Malaysia biodiesel exports to fall to 5-year low due to EU rules

Malaysia biodiesel exports to fall to 5-year low due to EU rules

MOSCOW (MRC) -- The Malaysian Biodiesel Association urged industry officials to come to terms with a steady decline of imports of palm-based biofuels in the European Union, with the country's exports this year seen at their lowest level in five years, reported Reuters.

The decline in Malaysia's biofuels shipments are a result of the EU's decarbonization agenda, MBA president U.R. Unnithan told an industry conference hosted by the Malaysian Palm Oil Board.

The European Commission in Dec said biofuel consumption in the EU is set to fall by 2031 as road transport moves away from fossil fuel, and palm oil imports will plummet due to stricter sustainability criteria.

Under the EU's renewable energy directive, palm oil-based fuels are to be phased out by 2030, since the vegetable oil has been classified by the bloc as resulting in excessive deforestation and can no longer be considered a renewable transport fuel.

The world's largest palm oil producers Indonesia and Malaysia decried the rule and have both launched separate cases with the World Trade Organization, saying the EU law is discriminatory.

Biodiesel exports from Malaysia are pegged to decline to 250,000 tons from 300,000 tons a year ago, while production is pegged to rise to 1.2 MM tons from 1 MM tons in 2021, he said, quoting data from Palm Oil Analytics.

As MRC wrote previously, in December 2021, Malaysia and China's state-owned Shanxi Construction Investment Group on Monday signed a MOU to collaborate on the production of second-generation biodiesel and biojet fuel. Shanxi Construction plans to invest in a hydrogenated vegetable oil (HVO) plant, also known as second-generation biofuel, in Malaysia's southern state of Johor, Malaysia's commodities ministry said then.

We remind that a new biojet fuel developed by energy group Eni was used for the first time in mid-October, 2021, to power Alitalia successor ITA as part of plans to cut carbon footprints. The sustainable aviation fuel (SAF), made from waste products and residues, will be produced at Eni refineries in Taranto and, early next year, in Livorno, Eni said in a statement.

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 2,265,290 tonnes in the first eleven months of 2021, up by 14% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,363,850 tonnes in January-November, 2021, up by 25% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding PP random copolymers decreased significantly.

Enppi, ASORC to build refinery complex in Egypt

Enppi, ASORC to build refinery complex in Egypt

MOSCOW (MRC) -- President Abdel Fattah El- Sisi inaugurated ASORC complex project in Assuit, which plans to increase refining capacities of the refining plants along the Egyptian geographical petroleum zones, said Hydrocarbonprocessing.

This high octane complex with investments of USD450 mln, with a production capacity of 800,000 tpy constituting a powerful addition to the Ministry of Petroleum.

The project was executed in light of the cooperation between ASORC and Enppi – the engineering arm of the petroleum sector – and one of its major pillars as the main contractor of the project. Enppi’s scope of work includes basic and detailed engineering activities, procurement, E&I installation works, construction supervision, pre-commissioning, commissioning and start-up of all the project’s units. The civil and mechanical works execution was performed by PETROJET.

Furthermore, more than 18 MM manhours without lost time injuries have been achieved as a result of implementing the precautionary procedures to maintain safety and avoidance of Covid-19 pandemic.

As per MRC, the Egyptian Propylene and Polypropylene Company (EPPC), one of two propylene and polypropylene (PP) producers in Egypt, plans to resume production at the end of March at its polypropylene (PP) plant in Port Said, Egypt, following a planned preventive measures. Repair work at this enterprise with a capacity of 350 thousand tons of PP per year was started in early February of this year. The company also operates a propylene plant on the same site of similar capacity.

It was previously reported that the last time EPPC closed the PP plant in Port Said for a one-month maintenance was on 23 November, 2016.

The Egyptian Propylene & Polypropylene Company (EPPC) was founded in 2005 and is headquartered in Cairo. The petrochemical complex in Port Said (170 km from Cairo) for the production of propylene and polypropylene was put into operation in 2010.

Evonik to build bio-surfactants plant in Slovakia

Evonik to build bio-surfactants plant in Slovakia

MOSCOW (MRC) -- Evonik is investing a three-digit million-euro sum in the construction of a new production plant for bio-based and fully biodegradable rhamnolipids, as per the company's press release.

The decision to build the plant follows a breakthrough in Evonik's research and development. Rhamnolipids are biosurfactants and serve as active ingredients in shower gels and detergents. Demand for environ-mentally friendly surfactants is growing rapidly worldwide.

The investment at the Slovenska Lupca site in Slovakia strengthens Evonik's partnership with the consumer goods group Unilever, which began in 2019. At the same time the investment allows Evonik to further expand its own market position in the growth market for biosurfactants. The new plant is scheduled to come on stream in two years.

Over the past 25 years, Evonik's site in Slovakia has developed into a strategic center for biotechnology with a team of highly qualified experts.

As MRC informed earlier, in February, 2020, Dow and Evonik entered into an exclusive technology partnership. Together, they plan to bring a unique method for directly synthesizing propylene glycol (PG) from propylene and hydrogen peroxide to market maturity.

Propylene is the main feedstock for the production of polypropylene (PP).

According to MRC's ScanPlast report, PP shipments to the Russian market were 1,363,850 tonnes in January-November, 2021, up by 25% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding PP random copolymers decreased significantly.

Evonik is one of the world leaders in specialty chemicals. The company is active in more than 100 countries around the world and generated sales of EUR12.2 billion and an operating profit (adjusted EBITDA) of EUR1.91 billion in 2020. Evonik goes far beyond chemistry to create innovative, profitable and sustainable solutions for customers. About 33,000 employees work together for a common purpose: to improve life today and tomorrow.

Eastman invest in PET waste chemical recycling facility in France

Eastman invest in PET waste chemical recycling facility in France

MOSCOW (MRC) -- Eastman is to invest up to USD1bn in a hard-to-recycle polyethylene terephthalate (PET) waste methanolysis-based chemical recycling facility in France, said the company.

The investment would recycle enough plastic waste annually to fill Stade de France national football stadium 2.5 times, while also creating virgin-quality material with a significantly lower carbon footprint. Eastman is the largest investor at this year's "Choose France" event, which is focused on attracting foreign investment to France.

This multi-phase project includes units that would prepare mixed plastic waste for processing, a methanolysis unit to depolymerize the waste, and polymer lines to create a variety of first-quality materials for specialty, packaging, and textile applications. Eastman also plans to establish an innovation center for molecular recycling that would enable France to sustain a leadership role in the circular economy. This innovation center would advance alternative recycling methods and applications to curb plastic waste incineration and leave fossil feedstock in the ground. The plant and innovation center would be expected to be operational by 2025, creating employment for approximately 350 people and leading to an additional 1,500 indirect jobs in recycling, energy and infrastructure.

A circular economy is key to addressing the global plastic waste crisis and the climate crisis, which have both been at the center of attention in France and throughout Europe. This long-term partnership between France and Eastman will contribute to the EU achieving its sustainability goals, by reducing carbon emissions and enabling a circular economy. France has demonstrated tremendous leadership by recognizing the vital role of molecular recycling and supporting investments in innovation.

The plant and innovation centre is expected to be operational by 2025. Eastman CEO Mark Costa said agreements related to securing the plastic waste that will be raw material supply, securing government incentives, and a decision on the location of the site will be made in the coming months.

LVMH Beauty, The Estee Lauder Companies, Clarins, Procter & Gamble, L'Oreal and Danone are signing letters of intent for multiyear supply agreements from this facility.

As per MRC, Eastman Chemical Co. (Kingsport, Tenn.) has completed the acquisition of the business and assets of Matrix Films, LLC and its UK affiliate, PremiumShield Limited, marketer of PremiumShield performance films, including its extended line of automotive film patterns.

As per MRC, Eastman is increasing capacity for its Naia-brand cellulosic filament yarn at its plant in Barcelona, Spain. Eastman is increasing its capacity to produce Naia cellulosic filament yarns at its plant Barcelona, by 30% by mid-2021, and by more than 50% by the end of 2022.

Eastman is a multinational chemical company serving customers in approximately 100 countries. Sales in 2015 amounted to around USD9.6 Billion. The company is headquartered in Kingsport, Tennessee, USA. The company employs approximately 15 thousand people around the world.

COVID-19 - News digest as of 17.01.2022

1. Crude oil prices hit their highest in more than three years on supply worries, limited Omicron impact

Oil prices rose on Monday, with Brent futures touching their highest in more than three years, as investors bet supply will remain tight amid restrained output by major producers with global demand unperturbed by the Omicron coronavirus variant, reported Reuters. Brent crude futures gained 40 cents, or 0.5%, to USD86.46 a barrel by 0641 GMT. Earlier in the session, the contract touched its highest since Oct. 3, 2018 at USD86.71. US West Texas Intermediate crude was up 58 cents, or 0.7%, at USD84.40 a barrel, after hitting USD84.78, the highest since Nov. 10, 2021, earlier in the session. The gains followed a rally last week when Brent rose more than 5% and WTI climbed over 6%.