Equinor halted the loading at terminal due to demonstration

Equinor halted the loading at terminal due to demonstration

MOSCOW (MRC) -- Crude oil loading at Equinor's Sture export terminal on Norway's west coast was interrupted after activists from the Extinction Rebellion group breached the facility's safety zone, the company said.

Equinor halted the loading of the TS Bergen aframax vessel, but other operations were not affected, a company spokesperson said.

Sture is a major export facility for crude, which arrives by pipeline from several offshore fields including Equinor's Oseberg, Lundin Energy's Edvard Grieg and Aker BP's Ivar Aasen, according to Equinor's website.

Activists entered the terminal's safety zone with a boat, and also blocked a road leading to the terminal. "We decided to interrupt the loading, but the terminal operates as normal," Equinor spokesperson Eskil Eriksen said.

"We have notified the police and they are handling the situation," he added. The TS Bergen's destination was Rotterdam, according to Eikon data.

As per MRC, Equinor agreed to sell its Danish Kalundborg refinery as well as an oil terminal to Geneva-based Klesch Group for an undisclosed sum. The companies declined to reveal the value of the deal, which will require approval by Danish authorities. Built in 1961 and acquired by Equinor in 1986, the facility can process 107,000 barrels a day of crude oil and condensate for gasoline, diesel, propane and heating oil, with an annual capacity of 5.5 million tonnes of oil products.

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 1,176,860 tonnes in the first half of 2021, up by 5% year on year. Shipments of exclusively low density polyethylene (LDPE) decreased. At the same time, PP shipments to the Russian market were 727,160 tonnes in the first six months of 2021, up by 31% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased. Supply of statistical copolymers of propylene (PP random copolymers) subsided.
MRC

Sinopec launches first phase of Gulei refining complex in Fujian province

Sinopec launches first phase of Gulei refining complex in Fujian province

MOSCOW (MRC) - China Petroleum and Chemical Corp, also known as Sinopec, the world's petrochemical major, has launched the first phase of the Gulei refining complex in Zhangzhou city in China’s southeastern Fujian province, reported Reuters with reference to the company's statement on Thursday.

The refining complex, a 50:50 joint venture between Sinopec’s Fujian Petrochemical Company Ltd and Taiwan Xuteng Investment Company Ltd, invested 27.8 billion yuan (USD4.28 billion) in the first phase.

That will result in an 800,000 tonnes per annum ethylene plant, a 600,000 tonnes per annum styrene unit and seven other downstream petrochemical units, Sinopec said.

The complex targets to churn out 18 chemical products, including polypropylene (PP), ethylene glycol and styrene, with total output reaching 3 million tonnes per year.

“The launch of the project will provide high-quality raw materials for industries such as plastics, rubber, textiles, clothing, electronics and instrument manufacturing in Zhangzhou and the surrounding areas,” said Sinopec.

Sinopec said it is accelerating development of the second phase of the project, which will boost annual ethylene capacity at the complex to 1.4 million tonnes and drive total chemical output to 4.2 million tonnes.

As MRC informed earlier, BASF and Sinopec will further expand their Verbund site operated by BASF-YPC Co., Ltd. (BASF-YPC), a 50-50 joint venture of both companies in Nanjing, China. It includes the capacity expansion of several downstream chemical plants.

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 1,176,860 tonnes in the first half of 2021, up by 5% year on year. Shipments of exclusively low density polyethylene (LDPE) decreased. At the same time, PP shipments to the Russian market were 727,160 tonnes in the first six months of 2021, up by 31% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased. Supply of statistical copolymers of propylene (PP random copolymers) subsided.

China Petrochemical Corporation (Sinopec Group) is a super-large petroleum and petrochemical enterprise group established in July 1998 on the basis of the former China Petrochemical Corporation. Sinopec Group's key business activities include the exploration and production of oil and natural gas, petrochemicals and other chemical products, oil refining.
MRC

US crude stockpiles down last week to lowest levels since January 2020

US crude stockpiles down last week to lowest levels since January 2020

MOSCOW (MRC) -- US crude oil stockpiles dropped last week to their lowest levels since January 2020, reported Reuters with reference to the Energy Information Administration's statement.

Inventories have been declining for several months as US fuel demand has rebounded with Americans getting vaccinated against coronavirus. Infections, however, are surging again and analysts are watching to see if fuel demand slackens, particularly across southern states where the number of people infected has surged.

Crude inventories fell by 3.2 million barrels in the week to Aug. 13 to 435.5 million barrels, exceeding estimates for a 1.1 million-barrel drop. Crude exports rose in the most recent week to 3.4 million barrels per day (bpd).

"The crude draw will be very supportive for the market. There's a good demand from exports, probably to do with the recent price decline," said John Kilduff, partner at Again Capital LLC in New York. "This report should push back against worries about the (coronavirus) Delta variant that have crept into the market."

At the Cushing, Oklahoma, delivery hub, crude stocks fell by 980,000 barrels in the last week, the EIA said. Inventories at the nation's largest oil storage hub and delivery point for US crude futures have dropped for 10 straight weeks and are now at their lowest levels since October of 2018, at 33.6 million barrels.

US gasoline stocks rose by 696,000 barrels in the week to 228.2 million barrels, the EIA said, compared with analysts' expectations for a 1.7 million-barrel drop.

Distillate stockpiles, which include diesel and heating oil, fell by 2.7 million barrels in the week to 137.8 million barrels, versus expectations for a 276,000-barrel rise.

Refinery crude runs fell by 191,000 barrels per day in the last week, EIA said. Refinery utilization rates rose by 0.4 percentage point, in the week.

The four-week average of overall product supplied to the market - a measure of demand - was 20.8 million barrels per day, in line with pre-coronavirus levels from 2019.

US crude production rose to 11.4 million bpd, though weekly figures are volatile. Shale oil production, which accounts for most of US output, is expected to rise to 8.1 million bpd in September, its highest since April 2020, according to the EIA's monthly drilling output report.

As MRC informed earlier, US crude oil production is expected to fall by 160,000 barrels per day (bpd) in 2021 to 11.12 million bpd, the US Energy Information Administration (EIA) said in a monthly report, a smaller decline than its previous forecast for a drop of 210,000 bpd.

We remind that US ethylene exports have declined and shifted from Asia to Europe as US producers focus on restocking inventories in the aftermath of a deep freeze that hit the US Gulf Coast in mid-February and subsequent operational issues that squeezed output. At the same time, US ethylene inventories remain at five-year lows amid hurricane season, and producers remain focused on building inventory. August and September tend to be the months during the June-November US Atlantic hurricane season when major storms are most likely to develop and hit the US Gulf Coast.

Ethylene is the main feedstock for the production of polyethylene (PE).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,176,860 tonnes in the first half of 2021, up by 5% year on year. Shipments of exclusively low density polyethylene (LDPE) decreased.
MRC

Linde signs long-term agreement with Infineon Technologies to supply green hydrogen to semiconductor industry

Linde signs long-term agreement with Infineon Technologies to supply green hydrogen to semiconductor industry

MOSCOW (MRC) -- Linde has announced it has signed a long-term agreement with Infineon Technologies for the on-site production and storage of high-purity green hydrogen, alongside the supply of other industrial gases. It will be the first time green hydrogen is used in Infineon's semiconductor manufacturing process, as per the company's press release.

Linde will build, own and operate a two-megawatt electrolyzer plant at Infineon's Villach site in Austria. The plant will produce green hydrogen using Proton Exchange Membrane (PEM) technology from ITM Power, which Linde will then purify to meet the rigorous specifications needed in Infineon's manufacturing process. The use of this high-purity green hydrogen is part of Infineon's plans to reduce greenhouse gas emissions at theirVillach site.

Linde will also build, own and operate a compact air separation unit at the Villach site to deliver a reliable supply of nitrogen in addition to a bulk storage system to supply additional industrial gases to meet Infineon's expanding requirements. The new Linde facilities are expected to start up in 2022.

"Finding sustainable methods of manufacturing is essential to achieving our climate targets," said Thomas Reisinger, Board Member Operations at Infineon Technologies Austria. "By introducing an electrolysis system at the Infineon Villach site, we are equipping ourselves for the future by securing the essential supply of high-purity hydrogen while reducing our emissions."

"We are proud to work with Infineon to pioneer the use of green hydrogen in the semiconductor industry," said Veerle Slenders, President Region Europe West, Linde. "Linde has supplied Infineon for over 20 years and we are pleased to support our customer's sustainability initiatives through the use of technology and smart solutions."

As MRC reported earlier, in JUne 2021, SIBUR -Neftekhim and Linde Gas Rus signed agreements on implementation in 2021-2022. a project for the utilization of carbon dioxide (CO2) generated in the technological process of the SIBUR enterprise in Dzerzhinsk. SIBUR -Neftekhim will build an infrastructure for the transportation to the Linde Gas Rus site of crude CO2 obtained as a by-product in the process of ethylene oxide synthesis. In turn, Linde Gas Rus will build a unit to bring the quality of this gas to the level of a commercial product, applicable, among other things, in the food industry, and will sell it to end consumers.

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 1,176,860 tonnes in the first half of 2021, up by 5% year on year. Shipments of exclusively low density polyethylene (LDPE) decreased. At the same time, PP shipments to the Russian market were 727,160 tonnes in the first six months of 2021, up by 31% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased. Supply of statistical copolymers of propylene (PP random copolymers) subsided.

Linde is a leading global industrial gases and engineering company with 2020 sales of USD27 billion (EUR24 billion). The company serves a variety of end markets including chemicals & refining, food & beverage, electronics, healthcare, manufacturing and primary metals. Linde's industrial gases are used in countless applications, from life-saving oxygen for hospitals to high-purity & specialty gases for electronics manufacturing, hydrogen for clean fuels and much more. Linde also delivers state-of-the-art gas processing solutions to support customer expansion, efficiency improvements and emissions reductions.
MRC

Chevron invests in waste-to-hydrogen and renewable synthetic fuel startup in northen California

Chevron invests in waste-to-hydrogen and renewable synthetic fuel startup in northen California

MOSCOW (MRC) -- Chevron and other partners said they are investing in a startup to build modular waste-to-green hydrogen and renewable synthetic fuel facilities in northern California with tentative plans to eventually grow worldwide, reported S&P Global.

The USD20 million investment in Wyoming-based Raven SR is focused on technology to develop combustion-free, green hydrogen for transportation that is cleaner than so-called blue hydrogen derived from natural gas.

Unlike alternative approaches to waste disposal, such as incineration or gasification, Raven touts a steam and carbon dioxide reformation process that does not involve any combustion, purportedly reducing emissions and producing more green hydrogen per ton of waste than competing processes.

The goal also is to utilize the technology to produce more synthetic liquid fuels, including diesel and jet fuel, as well as other additives and solvents, such as naphtha, and even some electricity via microturbines. Further decarbonizing the production of jet fuel is a key goal, Raven said, to help combat climate change.

Other project partners include New York-based Hyzon Motors, Japan's Itochu Corp. and the Ascent Hydrogen Fund. Hyzon, which focuses on hydrogen fuel cell-powered commercial vehicles, and Raven plan to build up to 250 hydrogen production facilities worldwide.

But the first facilities with Chevron and the partners will be in the San Francisco area.

As MRC wrote previously, ExxonMobil, along with Chevron, is seeking to bulk up in the burgeoning renewable fuels space by finding ways to make such products at existing facilities. The two largest US oil companies want to produce sustainable fuels without ponying up billions of dollars that some refineries are spending to reconfigure operations to make such products. Renewable fuels account for 5% of US fuel consumption, but are poised to grow as various sectors adapt to cut overall carbon emissions to combat global climate change.

Headquartered in San Ramon, California, Chevron Corporation is the the second-largest integrated energy company in the United States and among the largest corporations in the world. Chevron is involved in upstream activities including exploration and production, downstream activities including refining, marketing and transportation, and advanced energy technology. Chevron is also invested in power generation and gasification processes.
MRC