Exxon says it is dealing with 'operational matter' at Fawley refinery

Exxon Mobil said it was dealing with an "operational matter" at its Fawley oil refinery in Britain, according to the plant's Twitter page, said Reuters.

The oil major did not provide any further details of the problem, but said its teams were addressing the situation.

We remind, ExxonMobil Corp agreed to sell its Billings, Montana, refinery and related pipeline properties to Par Pacific Holdings Inc for USD310 MM. The sale ends a years-long effort by the U.S. oil giant to further reduce its refining footprint and concentrate production on plants along the U.S. Gulf Coast and in the Midwest. It also has been selling oil producing properties to boost returns.

Exxon Mobil Corporation is an American company, one of the largest oil companies in the world, one of the largest corporations in the world in terms of market capitalization. The company's headquarters is located in Irving, a suburb of Dallas, Texas.

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SK picglobal, a market leader for propylene oxide and its derivatives including propylene glycol, and INEOS Styrolution, the global leader in styrenics, have signed a memorandum of understanding (MOU) yesterday giving INEOS Styrolution access to renewable styrene monomer (“SM”) produced from SK picglobal’s SM plant located in Ulsan, South Korea, sai dthe company.

This agreement is an extension to INEOS Styrolution’s efforts in creating a circular economy for both polystyrene (PS) and acrylonitrile butadiene styrene (ABS) in Asia. Under this MOU, SK picglobal will produce and supply renewable SM to INEOS Styrolution upon obtaining ISCC PLUS certification, estimated to be within 2023.

INEOS Styrolution has committed to saving one million tonnes of CO2 emissions by 2030 and selling 500kt of ECO products in 2030; and achieving net zero emissions by 2050.

"This agreement with SK picglobal is the right step to helping INEOS Styrolution achieve those goals and demonstrates our commitment to a sustainable future across all of our market segments,” said Arndt Kotyczka, Vice President, Global Styrene Monomer, INEOS Styrolution. “This renewable SM source will enable us to offer recyclable, sustainable products with the exact same quality and performance that customers have come to expect.”

"We are excited to be working with INEOS Styrolution, a company that shares our vision of getting to a world where nothing is wasted," said Ki Don Won, CEO of SK picglobal. "Increasingly, customers are demanding sustainable practices across the product supply chain and life cycle. The feedstocks we manufacture reduce waste, offset the need to produce virgin materials and help manufacturers achieve carbon neutral goals as we transition to a circular economy."

We remind, Ineos Styrolution has developed what officials claim are the world's first fully bio-attributed ABS resins. .
The new ECO B line is part of Ineos Styrolution's Terluran-brand ABS portfolio. Officials with Ineos Styrolution in Frankfurt, Germany, said in a news release that the new grades complement previous mechanically recycled Terluran ECO materials.

SK picglobal, a joint venture with SKC and the Kuwaiti national petrochemical company PIC (Petrochemical Industries Company), is the leading global propylene oxide and its derivatives propylene glycol supplier. With world class product quality and more than 30 years of operation experience, the company supplies PO, PG and SM to a broad range of industries, including urethane foam, surfactant, health care, personal care, flavors & fragrance, food & beverage, pharmaceutical and etc. SK picglobal employs approximately 300 people and operates production sites in Ulsan, Republic of Korea.
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US paint and coatings company Sherwin-Williams has agreed to acquire Germany-based Specialized Industrial Coatings Holding (SIC) for an undisclosed sum, said the company.

SIC, comprised of Oskar Nolte GmbH and Klumpp Coatings GmbH, is focused on foil coatings as well as radiation-cured and water-based coatings for the board, furniture and flooring industry. It has about 220 employees, sales of more than €91.5m/year, and is present in Europe, Asia and South America.

SIC will become part of Sherwin-Williams' Performance Coatings Group following completion of the deal in early 2023, Sherwin-Williams said.

"This acquisition creates opportunities to accelerate our profitable growth in the global industrial wood market and fits our strategy of acquiring complementary, high-quality and differentiated businesses," said John Morikis, Sherwin-Williams’s chairman and CEO.

We remind, Sherwin-Williams Company has announced an agreement to acquire Industria Chimica Adriatica (ICA), an Italian designer, manufacturer and distributor of industrial wood coatings used for kitchen cabinets, furniture and decor, building products, flooring and other specialty applications.
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Lotte Chemical swung to a third-quarter net loss of South Korean Won (W) 31bn due to poorer margins arising from weaker global demand, said the company.

Net loss came to 31.1 billion won (USD22.4 million), swinging from a profit of 312.8 billion won the previous year, the chemical unit of South Korean retail giant Lotte Group said in a regulatory filing.

Operating loss reached 423.9 billion won for the July-September period, compared with a profit of 288.3 billion won a year ago. Sales rose 27.9 percent to 5.68 trillion won.

Q3 sales at the basic chemicals business rose by 31.2% year on year to W3,587bn following the completion of maintenance at the company's Yeosu complex and the start-up of new production facilities.

The basic chemicals unit swung to a loss of W277bn in the third quarter from a gain of W161bn in the same period a year earlier amid squeezed margins and the delayed impact of lower feedstock costs.

The loss was 70.7 percent lower than the average estimate, according to a survey by Yonhap Infomax, the financial data firm of Yonhap News Agency. "The decline in global demand and negative lag effect from falling naphtha prices weighed on profitability," Lotte Chemical said.

A lag effect refers to profits or losses incurred from the time lag between the purchase of crude oil and the sales of petrochemical products. A negative lag effect means narrowing margins as the price of naphtha, a key raw material for a petrochemical company, has fallen from the time of its last purchase.

Basic materials segment, mainly the naphtha cracking business, posted an operating loss of 227 billion won, with sales at 3.6 trillion won.

Its advanced materials, which include construction and interior materials, sector logged 12.1 billion won in operating profit and sales reached 1.2 trillion won. The profitability for the sector weakened due to global economic slowdown and China's COVID-19 restrictions.

Shares in Lotte Chemical closed flat at 171,500 won on the main Seoul bourse, underperforming the broader KOSPI's 1.15 percent gain. The earnings results were released after the closing bell.

As per MRC, Lotte Chemical has recently informed that that company has decided to proceed with the 5 trillion won (USD4.4 billion) petrochemical project in Cilegon, Indonesia after the previous delay due the pandemic. The project named Lotte Chemical Indonesia New Ethylene (LINE) is to commence construction in 2022.

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Evonik’s third-quarter net income fell by 8.9% year on year despite a rise in sales from higher selling prices, said the company.

The company, which also makes ingredients for animal feed and diapers, sees full-year adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) between 2.5 billion to 2.6 billion euros, above the 2021 figure of 2.38 billion euros.

It had previously pointed to the upper end of the range.

Adjusted EBITDA in the third quarter fell 5% on the year to 615 million euros (USD615 million), with analysts expecting 608 million euros in a company-provided poll.

Sales jumped 26% to 4.88 billion euros despite lower volumes thanks to price hikes across all divisions which offset higher variable costs.

We remind, business line Coating Additives of Evonik Industries AG (Essen, Germany) is expanding production capacity of ACEMATT precipitated matting agents at its Taiwan manufacturing facility. The significant capacity increase will help meet growing demand for matting agents in Asia, with the capacity expansion expected to be completed by the second half of 2023.

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 EUR15 billion and an operating profit (adjusted EBITDA) of EUR2.38 billion in 2021. Evonik goes far beyond chemistry to create innovative, profitable and sustainable solutions for customers.

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