Cosmo Films to invest in CPP film production line at Aurangabad

Cosmo Films to invest in CPP film production line at Aurangabad

MOSCOW (MRC) -- Cosmo Films, a Global leader in films for packaging, labelling, lamination and synthetic paper and an emerging player in specialty chemicals, polymers & pet care announced expansion by setting up CPP film production line at Aurangabad with annual rated capacity of 25,000 MT, said the company.

The CPP line will require investment of about Rs 140 crores to be funded through internal accruals and debts and is expected to commence commercial production in 2 years.

Commenting on CPP line project Pankaj Poddar, Group CEO, Cosmo Films said, “Worldwide significant focus is being given on recyclability & sustainability of packaging films. Monolayer structure of CPP and BOPP is most preferred structure to address sustainability requirements. With current CPP capacity running close to 100% utilization, the Company planned capacity expansion with the world’s largest width line and lowest cost of production. Other growth plans i.e. Specialized BOPET line, BOPP line, focus towards growing specialty sales, expansion with Cosmo Specialty Chemicals and Zigly are progressing well in line with the plan."

As MRC informed earlier, Cosmo Films introduced BOPP based heat resistant (HR) films. The films have been engineered to work as printing layer replacing BOPET film in multi-layer laminates for various packaging applications in both food and non-food segments. The company has also launched a barrier version of the film.

Established in 1981 and founded by Ashok Jaipuria, Cosmo Films today is a global leader in specialty films for packaging, lamination, labeling and synthetic paper. With engineering of innovative products and sustainability solutions, Cosmo Films over the years has been partnering with worlds’ leading F&B and personal care brands and packaging & printing converters to enhance the end consumer experience. Its customer base is spread in more than 100 countries with sales & manufacturing units in India and Korea and additionally sales & distribution base in Japan, USA, Canada and Europe. The company is strategically expanding beyond Films into Specialty Chemicals & Polymers as well as Pet care business.

Sinopec and BASF continue to expand Verbund site in Nanjing

Sinopec and BASF continue to expand Verbund site in Nanjing

MOSCOW (MRC) -- BASF and Sinopec are further expanding their joint Verbund site in Nanjing, China. It is manufactured by BASF-YPC Co., Ltd. (BASF-YPC), a 50:50 joint venture between the two companies, said Chemie-zeitschrif.

The capacities of several downstream chemical plants will be expanded for the growing Chinese market. This also includes the construction of a new tertiary butyl acrylate plant.

The partners want to expand the production capacities for propionic acid, propionaldehyde, ethylene amines and ethanol amines as well as for high-purity ethylene oxide and build a new tertiary butyl acrylate plant. This expands the network by using acrylic acid and isobutene from existing plants as raw materials. This state-of-the-art production technology is being used outside of Germany for the first time. The expanded and new facilities are scheduled to go into operation in 2023.

"SINOPEC and BASF have been working closely and in partnership for a long time, have implemented relevant requirements of national and local governments to accelerate the transformation of the petrochemical industry, continuously optimized the industrial structure and promoted the further development of customer-oriented growth markets," says Yuefeng Gu, Chairman of SINOPEC Yangzi Petrochemical Co.,Ltd. and BASF-YPC Co.,Ltd. "With the expansion of the Verbund site, we will provide more high-quality and new materials for the Chinese market to meet the growing demand of our domestic customers and support the development of new industries."

As per MRC, BASF completed the installation and start-up of a state-of-the-art acrylic dispersions production line in Dahej, India, serving the coatings, construction, adhesives, and paper industries for the South Asian markets.

As per MRC, BASF completed a double-digit million euro investment to increase production capacity for Tinopal CBS optical brighteners at its Monthey site. Following phase one of the stepwise capacity increase in 2021, the recent completion of the investment program has now brought significantly increased capacity on stream to meet growing global customer demand.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries.

Shell wants to share more of its blockbuster profits

Shell wants to share more of its blockbuster profits

MOSCOW (MRC) -- Shell is considering boosting shareholder returns on the back of bumper profits from soaring energy prices, while the extra cash will also help it shift more swiftly towards renewables and low-carbon energy, said Reuters.

Europe's largest oil and gas company, as well as rivals including BP, have seen profits surge this year following two years of declining revenues due to the pandemic. CEO Ben van Beurden and Shell's board have been deliberating for months over what to do with the unexpected profit bonanza that began with the recovery from the pandemic and which was then spurred on by Russia's invasion of Ukraine.

"We have to look after our shareholders because I think our shares are very significantly underpriced, and therefore giving back more to shareholders to help that part of the equation is going to be very important" van Beurden told Reuters on the sidelines of the Aurora Spring Forum. Shell, whose stock has gained 20% this year but remains roughly 20% below their pre-pandemic peak, promised in 2020 to hike dividends by 4% annually after trimming its payout by more than 60% because of the pandemic, its first cut since the 1940s.

The London-based company posted its highest quarterly profit of $9 billion in the first three months of 2022 when it raised its dividend by 4% to 25 cents per share but still half pre-pandemic levels. The profit jump led Britain and other governments to impose a windfall tax to help fund consumers facing big energy bills.

Van Beurden said the management was reviewing whether its current shareholder return policy of 20% to 30% of cash from operations "is the right amount given where we are currently." Shell returns cash to investors via buybacks or dividends, but Van Beurden did not say whether any new policy would include a higher dividend.

As per MRC, Shell said surging demand for oil products that had almost tripled refining profits in the second quarter would boost earnings by up to USD1.2 bn. In an update before second quarter results on July 28, Shell also said it would reverse up to USD4.5 B in writedowns on oil and gas assets after it raised its energy prices outlook following Russia's invasion of Ukraine. Earnings from oil and refined products trading were expected to be strong in the quarter but lower than the first quarter of 2022, Shell said.

BP aims to start producing SAF in Australia by 2025

BP aims to start producing SAF in Australia by 2025

MOSCOW (MRC) -- BP is aiming to start producing sustainable aviation fuel (SAF) in Australia by 2025 after converting its oil refinery near Perth to produce renewable fuels, a senior executive of the British company said, said Hydrocarbonprocessing.

The project is expected to cost "hundreds of millions" of dollars, BP's Asia Pacific vice president of low-carbon solutions, Lucy Nation, told Reuters. BP has not disclosed what volume it plans to produce, but Nation said output would depend on demand as the facility would be able to switch day-to-day between producing sustainable aviation fuel and biodiesel.

Its Kwinana plant is in Western Australia, a region dominated by the mining industry where there is heavy demand for diesel for trucks. "We're lucky at Kwinana in that we're able to reutilize some of the processing equipment, the utilities and we have tanks ready to go," Nation told a briefing on the sidelines of the Sydney Energy Forum, hosted by the Australian government and the International Energy Agency.

"So that helps us speed up and be somewhat less capital intensive. But it is still a very expensive investment," she said. Air travel accounts for about 2% of global carbon emissions. The industry is aiming to reach net-zero emissions by 2050, relying on SAF usage to rise from around 100 MM liters (26 MM gallons) a year in 2021 to at least 449 B liters a year within three decades, a massive challenge.

"It is really, really tough - not for the faint hearted," said Nation. Australia has no SAF production so far and has no mandates for the fuel, unlike the European Union, which last week approved plans to require suppliers to blend a minimum of 2% of SAF into their jet fuel from 2025, rising to 85% in 2050.

BP's plant on the west coast and an A$500 million plant being built by private firm Oceania Biofuels on the east coast will be the country's first two SAF plants. Oceania's plant will be able to produce more than 350 MM liters per year of sustainable aviation fuel and renewable diesel. Nation, Qantas Airways and Boeing Co officials said the government needs to impose mandates or provide subsidies, tax breaks or a carbon pricing mechanism to spur development of the industry, which they said would be crucial to make long-haul travel affordable for Australians as the world shifts to green fuels.

Qantas and Airbus said last month they would invest up to USD200 million to accelerate the development of a SAF industry in Australia.

As per MRC, British energy giant BP has agreed to sell its remaining 50% stake in the Sunrise oil sands project in northern Alberta, Canada, to Cenovus Energy. The deal’s total consideration includes a USD466.9m (CD600m) cash payment and a conditional payment with a USD466.9m (CD600m) maximum aggregate value that expires after a two-year period. As part of the deal, Cenovus will sell its 35% stake in the undeveloped Bay du Nord project offshore Newfoundland and Labrador, in Eastern Canada, to BP.

IEA chief says price cap on Russian oil should include refined products

IEA chief says price cap on Russian oil should include refined products

MOSCOW (MRC) -- The head of the International Energy Agency said the G7 proposal to impose a price cap on Russian oil should include refined products as well, said Reuters.

The Group of Seven rich nations are considering imposing a price cap on Russian oil in an effort to keep oil flowing and curb inflation, while still limiting revenue to Moscow for the war on Ukraine that it calls a "special military operation". "My hope is that the proposal, which is important to minimise the effect on the economies around the world, gets buy-in from several countries," IEA Executive Director Fatih Birol told Reuters in an interview on the sidelines of the Sydney Energy Forum.

"And if it is pursued, it is not only focused on crude oil, as refined products are also an important challenge for the economies and will be more of a challenge in the next months to come," he said. Prices of refined products, such as gasoline and diesel, have soared even more than crude oil in the wake of the loss of Russian supply, because of a global refinery capacity crunch following the closure of several plants around the world.

The G7 idea is to tie financial services, insurance and the shipping of oil cargoes to a price ceiling. A shipper or an importer could only get these services if they committed to a set maximum price for Russian oil. Birol said he did not know what level the price cap would be set at. The IEA chief was in Sydney to co-host a meeting of Indo-Pacific nations with the Australian government discussing supply chains, the transition to clean energy and energy security. Countries attending included the United States, India, Japan and Indonesia.

The Sydney Energy Forum was focused on what needs to be done to ease global dependence on China for solar technology and countries like the Democratic Republic of Congo and Russia for critical minerals essential for clean energy technologies such as batteries, electric vehicles and wind turbines. Birol said the IEA was working on a plan to coordinate critical mineral supplies among its member and associate member countries in case of a supply disruption, similar to the emergency petroleum stockpiles that have been used recently to beef up global oil supply.

"Critical minerals security will be an important issue for energy security in the future," Birol said. "It is the reason that IEA ministers asked the IEA to consider building a safety network and coordination among its members and associate members in terms of a major disruption in the availability of critical minerals." He did not give a timeline for finalising plans for the "safety network" and said it was too early to say what it would entail.

The IEA sees opportunities for Australia, India, Indonesia and the United States to build solar technology manufacturing capacity to ease the world's dependence on China, which the IEA says will have a 95% share of the market by 2025, based on current construction plans. "We cannot rely on one single country," Birol said, adding that China had a competitive advantage in manufacturing thanks to lower electricity prices. To overcome that competitive edge, he said countries like Australia and India would have to offer incentives to companies to set up solar technology manufacturing plants.

As per MRC, preliminary estimates for these data show that, as of May 2022, surplus capacity in non-OPEC countries decreased by 80% compared with 2021. The data show that, in 2021, 1.4 MMbpd of surplus production capacity was available in non-OPEC countries, about 60% of which was in Russia. As of May 2022, we estimate that all surplus production capacity in Russia was eliminated due to the sanctions implemented after Russia’s full-scale invasion of Ukraine. We determined that excess oil production capacity declined in other non-OPEC producing countries as well. We estimate that, as of May 2022, producers in non-OPEC countries had about 280,000 bpd of surplus production capacity.