China refiner Shenghong in preliminary deal with Saudi Aramco for equity investment

China refiner Shenghong in preliminary deal with Saudi Aramco for equity investment

MOSCOW (MRC) -- China's privately controlled Jiangsu Eastern Shenghong Co Ltd said on Wednesday it had entered a preliminary deal with Saudi Aramco for the Middle Eastern oil major to become a minority stakeholder in its refining and petrochemical unit, said Reuters.

Under a framework agreement, Saudi Aramco intends to become a strategic investor in Jiangsu Shenghong Petrochemical, which operates a refinery and petrochemical complex in the eastern province of Jiangsu.

In a separate statement, Aramco said it was looking at investing 10% in Shenghong Petrochemical, adding that companies also intend to cooperate on a large expansion project, although Aramco did not provide details.

The companies are willing to cooperate in areas such as long-term crude supply and marketing of refined fuel and chemical products, as well as licensing high-value added manufacturing technology, according to a stock filing. The parties will carry out due diligence and evaluation works to follow up on this agreement, the company added. Shenghong Petrochemical, one of China's newest refineries, operates a 320,000 barrel-per-day plant in port city of Lianyungang. Under a similar alliance, Aramco said in March it had agreed to acquire a 10% stake in privately controlled Rongsheng Petrochemical Co Ltd for about $3.6 billion, an investment attached to a 20-year crude oil supply deal with Rongsheng-controlled Zhejiang Petrochemical Corp.

We remind, Aramco, one of the world’s leading integrated energy and chemicals companies, has agreed to purchase a 100% equity stake in Esmax Distribuscion SpA (“Esmax”) from Southern Cross Group, a Latin America-focused private equity company. The transaction is subject to certain customary conditions, including regulatory approvals.

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PPG introduces high-performance UF membranes and filter elements for improved industrial water reuse

PPG introduces high-performance UF membranes and filter elements for improved industrial water reuse

MOSCOW (MRC) -- PPG announced the introduction of a high-performance ultrafiltration (UF) membrane and filter elements for industrial process water and wastewater applications, said the company.

The new UF membrane adds to PPG’s line of microfiltration (MF) membranes and filter elements, which are designed to remove oil and other contaminants so process water and wastewater can be disposed or reused safely and economically, helping to improve water reuse and play a role in addressing global water scarcity.

Incorporating a proprietary antifouling treatment technology, PPG’s UF membranes are superhydrophilic, or water loving, which inhibits trace amounts of oil, grease and other tough-to-filter contaminants from fouling the membranes and filter elements. In turn, this can extend the service life of membranes, reducing costs through lower maintenance and replacement needs.

“Our antifouling treatment represents a significant technical advancement with potential benefits in multiple industries,” said Lisa Walters, PPG filtration segment manager, Specialty Coatings and Materials. “The traditional belief is that membranes are not well-suited for removing oil and grease because of their tendency to foul. PPG filtration membranes have an exceptional ability to separate emulsified contaminants from water.”

PPG’s high-performance MF and UF membranes separate oil, grease and emulsified contaminants from higher volumes of industrial process water. This can reduce the number of filters and the amount of manufacturing floor space needed to recover the water for reuse. Aided by the antifouling treatment, PPG membranes can offer plant managers and maintenance engineers a solution that helps their filtration systems perform better and last longer with enhanced cleanability.

“The ability to clean and reuse industrial process water is beneficial in so many ways, not just to the companies that recapture this valued resource, but also for the environment by reducing demands and stress on freshwater supplies,” said Walters. “Our sustainably advantaged membranes and the enhanced performance provided by our new UF offerings and MF membranes with antifouling treatment offer another great example of how PPG products protect and beautify the world.”

Potential applications for PPG filtration membranes include industrial process water and wastewater, from oil and gas to automotive and industrial paint lines, to graywater treatment.

We remind, PPG announced that Hugh Grant, 65, PPG independent lead director, has informed the board of directors of his decision to end his tenure as independent lead director, effective Oct. 1, and retire from the board at the end of the year. Grant joined the board in 2005 and has served on the Nominating and Governance Committee and the Human Capital Management and Compensation Committee, serving the last nine years as independent lead director.

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Samsung Engineering receives FEED contract for Saudi Petrochemical Project

Samsung Engineering receives FEED contract for Saudi Petrochemical Project

MOSCOW (MRC) -- Samsung Engineering, a world leading engineering solutions and project management company, announced today that it received the NoA(Notice of Award) for the FEED (Front End Engineering Design) contract of a PDH, PP, UTOS plant from Alujain National Industrial Co.(LNIC) in Saudi Arabia, said Hydrocarbonprocessing.

The contract amount is $19.428 MM and the FEED work is expected to be carried out in Samsung Engineering’s offices in Seoul, Korea until May 2024.

This project will take place at the Yanbu Industrial Complex in Medina Province, western Saudi Arabia. This project is to carry out basic design for a propane dehydrogenation (PDH) plant with an annual capacity of 600,000 tons, a polypropylene (PP) plant with an annual capacity of 500,000 tons, and Utilities & Offsite (UTOS) required for the plant.

Samsung Engineering said the key to winning this work was its extensive experience in the PDH, PP field and its competitiveness in the FEED engineering technology market. Alujain has expressed its confidence in Samsung Engineering by awarding FEED after previously awarding Samsung Engineering with the Pre-FEED contract. Samsung Engineering plans to successfully carry out and execute this FEED project and has expressed its intent to win the EPC contract once it is released in mid-2024.

The regional experience in Saudi Arabia is also one part where Samsung Engineering is confident that it will lead to the success of this project. Samsung Engineering executed 32 projects in Saudi Arabia, five of those were PDH, PP projects. In addition, Samsung Engineering expects that it will be able to actively utilize the existing infrastructure and know-how in the region having successfully completed the Luberef lube base oil plant in Yanbu, where this project will be executed.

We remind, Russian government has approved some changes to its fuel export ban, lifting the restrictions for fuel used as bunkering for some vessels as well as diesel with high content of sulfur. It also lifted restrictions on the export of fuel already accepted for export by the Russian Railways and Transneft before the initial ban had been announced last week. The ban on all types of gasoline and high-quality diesel remains in place.

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Taiwan's CPC Corp seeks second jet fuel cargo this year

Taiwan's CPC Corp seeks second jet fuel cargo this year

MOSCOW (MRC) -- Taiwan's CPC Corp is seeking to procure a jet fuel cargo for delivery between mid-October and early November via a spot tender, a second such purchase this year, as per Reuters.

The state-owned refiner is looking to buy at least 300,000 barrels of jet fuel for Oct. 15-Nov. 5 delivery, the document showed.

The tender closes on Sept. 26, with validity to Sept. 28. The purchase was attributed to inventory replenishment as CPC's current refinery production is curtailed, with a portion of its Talin refinery under maintenance from Sept. 18 to around a month later, two sources familiar with the matter said.

CPC Corp's previous jet fuel purchase was for an August delivery cargo at a premium of more than $1 a barrel to free-on-board Singapore quotes, Reuters records showed.

We remind, Moscow has found new markets for its oil despite sanctions imposed by G7 countries since the start of the war in Ukraine, which Moscow calls a special military operation. The world's third largest oil exporter, Russia has rerouted most of its oil to China, India and Turkey over the past year, and has also sent cargoes to countries including Brazil, Sri Lanka and Pakistan.

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Tim Knavish elected PPG Chairman and CEO; Michael McGarry to retire as Executive Chairman

Tim Knavish elected PPG Chairman and CEO; Michael McGarry to retire as Executive Chairman

MOSCOW (MRC) -- PPG announced that its Board of Directors has unanimously elected PPG president and chief executive officer (CEO), Tim Knavish, 58, as chair of the company’s Board of Directors and CEO, effective Oct. 1, 2023, said the company.

Knavish succeeds Michael McGarry, 65, who served as chairman and CEO from 2016 to 2022 and is retiring as executive chairman, also effective Oct. 1, 2023.

“On behalf of the PPG board of directors, we want to congratulate Tim and recognize the significant contributions Michael has made in leading PPG through some of the most challenging periods in its 140-year history,” said Hugh Grant, PPG independent lead director and retired chairman and chief executive officer, Monsanto Company. “Michael’s leadership has made a significant impact on expanding the company’s portfolio and reach in key growth markets, strengthened PPG’s position, and set the company on a solid path for future growth and success. We wish him the very best. As we look ahead, the board fully supports Tim and the entire PPG team as they work to achieve future growth and increased value for our shareholders.

“After a thoughtful and deliberative process, the board of directors agreed that appointing Tim as chair and CEO enhances the alignment between PPG management and the Board in implementing PPG’s enterprise growth strategy. Tim has an intimate knowledge of the business, can quickly identify and implement strategic priorities, and has demonstrated the ability to serve as an effective bridge between the Board and management,” added Grant.

Knavish joined PPG in 1987 at PPG’s global headquarters in Pittsburgh and he has held roles of increasing responsibility during his 36 years with the Company. Knavish has served in his current role as president and CEO since Jan. 1, 2023 and previously served as chief operating officer beginning in March 2022. Prior to being named chief operating officer, Knavish was executive vice president beginning in October 2019.

We remind, PPG announced that Hugh Grant, 65, PPG independent lead director, has informed the board of directors of his decision to end his tenure as independent lead director, effective Oct. 1, and retire from the board at the end of the year. Grant joined the board in 2005 and has served on the Nominating and Governance Committee and the Human Capital Management and Compensation Committee, serving the last nine years as independent lead director.

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