MOSCOW (MRC) -- -Petroleo Brasileiro SA, or Petrobras, said Wednesday it completed the sale of 27 onshore oil fields in the Cricare cluster for up to USD156 million, according to MarketWatch.
The buyer is Karavan Seacrest SPE Cricare, which is 51% owned by Karavan O&G Participacoes e Consultoria Ltda. and 49% owned by Seacrest Capital Group Ltd.
The cluster is located in the state of Espirito Santo and in January through November produced an average of 1,300 barrels per day of oil and 15,400 cubic meters of gas per day.
Petrobras received a closing payment of USD27 million, in addition to an USD11 million payment made at the signing of the contract. Petrobras is also set to receive another USD118 million in payments, though the amount might be adjusted based on future oil prices, the company said.
Petrobras has been selling off onshore and shallow-water production fields to focus its efforts on its rich deep and ultra deepwater fields.
As MRC reported before, Brazil’s state-controlled oil producer has taken a step closer to selling its stake in the Braskem petrochemicals business after the board approved a share offering. Rio de Janeiro-based Petrobras can sell up to 100% of its preferred Braskem shares in a follow-on offering, it said in a filing earlier this month.
We 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 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.
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.
MOSCOW (MRC) - The capacity of the Shurtan Gas Chemical Complex will triple, investments in the expansion project will amount to USD1.8 billion, Oilcapital reports.
Uzbekneftegaz has launched a project to expand the Shurtan gas chemical complex in the Kashkadarya region in the south of the country. "The capacities of the Shurtan gas chemical complex, the firstborn of our gas chemical region, will triple," said President of Uzbekistan Shavkat Mirziyoyev at the ceremony of laying the foundation stone for the expansion project.
The commissioning of additional capacities provides for the construction of polymer production units, as a result of which the production of polyethylene will increase from 125,000 tonnes to 280,000 tonnes, and the production of 100,000 tonnes of polypropylene will also begin. The expansion of capacities is planned due to the involvement of synthetic naphtha from the synthetic fuel plant. The cost of the new stage of modernization of the Shurtan Gas Chemical Complex is estimated at USD1.8 bn.
Enter Engineering Pte Ltd, controlled by Gazprombank, signed an EPC contract to expand the capacity of the Shurtan Gas Chemical Complex. The commissioning of new facilities is expected in 2024.
The annual capacity of the Shurtan Gas Chemical Complex for processing raw gas, according to the company's website, is up to 4 bn cubic meters, natural gas for consumers - up to 3.5 bn cubic meters, polyethylene granules - 125,000 tonnes, liquefied gas - more than 110,000 tonnes, gas condensate - 90,000 tonnes, granular sulfur - 1,000 tonnes.
Earlier it was reported that the Shurtan Gas Chemical Complex will invest USD1.8 bn in expanding the capacity for the production of PE and PP. The project provides for the creation of production up to 430,000 tonnes of polyethylene and up to 280,000 tonnes of polypropylene per year. Chevron Pilliphs Chemical and McDermott have been selected as licensors of the project.
According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,868,160 tonnes in the first nine months of 2021, up by 18% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,138,510 tonnes in January-September 2021, up by 30% year on year. Supply of propylene homopolymer (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding statistical copolymers of propylene (PP random copolymers) decreased significantly.
The Shurtan Gas Chemical Complex was put into operation in 2001 on the basis of the Shurtan gas condensate fields (GCF). The enterprise processes up to 3.9 bcm of feed gas per year. The complex is designed for the production of 150 grades of high, medium and low density linear polyethylene.
MOSCOW (MRC) -- Oil prices rose on Wednesday, after government data showed US crude and fuel inventories fell last week, offsetting concerns that rising coronavirus cases might reduce demand, reported Reuters.
Brent crude rose 29 cents to settle at USD79.23 a barrel. US West Texas Intermediate (WTI) crude rose 58 cents to settle at USD76.56 a barrel.
In the United States, the average number of daily confirmed coronavirus cases hit a record high of 258,312 over the last seven days, a Reuters tally on Wednesday found. read more
Both oil futures contracts earlier traded at their highest in a month after US government data showed lower oil inventories.
Crude inventories fell by 3.6 million barrels in the last week to 420 million barrels, compared with analysts' expectations in a Reuters poll for a 3.1 million-barrel drop.
US gasoline stocks fell by 1.5 million barrels over the same period to 222.66 million barrels, compared with analysts' expectations in a Reuters poll for a 0.5 million-barrel rise.
Distillate stockpiles fell by 1.7 million barrels to 122.43 million barrels, versus expectations for a 0.2 million-barrel rise, the EIA data showed.
Oil prices have been underpinned by Ecuador, Libya and Nigeria declaring forces majeures this month on part of their oil production because of maintenance issues and oilfield shutdowns.
Russian Deputy Prime Minister Alexander Novak said that the OPEC+ group of producers has resisted calls from Washington to boost output because it wants to provide the market with clear guidance and not deviate from policy on gradual increases to productions.
Investors are awaiting an OPEC+ meeting on Jan. 4, when the alliance will decide whether to proceed with a planned production increase of 400,000 barrels per day in February.
As MRC informed before, US commercial crude stocks fell 3.48 million barrels to 413.96 million barrels in the week ended Sept. 17, to more than 8% below the five-year average, Energy Information Administration data showed. Stocks were last lower Oct. 5, 2018.
We remind that in late August, 2021, US crude stocks dropped sharply while petroleum products supplied by refiners hit an all-time record despite the rise in coronavirus cases nationwide, the Energy Information Administration said. Crude inventories fell by 7.2 million barrels in the week to Aug. 27 to 425.4 million barrels, compared with analysts' expectations in a Reuters poll for a 3.1 million-barrel drop. Product supplied by refineries, a measure of demand, rose to 22.8 million barrels per day in the most recent week. That's a one-week record, and signals strength in consumption for diesel, gasoline and other fuels by consumers and exporters.
We also remind that US crude oil production is expected to fall by 160,000 barrels per day (bpd) in 2021 to 11.12 million bpd, EIA said in a monthly report earlier this year, a smaller decline than its previous forecast for a drop of 210,000 bpd.
MOSCOW (MRC) - Nizhnekamskneftekhim (NKNH, part of SIBUR Holding) held an extraordinary meeting of shareholders of PJSC "Nizhnekamskneftekhim" on December 27, at which shareholders elected members of the Board of Directors in a new composition, said the company.
According to the decision of the Board of Directors, Mikhail Karisalov was elected Chairman of the Board of Directors of PJSC Nizhnekamskneftekhim, Airat Safin - Deputy Chairman of the Board of Directors of PJSC Nizhnekamskneftekhim.
SIBUR completed the purchase of TAIF in October 2021 and continues to merge the oil and gas chemical businesses of the companies.
Nizhnekamskneftekhim's revenue for nine months of 2021 amounted to Rb181.8 bn. - against Rb102.4 bn in the same period last year, which is 77.5% more. Gross profit more than doubled to Rb52 bn, which is Rb 27.5 bn more than in the nine months of 2020 (Rb24.5 bn).
Profit from sales for nine months increased to 38.1 bn rubles. - against 13.3 bn in 2020. Net profit increased to a record 33.6 bn rubles, in the pandemic year 2020 for nine months the company suffered a loss of 2.3 bn rubles.
The enterprise is carrying out technical re-equipment of the production of halobutyl rubbers up to 200 thousand tons per year, construction of the production of ethylbenzene and styrene with a capacity of 250 thousand tons per year, polypropylene 400 thousand tons per year and polystyrene with a capacity of 250 thousand tons per year.