Eneos to buy Japan Renewable Energy

MOSCOW (MRC) -- Eneos Holdings Inc, Japan's biggest refiner, plans to buy Japan Renewable Energy for about 200 billion yen (USD1.8 billion) from Goldman Sachs and Singaporean sovereign wealth fund GIC, said Hydrocarbonprocessing.

The deal would mark the first major purchase of a renewables company by a top Japanese oil company, the Nikkei said, as Eneos looks to shift away from fossil fuels.

Founded in 2012, Japan Renewable Energy develops and builds renewable energy assets and has 419 megawatts of solar, onshore wind and biomass capacity in operation, with a further 410 MW under construction.

An Eneos spokesperson said the company was considering various options to expand its renewable energy business but that nothing had been decided. A Goldman Sachs spokesperson declined to comment.

Like overseas counterparts including Royal Dutch Shell Japan's oil companies are shifting into new areas, especially after Tokyo stepped-up commitments on cutting atmosphere heating emissions along with other countries.

Japan Renewable's website has few financial details but, with its comparatively small capacity, any acquisition is unlikely to make much of an immediate contribution to Eneos' typical annual sales of around 10 trillion yen (USD90 billion).

As per MRC, Eneos (formerly JXTG Nippon Oil & Energy), part of Eneos Holding, a major petrochemical producer in Japan, has nominated the October contract price for benzene in Asia at USD1,010 per tonne, up USD30 per tonne from the contract price in September. The price was nominated on CFR Asia delivery terms.

Benzene is a raw material for the production of styrene, which, in turn, serves as the main raw material for the production of polystyrene (PS).

According to the MRC's ScanPlast, the total estimated consumption of EPS in August increased by 15% compared to August last year and amounted to 11,650 tonnes. The total production volume of EPS for the reporting month amounted to 8,770 tonnes, a decrease in comparison with August last year amounted to 8%.

Eneos Holding (formerly known as JXTG) is Japan's largest oil company. Its activities include the exploration, import and refining of crude oil; production and sale of petroleum products (ethylene, propylene, butadiene, styrene, paraxylene, orthoxylene, etc.), including fuels and lubricants. In recent years, the company has been expanding its production facilities in other countries. Its products are sold under the ENEOS brand. On June 25, 2020, JXTG, founded in April 2017 after the merger of two Japanese companies, JX Holding and TonenGeneral, changed its name to Eneos Holdings, while its subsidiary JXTG Nippon Oil & Energy changed its name to Eneos.
MRC

MOSCOW (MRC) -- Tatneft joined the Top -10 of environmental efficiency rating, said the company.

The environmental rating of the ERA agency assessed the fundamental efficiency of the production activities of companies. This rating reflects the ability of enterprises to operate with a low environmental impact, economical consumption of resources and energy, minimal losses of ecosystem stability in the area of presence of enterprises, with an increase in production per unit of resource costs and environmental reporting open to society.

The ranking identified 160 leaders in 16 groups based on technological similarities. 289 companies participated in the Oil and Gas Production and Pumping Group. When evaluating ERA, 5 criteria were used (energy resource, technological and ecosystem efficiency, efficiency dynamics and transparency). The transparency indicator of Tatneft was 91.6%.

Information transparency is an important factor in business sustainability. Tatneft publishes a sustainability report that meets the requirements of the GRI standards. By joining the UN Global Compact, the Company increases the level of integration into business processes of all aspects of sustainable development and continues to increase its contribution to the fight against climate change.

As per MRC, Tatneft intends to develop the production of composite materials. Currently, the development strategy of Tatneft's petrochemical complex projects is at the stage of updating, integrating a new project of the company for the production of butadiene rubbers in Kazakhstan and the recently acquired EcoPet plant (Kaliningrad) for the production of polyethylene terephthalate (PET). Within the framework of updating the strategy, Tatneft plans to pay great attention to "green" projects.

According to MRC's ScanPlast report, Russia's estimated PET consumption totalled 411,200 tonnes in the first six month of 2021, up by 12% year on year. Russian companies processed 62,910 tonnes in June, compared to 85,890 tonnes a month earlier.

JSC Tatneft is part of JSC Tatneftekhiminvest-holding, an industrial and financial company that unites the largest enterprises of the oil and gas chemical complex of Tatarstan. Tatneft accounts for over 80% of oil produced in Tatarstan. In 2013, the company increased oil production by 0.4% to 26.107 million tons. The main shareholder of Tatneft is the state holding OJSC Svyazinvestneftekhim, which owns 30.44% of the shares in the authorized capital of the company. Tatarstan owns the "golden share" of Tatneft.
MRC

MOSCOW (MRC) -- Asia's middle distillate markets firm on Friday, buoyed by a firming demand outlook and tighter regional supplies, said Hydrocarbonprocessing.

Recovering industrial demand due to easing COVID-19 restrictions and increased usage of the fuel for power generation on the back of high coal and gas prices are boosting the markets, trade sources said.

Rising natural gas and thermal coal prices are likely to see increased gas-to-oil switching, supporting demand for residual fuel oil and gasoil, ANZ Research said in a note.

ANZ analysts raised their fourth-quarter 2021 crude oil demand forecast by 450,000 bpd amid rising gas-to-oil switching in the power generation and industrial sectors and a continued recovery in demand for transportation fuels. The front-month gasoil time spread climbed to 72 cents a barrel, its highest since December 2019, Refinitiv data in Eikon showed.

Meanwhile, the front-month jet fuel crack firmed to USD12.32 a barrel over Dubai crude during Asian trading hours despite firming crude oil prices. The jet crack hit a near two-year high of USD13.50 a barrel on Wednesday.

Gasoil stocks held independently in the Amsterdam-Rotterdam-Antwerp (ARA) refining and storage hub rose 1% to 2.03 MM tons in the week ended Oct. 7, according to Dutch consultancy Insights Global.

The gasoil stockpiles, which hit a near 1-1/2 yr low in late-September, edged up slightly on the back of higher imports from the Middle East Gulf. ARA jet fuel inventories fell 6% this week to a near six-month low of 867,000 tons. Some jet fuel is being blended into winter-specification diesel, draining stocks. Jet coming from Russia, some product moving to Britain, some jet blended into winter spec diesel.

As per MRC, India is framing policies to promote the use of clean fuels, including electric vehicles (EVs), and tightening emission norms to meet its carbon reduction targets. India is the third-largest user of transport automobiles in the world but 70% of its transport energy need is fulfilled by importing fossil fuels.

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 1,396,960 tonnes in January-July 2021, up by 7% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 841,990 tonnes in the first seven months of 2021, up by 29% year on year. Supply of propylene homopolymers (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of statistical copolymers of propylene (PP random copolymers) subsided.
MRC

MOSCOW (MRC) -- Brazilian state-run oil company Petrobras announced it will raise gasoline and cooking gas prices at the refinery starting on Saturday, at a time when high energy prices have been weighing on inflation, said Reuters.

According to Petroleo Brasileiro SA, as the company is formally known, gasoline prices will rise to 2.98 reais (USD0.5411) per liter from 2.78 reais, while cooking gas will go up to 3.86 reais per kg from 3.60 reais.

Petrobras said this marks the first adjustment to gasoline prices in 58 days and the first one for liquefied petroleum gas (LPG) in 95 days.

It added that the pricing changes come on the back of higher international oil prices and a stronger U.S. dollar.

Brazil’s consumer prices rose in September at the fastest pace for the month since 1994, with rising fuel and electricity prices largely to blame.

We also remind that Braskem is no longer pursuing a petrochemical project, which would have included an ethane cracker, in West Virginia. And the company is seeking to sell the land that would have housed the cracker. The project, announced in 2013, had been on Braskem's back burner for several years.

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 1,396,960 tonnes in January-July 2021, up by 7% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 841,990 tonnes in the first seven months of 2021, up by 29% year on year. Supply of propylene homopolymers (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of statistical copolymers of propylene (PP random copolymers) subsided.

Headquartered in Rio de Janeiro, Petrobras is an integrated energy firm. Petrobras' activities include exploration, exploitation and production of oil from reservoir wells, shale and other rocks as well as refining, processing, trade and transport of oil and oil products, natural gas and other fluid hydrocarbons, in addition to other energy-related activities.
MRC

MOSCOW (MRC) -- Following the launch of Neste MY Renewable Diesel on the Belgian market in July, Neste has now entered a partnership with Q8 to offer the product on seven Q8 stations during this year., said Hydrocarbonproceesing.

Neste MY Renewable Diesel is a premium diesel?made entirely from renewable raw materials. It helps reduce the greenhouse gas (GHG) emissions by up to 90%* when emissions over the fuel's life cycle are compared with fossil diesel. The renewable diesel is a “drop-in” fuel, fully compatible with all diesel engines, not requiring any modifications to the existing vehicles or fuel distribution infrastructures.

Neste MY Renewable Diesel is from available at Q8?Zaventem/Nossegem, Q8 Mechelen Brusselsesteenweg and Q8 Rotselaar. By the end of this yr, 3 more locations will be added: Q8 Lokeren, Q8 E34 Ranst direction Turnhout and Q8 E42 in Verlaine. "These locations were chosen strategically in order to support the development of the market," explains Sven Dochez, Director Supply & Innovation at Q8. "And our ambitions do not stop here. If this offer is successful, we will extend the implementation in our network."

Expanding the availability of Neste’s renewable diesel significantly strengthens the presence of Neste in Belgium. "We are delighted to extend the availability of our renewable products in the Belgian market. This expansion is an important step in the implementation of our global growth strategy,” says Peter Zonneveld, Vice President Sales Renewable Road Transportation at Neste.

Neste and Q8 are convinced that all solutions are needed to reduce mobility emissions as a contribution to the European goal of achieving carbon neutrality by 2050. "We can do that in an instant with our Neste MY Renewable Diesel. Neste is committed to supporting to reduce greenhouse gas emissions by at least 20 MM tons CO2 equivalent annually by 2030,” says Peter Zonneveld.

As per MRC, Neste Corporation has signed an agreement to sell its existing base oils business to Chevron Corporation, one of the world's leading integrated energy companies. The agreement covers a combination of share and asset deals forming Neste's entire global base oils business. As part of the divestment, the parties have also agreed on a long-term offtake for Neste’s base oils supply from Porvoo, Finland.

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