MOSCOW (MRC) -- Chevron Lummus Global LLC (CLG) and Saudi Aramco announced that they have signed a joint collaboration and license agreement to co-develop and license Saudi Aramco's Heavy Oil Processing Initiative (HOPI+) technology, according to Hydrocarbonprocessing.
HOPI+ aims to achieve relatively higher conversion of vacuum residue and other available heavy feeds, including incremental crude, using CLG's LC-FINING platform (jointly referred to as LC-HOPI+). The LC-HOPI+ innovative process is expected to help minimize both CAPEX and OPEX and significantly improve margins for bottom-of-the-barrel upgrading.
In 2019, Saudi Aramco joined CLG at its research and development facility in Richmond, California, to create and develop the initial concept pilot testing. Success there led to further HOPI+ evaluations against different process schemes, which further helped quantify the technology's added value.
"HOPI+, combined with CLG's LC-FINING platform, is an innovative concept that simultaneously increases crude throughput and converts residue to valuable transportation fuels and petrochemical feedstock while minimizing capital and energy," said Ujjal Mukherjee, Managing Director, CLG. "The initiative further strengthens the relationship between Saudi Aramco and CLG as we develop, pursue and commercialize new and innovative technology."
Chevron Lummus Global and Saudi Aramco now intend to co-develop LC-HOPI+ technology before global commercialization by CLG.
As MRC informed before, in June 2020, Aramco finalized its USD69 billion acquisition of a 70% stake in Saudi Basic Industries Corp., the Middle East's biggest petrochemical maker. SABIC reported more than a fivefold year-on-year increase in its Q3 net profit to USD1.49 billion thanks to higher average sales prices.
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 2,047,100 tonnes in the first ten months of 2021, up by 17% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,226,530 tonnes in January-October 2021, up by 26% year on year. Supply of propylene homopolymers (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding stat-copolymers of propylene (PP random copolymers) decreased significantly.
Saudi Aramco, officially the Saudi Arabian Oil Company, is a Saudi Arabian national oil and natural gas company based in Dhahran, Saudi Arabia. Saudi Aramco's value has been estimated at up to USD10 trillion in the Financial Times, making it the world"s most valuable company. Saudi Aramco has both the largest proven crude oil reserves, at more than 260 billion barrels, and largest daily oil production.