Radix helps Solvay improve equipment efficiency at its chemical production unit in Brazil

Radix helps Solvay improve equipment efficiency at its chemical production unit in Brazil

MOSCOW (MRC) -- Solvay, a global leader in materials, chemicals, and solutions, hired Radix to develop a system to monitor online the performance of its equipment at the Paulinia unit, Sao Paulo, Brazil chemical production unit, according to Hydrocarbonprocessing.

The new system will help reduce corrective and preventive maintenance orders, increase productivity, and improve plant reliability.

Radix built the system using the AVEVA OSIsoft PI System and hybrid AI models to calculate performance indicators in real-time, and identify possible failures in 145 pieces of equipment. The project evaluated all equipment, revealing the best efficiency points, and how to avoid failures related to operational deviation or possible anomalies.

User-friendly dashboards were built to allow a visual understanding of the problem, what action should be taken, and the execute virtual maintenance rounds.

By implementing the solution, Solvay’s goal is to reduce emergency work from 16% (based on the 2018 report) to 5% by 2022. The project also reduced preventive maintenance and increased efficiency on some equipment by optimizing best process conditions.

"The initial result was very positive. In a short time, the system was able to present 35 true positive events. In other words, there were 35 alerts for the Solvay's maintenance team to take action and avoid mechanical loss in the equipment chosen for the analysis (pump, centrifugal compressor, liquid ring compressors, and a turbo generator),” explained Radix Project Manager Fabricio Rosado Urquhart.

He continued: “Asset performance and predictive maintenance are some of Radix's digital solutions for downstream & chemicals. These days, this industry is struggling to keep margins while needs to de-bottleneck plants to line up production with the market demand. As an end-to-end solution provider, Radix has the ability to combine process engineering domain expertise and technology to solve complex problems for plants assets and chemicals & petrochemicals supply chain."

In addition to these benefits, Solvay also noted a better integration between maintenance, operations, and engineering teams, resulting in joint analysis and decision-making, which was not usual in the past.

As MRC reported earlier, in August, 2020, through the acquisition of the Solvay polyamide (PA) business, BASF enhanced its R&D capabilities in Asia Pacific with new technologies, technical expertise, and upgraded material and part testing services. BASF is planning to integrate the R&D centers from Solvay into its R&D existing facilities in Shanghai, China, and Seoul, Korea. The enhanced capabilities will boost BASF’s position as a solution provider to develop advanced material solutions for key industries.

Solvay is a science company whose technologies bring benefits to many aspects of daily life. With more than 24,100 employees in 64 countries, Solvay bonds people, ideas and elements to reinvent progress. The Group seeks to create sustainable shared value for all, notably through its Solvay One Planet plan crafted around three pillars: protecting the climate, preserving resources and fostering better life. The Group’s innovative solutions contribute to safer, cleaner, and more sustainable products found in homes, food and consumer goods, planes, cars, batteries, smart devices, health care applications, water and air purification systems. Founded in 1863, Solvay today ranks among the world’s top three companies for the vast majority of its activities.
MRC

COVID-19 - News digest as of 19.01.2022

1. Crude oil prices hit 7-year highs on tight supply

MOSCOW (MRC) -- Oil prices on Tuesday climbed to their highest since 2014 as investors worried about global political tensions involving major producers such as the United Arab Emirates and Russia that could exacerbate the already tight supply outlook, reported Reuters. The risk added a premium to prices during the session. Brent crude futures rose USD1.03, or 1.2%, to settle at USD87.51 a barrel. US West Texas Intermediate (WTI) crude futures ended USD1.61, or 1.9%, higher at USD85.43 a barrel. Both benchmarks touched their highest since October 2014, and some OPEC sources say USD100-per-barrel oil is not out of reach. Supply concerns mounted this week after Yemen's Houthi group attacked the United Arab Emirates, escalating hostilities between the Iran-aligned group and a Saudi Arabian-led coalition.


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LG Chem and Mura Technology accelerates global drive towards circular plastics economy

LG Chem and Mura Technology accelerates global drive towards circular plastics economy

MOSCOW (MRC) -- Mura Technology (Mura), the UK-based plastics recycling technology pioneer, has completed an equity investment from LG Chem, a leading global chemical producer, according to Hydrocarbonprocessing.

The investment bolsters Mura’s plans to develop and deploy industrial-scale advanced recycling capacity across the world, with LG Chem joining the growing list of strategic partners adopting Mura’s technology.

In addition to becoming a shareholder in Mura, LG Chem has purchased a process license from KBR, Mura’s exclusive global licensing partner. This license will be a key driver in the continued international roll-out of Mura’s innovative recycling process, HydroPRT (Hydrothermal Plastic Recycling Technology), and LG Chem plans to construct a hydrothermal upgrading facility to initially recycle up to 25,000 tons of plastic waste annually.

Once the facility, which will be the first in South Korea to use supercritical water, is operational, LG Chem plans to review the potential for constructing additional sites. This will continue to drive Mura’s global impact following the recent announcement of its first US-based HydroPRT site near Seattle. Construction is already underway on Mura’s UK-based plant located in Teesside, which will be operational in 2022.

South Korea is one of the world’s leaders in plastic consumption per capita, and a crucial market for deploying HydroPRT. Post-use plastic from both the commercial and industrial sectors contributes significantly to increased levels of waste in South Korea, however capacity for recycling at scale remains low, particularly in high-traffic, urban areas, despite the country’s aim to reduce its plastic waste by 20% by 2025. Successful deployment of HydroPRT will dramatically increase the potential recycling capacity in South Korea and will also serve as a blueprint for other countries around the world with similarly ambitious waste reduction targets.

As MRC reported earlier, LG Chema, South Korean petrochemical major, reduced run rates at all of its three naphtha crackers in Deasan and Yeosu, South Korea to approximately 80% on 5 January, 2021, on the back of weak demand and highly volatile upstream naphtha costs. All three crackers with a combined capacity of 3.25 million tons of ethylene and 1.48 million tons of propylene would operate at reduced rates throughout the month of January. It is reported that the producer would ramp up the production in February, however, it is unclear on the exact schedule.

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.

LG Chem Ltd., often referred to as LG Chemical, is the largest Korean chemical company and is headquartered in Seoul, South Korea. It has eight domestic factories and global network of 29 business locations in 15 countries. LG Chem is a manufacturer, supplier, and exporter of petrochemical goods, IT&E Materials and Energy Solutions.
MRC

Saudi Aramco signs 10 agreements with South Korean companies to advance co-operation

Saudi Aramco signs 10 agreements with South Korean companies to advance co-operation

MOSCOW (MRC) -- Saudi Aramco signed 10 agreements with South Korean firms to advance its downstream strategy and support the development of low-carbon energy solutions, while creating new financing options for the company, said Argaam.

The agreements include memorandum of understanding (MoU) agreements with Korean energy companies KEPCO, S-Oil, POSCO, Hyundai Oilbank, H2Korea and Lotte Chemical to explore potential collaboration in the supply, transportation, utilisation and certification of hydrogen and ammonia.

The companies also plan to study the feasibility of converting exported ammonia into hydrogen - a process known as ammonia back-cracking. This represents a first step towards a potential large-scale production facility for hydrogen and ammonia in Saudi Arabia, which would also include a carbon capture and storage (CCS) facility.

Furthermore, Aramco signed an agreement with Korea’s Doosan Heavy Industries & Construction and the Saudi Arabian Industrial Investments Co (Dussur) to establish a casting and forging facility in Saudi Arabia. The facility could supply the Kingdom’s manufacturers with industrial and process equipment such as valves, pumps, compressors, wellheads, flanges, heat exchangers, and gas and wind turbines. The signings took place at the Saudi-Korean Investment Forum in Riyadh, Saudi Arabia.

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 2,265,290 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.

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.
MRC

China diesel exports slump to 5-year low in 2021

China diesel exports slump to 5-year low in 2021

MOSCOW (MRC) -- China's diesel exports in December sank to their lowest monthly level since March 2015, bringing the 2021 total to the lowest since 2016 at 17.21 MM tons, reported Reuters with reference to released data on Tuesday.

December exports of diesel slumped to 330,000 tons, down 78% from a year earlier, amid diminishing export quotas and as refiners curbed runs in response to a slowdown in domestic demand, data from the General Administration of Customs showed.

Total refined fuel, including diesel, gasoline, aviation fuel and low-sulfur fuel oil, fell 45% from a year earlier to 3.23 MM tons last month, the lowest monthly level since July 2020.

A diesel crunch triggered by power rationing in the third quarter proved short-lived and the domestic market flipped back into a surplus, analysts said, as reflected in national refinery output, which fell last month by nearly 5% from November and 2% from a year earlier.

Gasoline exports were 940,000 tons, rising from November's 810,000 tons but down 35% from the same period last year. Annual exports fell 9% to 14.54 MM tons, a three-year low. December jet fuel exports were 590,000 tons, down from November's 940,000 tons.

Rigid border controls and expanding lockdowns in parts of the country to contain a resurgence of coronavirus infections and fend off the highly contagious Omicron variant dampened demand for gasoline and jet fuel.

China's annual refined fuel exports dropped 2.4% over 2020 to 60.31 MM tons, as the government tightened export quotas to discourage excessive domestic refinery production.

Tuesday's data showed imports of LNG at 7.63 MM tons in December, versus 6.9 MM tons in November but up just 1.6% versus the year-earlier level as stubbornly high Asian spot prices hurt import appetite.

An all-time monthly record high was set in Jan 2021 at 8.49 MM tons. Imports for the whole year totaled a record 78.93 MM tons, up 18.3% from 2020, making the country the world's largest buyer of the super-chilled fuel.

Piped gas imports last month also set a record at 4.02 MM tons, up nearly 11% over a year earlier, data showed, as Russian supplies ramped up.

As MRC wrote previously, China's refinery output hit a fresh high in 2021, up 4.3% from a year earlier on robust fuel demand especially in the first half of the year, and as refiners ramped up processing to fill a supply gap after a hefty new tax closed loopholes in blending fuel imports. Total refinery throughput last year reached 703.55 MM tons, or 14.07 MMbpd, data from the National Bureau of Statistics showed on Monday, roughly 620,000 bpd above the 2020 level.

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.
MRC