equipment, in particular 17 technological columns for EP-600, was carried out in navigation 2020 - from April to October. Cargo delivery will now continue by land transport.

At present, more than 2,500 employees of the Turkish company "Gemont" and more than 150 units of construction equipment have been mobilized at the construction site. It is noted that 89 thousand m3 of reinforced concrete structures have already been manufactured at the EP-600 construction site, more than 16 700 tons of metal structures have been installed. 313 units of equipment have been installed on the foundation, work has begun on the installation of pumping and compressor equipment.

In February 2020, Nizhnekamskneftekhim and the Turkish company Gemont signed a contract for the construction of EP-600 olefin complex. The planned completion date for the construction and installation work of the olefin complex is July 2023. A year later, in February 2021, the enterprise received another batch of equipment for the EP-600 ethylene production complex under construction.

Also, Nizhnekamskneftekhim signed contracts with Lummus Technology LLC for the provision of licenses and technologies for the production of ethylbenzene, styrene and propylene for the olefin complex. Facilities include a 250 ktpa ethylbenzene and styrene unit using EBOne and CLASSIC SM technologies, and a 150 ktpa olefin metathesis unit for polymer-grade propylene using Lummus ethylene dimerization and olefin conversion technology Technology. The units will operate as part of the olefin complex under construction (EP-600).

It is planned that the new plant will annually produce 600 thousand tons of ethylene, 270 thousand tons of propylene, 248 thousand tons of benzene, 89 thousand tons of butadiene per year. The company will create 600 new jobs.

According to the ScanPlast of MRC, Nizhnekamskneftekhim produced slightly less than 18,700 tonnes of propylene polymers in May, which is in line with the previous month. In January - May, the total polymer output at the Nizhnekamsk enterprise reached 91,400 tonnes against 92,100 tonnesin 2020.

PJSC "Nizhnekamskneftekhim" (NKNKH) is one of the largest Russian producers of petrochemical products. The production complex of the company includes ten factories of the main production and ten departments (railway transport, main ethylene pipelines, etc.). NKNKh produces over 120 types of chemical products, including synthetic rubber, polyethylene, polypropylene, polystyrene, surfactants. Nizhnekamskneftekhim is a part of TAIF Group.
MRC

MOSCOW (MRC) -- Oil rose to USD75 a barrel, rebounding from steep losses a day earlier with support coming from a tight market in the short term after OPEC+ talks collapsed this week without a deal to boost supply, said Reuters.

Underlining tightening conditions, U.S. crude inventories are expected to fall this week. The failure of OPEC+ talks on Monday means no output rise has been agreed, while U.S. oil shale firms are hesitating whether to pump more. "The OPEC+ deadlock continues, putting the market in a position of risking a sizeable under-supply in August," said Louise Dickson of Rystad Energy. "U.S. shale producers also seem to be reluctant to invest."

Brent crude was up 44 cents, or 0.6%, at USD74.97 a barrel by 1325 GMT, after slumping more than 3% on Tuesday. U.S. West Texas Intermediate gained 48 cents, or 0.7%, to USD73.85, having declined by more than 2% on Tuesday.

OPEC+, which includes the Organization of the Petroleum Exporting Countries, Russia and other producers, abandoned talks on Monday after three days of meetings failed to close divisions between Saudi Arabia and the United Arab Emirates. "With no agreement, the production and export levels apparently remain unchanged according to the overall framework, which creates the impression that the group does not shy away from over-tightening the market," said Norbert Ruecker of Swiss bank Julius Baer.

The White House said on Tuesday it was encouraged by the ongoing conversation to reach an agreement. Disagreement within OPEC+ could still prompt its members to open the taps. Concern about that scenario had led to Brent falling on Tuesday from a high of USD77.84, the highest since 2018, and U.S. crude sliding from USD76.98, the highest since 2014.

But Saudi Energy Minister Prince Abdulaziz bin Salman dampened concerns of a price war in an interview with CNBC on Tuesday. Away from OPEC+, the first of this week's two reports on U.S. inventories, from the American Petroleum Institute, is out at 2030 GMT. Analysts expect crude stocks to fall by 3.9 million barrels.

As MRC informed earlier, in 2020, total consumption of fossil fuels in the United States, including petroleum, natural gas, and coal, fell to 72.9 quadrillion British thermal units (Btu), down 9% from 2019 and the lowest level since 1991, according to US Energy Information Administration's (EIA) Monthly Energy Review.

We remind that most units were shut on Sunday night and Monday morning (15-16 February) at Marathon Petroleum Corp's 585,000 barrel-per-day Galveston Bay Refinery in Texas City, Texas, as temperatures plunged due to a Arctic cold front reaching the Gulf Coast. They resumed operations in the first half of March.

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) -- Oiltanking North America, LLC (“Oiltanking”) has entered into a non-binding Letter of Intent (LOI) with ReGen III Corp. (ReGen III) to develop and operate logistics for ReGen’s used motor oil re-refinery production facility (the “Re-Refinery”), said Hydrocarbonprocessing.

The Re-Refinery facility will be based at the Oiltanking Galveston County Terminal (“OTGAL”) in Texas City, Texas. Contributing to a sustainable future and establishing a circular economy is a key pillar for Oiltanking and ReGen III. The LOI is an important milestone for both companies as ReGen’s Re-Refinery facility will provide much needed domestic supplies of base oils while recycling and reusing used motor oil in a sustainable way.

Oiltanking is well equipped to support ReGen III with tailor-made infrastructure solutions. As one of the largest independent tank storage providers for gases, chemicals and petroleum products worldwide, the company is successfully active in the engineering, procurement and construction (EPC) of tank terminals. At OTGAL, Oiltanking handles specialty chemicals and petrochemicals with more than 87,000 cbm of storage capacity on over 200 acres providing ample room for expansion opportunities.

Jerry Hardman, Vice President, Business Development at Oiltanking North America stated, “The partnership with ReGen III is proof of Oiltanking’s ambition to actively shape the energy transition towards a circular and sustainable economy. With our high-quality engineering capabilities and our flexible, agile way of working, we are well equipped to support ReGen III by building and operating the storage and logistics assets associated with the Re-Refinery facility at the US Gulf Coast. We look forward to working with ReGen III to further develop the project and supporting their Re-Refinery ambitions leading to a more sustainable future."

Greg Clarkes, Chief Executive Officer of ReGen III stated, “The signing of the LOI with Oiltanking, allows the Company to advance its primary re-refinery project in the US Gulf Coast. We are excited to be working with a company of Oiltanking’s scale and reputation. When one considers Oiltanking operates 45 terminals in 20 countries and our offtake relationship with bp, we look forward to identifying additional re-refining facility siting opportunities globally and enhancing our industry presence." The LOI is subject to customary conditions, including completion of due diligence and related corporate approvals from each of Oiltanking and ReGen III.

As MRC informed earlier, in 2020, total consumption of fossil fuels in the United States, including petroleum, natural gas, and coal, fell to 72.9 quadrillion British thermal units (Btu), down 9% from 2019 and the lowest level since 1991, according to US Energy Information Administration's (EIA) Monthly Energy Review.

We remind that most units were shut on Sunday night and Monday morning (15-16 February) at Marathon Petroleum Corp's 585,000 barrel-per-day Galveston Bay Refinery in Texas City, Texas, as temperatures plunged due to a Arctic cold front reaching the Gulf Coast. They resumed operations in the first half of March.

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) -- U.S. crude and gasoline stocks fell and gasoline demand reached its highest since 2019, the U.S. Energy Information Administration said, signaling increasing strength in the U.S. economy, said Hydrocarbonprocessing.

Crude inventories fell by 6.9 million barrels in the week to July 2 to 445.5 million barrels, the lowest since February 2020, and more than the expected 4 million-barrel drop estimated in a Reuters poll. Crude stocks have declined steadily for several weeks as refiners process more oil into gasoline, diesel and other products. Overall product supplied - a proxy for demand from end-users of fuels - rose to 20.9 million barrels per day (bpd), in line with the same trend two years ago prior to the coronavirus pandemic.

In addition, gasoline demand surged to a one-week record, but the four-week average of gasoline supplied was at 9.5 million bpd, the highest since October 2019. That helped lower gasoline stocks by 6.1 million barrels, exceeding expectations for a 2.2 million-barrel drop. “The report is bullish, there’s no doubt,” said Tony Headrick, energy market analyst at CHS Hedging. “For all of the estimates out there suggesting gasoline demand was strong that showed true, leading to a sharp drawdown in inventories."

Oil prices rose on the news, shaking off earlier losses. U.S. crude futures were up 4 cents to USD72.24 a barrel while Brent gained 10 cents to USD73.54 as of 11:14 a.m. EDT (1514 GMT). Crude stocks dropped even as refiners cut back activity in the most recent week, with crude runs down by 184,000 bpd, and refinery utilization rates off by 0.7 percentage points to 92.2% of capacity.

Production rose to 11.3 million bpd, still short of the 2019 record of nearly 13 million bpd. Weekly production figures can tend to be volatile, however, and most analysts regard monthly data as more reliable. “Even though we saw a little bit of a rise to 11.3 million, we’ve still got a long way to go there to make it back to where we were,” said John Kilduff, a partner at Again Capital in New York. Distillate stockpiles, which include diesel and heating oil, rose by 1.6 million barrels in the week.

As per MRC, imports of petroleum products-gasoline, distillate, and other products into the East Coast region of the United States increased in March 2021. Rising imports resulted from lower domestic supply, higher demand, and higher domestic petroleum product prices compared with prices in Europe. In March, East Coast petroleum product imports averaged 1.4 million barrels per day (b/d). In addition, East Coast gasoline imports averaged 737,000 b/d, the highest March level since 2009, and East Coast distillate imports averaged 421,000 b/d, the highest March level since 2003.

We remind that most units were shut on Sunday night and Monday morning (15-16 February) at Marathon Petroleum Corp's 585,000 barrel-per-day Galveston Bay Refinery in Texas City, Texas, as temperatures plunged due to a Arctic cold front reaching the Gulf Coast. They resumed operations in the first half of March.

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) -- BASF Catalysts India will expand its mobile emissions catalysts production plant in Chennai, India, according to Hydrocarbonprocessing.

This double-digit million Euro investment will nearly double the company’s catalysts production capacity for the heavy-duty on- and off-road segment. The completion of the expansion is planned in the fourth quarter of 2022.

“This expansion positions BASF to further meet OEMs’ increasing demand for high-performance and cost-effective emissions control solutions in India,” said Stephan Hermes, Vice President, Mobile Emissions Catalysts, Asia Pacific. “It also demonstrates our strong commitment and contribution to the Indian Government’s endeavors for cleaner air in the region.”

BASF’s Chennai catalysts site produces a full range of automotive emissions catalyst solutions for passenger vehicles, commercial vehicles, off-road vehicles and motorcycles.

This investment will further boost BASF’s capabilities to support increasingly stringent requirements with the implementation of stricter emission regulations.

As MRC reported earlier, in June, 2021, Trinseo, a global materials company and manufacturer of plastics, latex binders, and synthetic rubber, and BASF, the world's petrochemical major, announced the intention to expand their businesses with the production of styrene monomer (SM) based on circular feedstock. Trinseo has procured first supplies of SM based on circular feedstock from BASF for use in its Solution-Styrene Butadiene Rubber (S-SBR) and polystyrene (PS) products. Trinseo supplies S-SBR to major tyre manufacturers while its PS products are used in applications such as food packaging and appliances. The first few customers have already processed the material, said the company.

According to MRC's ScanPlast report, Russia's estimated consumption of PS and styrene plastics totalled 236,110 tonnes in the first five months of 2021, up by 27% year on year (172,360 tonnes). May estimated consumption was 48,880 tonnes, up by 66% year on year.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries.
MRC