CPDC Restarts Acrylonitrile Production in Taiwan

On November 15, China Petrochemical Development Corp (CPDC) in Taiwan took a significant step by resuming production at two acrylonitrile production lines located in Kaohsiung, said Chemanalyst.

This move followed a scheduled maintenance period during which two lines, each boasting a production capacity of 240 thousand tons of DCA per year, were temporarily closed, starting from October 20. Notably, CPDC manages two production lines at the Kaohsiung plant, each with a yearly production capacity of 120,000 tonnes of DCA.

Earlier in the year, on July 20, 2022, CPDC had temporarily halted production at one of its acrylonitrile (AHN) production lines in Kaohsiung, citing commercial reasons. This strategic decision reflected CPDC's commitment to efficient operations and market dynamics.

Acrylonitrile plays a pivotal role as one of the primary raw materials in the production of acrylonitrile butadiene styrene (ABS), a widely used polymer with applications across various industries.

ABS imports experienced a noteworthy increase of 12% in the first eight months of 2023 compared to the same period in 2022. The total ABS imports amounted to 22.2 thousand tons, compared to 19.7 thousand tons in the preceding year. During this period, South Korean supplies accounted for 56% (12.5 thousand tons), up from 54% (10.6 thousand tons) in the corresponding period in 2022. Chinese imports held the second position, representing 30% (6.6 thousand tons) from January to August 2023. Taiwanese imports constituted 13% (3 thousand tons) during the same timeframe.

The recent resumption of acrylonitrile production by CPDC in Taiwan is expected to have a significant impact on the supply chain for ABS, contributing to meeting the rising demand observed in the import figures. The decision to resume production aligns with market dynamics and the company's strategic approach to managing production capacities.

Established in 1969, CPDC initially functioned as a state-owned enterprise under the supervision of Taiwan's Ministry of Economic Affairs. The company underwent a transformation by being listed on the Taiwan Stock Exchange in 1991 and later privatized in 2005. CPDC holds a unique position as the sole caprolactam manufacturer in Taiwan, showcasing its diversified portfolio in the petrochemical industry.

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KazMunayGas (KMG) and China Gezhouba Group Company Limited (CGGC) could build gas processing plant at the Urikhtau field in Kazakhstan's Aktobe region, said Interfax.

KMG Deputy CEO Serikkali Brekeshev held a meeting with CGGC Vice President Yinqi Deng at which they discussed prospects for cooperation in KMG's projects, KMG said in a press release.

"In particular, they discussed construction of a gas processing plant at the Urikhtau field, implementation of sludge separation technology at the fields of KazMunayGas subsidiaries, renewable energy sources as necessary to achieve the low-carbon policy goals and other issues," the press release says.

We remind, Lummus Technology announced Butadiene LLP has selected its iC4 CATOFIN®, CATADIENE®, CDMtbe® technologies and BASF's butadiene extraction technology for units at Butadiene LLP's new petrochemical plant in Atyrau, Kazakhstan.

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U.S. oil pipeline and export terminal operators are stepping up quality checks after finding an out-of-specification cargo that raised worries of excess metals contaminating Texas shale oil, operators and sources said, said Hydrocarbonprocessing.

WTI Midland, the crude from the top U.S. shale field which joined the Dated Brent index in June, increasingly is flowing to European refiners. Concerns that contaminated oil could damage refining units and the oil's reputation spurred more routine testing, people familiar with the matter said.

Oil index publisher S&P Global Platts added WTI Midland to the Dated Brent Index and set a quality standard for the crude. Its testing has found only one out-of-specification cargo among this year's 54 trades, a spokesperson said.

WTI Midland crude flows to Europe have set the price of widely used Dated Brent on more than half the trading days since May, according to price reporting agency Argus, putting more of the U.S. crude in the hands of European refiners.

But high levels of iron and vanadium metal in oils blended into WTI Midland can damage European refineries, which typically have less complex processing units and are unable to filter the metals.

U.S. pipeline companies and crude marketers often mix more expensive WTI Midland with cheaper varieties such as West Texas Sour, Domestic Sweet or Eagle Ford to boost profit margins. Those cheaper grades often contain higher levels of iron, vanadium and nickel.

We remind, LyondellBasell along with the Plastics Industry Association announced the use of the equivalent of 520,000 plastic retail bags to pave 4,875 square yards of parking lot at the Louisiana Integrated PolyEthylene JV LLC. The project utilized 8,000 pounds of LyondellBasell CirculenRecover polymers, made from plastic waste using a mechanical recycling process. The asphalt project is an example of LyondellBasell’s commitment to end plastic waste in the environment that would otherwise end up in landfills or incinerated.

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Titan Group has signed a cooperation agreement with Wison Engineering Ltd, a division of China's Wison Group, to build a new EP-600 pyrolysis unit with subsequent intensive processing of its products, the Russian group said in a press release on its website.

"This is a part of a large-scale investment project to produce basic chemical products in the Omsk region that will make it possible to provide the market with scarce chemicals for key sectors of the industry, and completely substitute imported ethylene glycols and propylene glycols," Titan said, adding that the project will be carried out at an industrial park in Omsk Region.

The EP-600 ethylene complex is designed to process hydrocarbon feedstock into ethylene, propylene, butadiene, benzene and other petrochemical products.

"Considering the strategic tasks of the country's chemical industry, we've started implementing a large-scale project to manufacture large tonnage chemicals in the Omsk region. It complies with a plan of events aimed at import-substitution. Large tonnage projects, in their turn, will become a base for low- and medium chemicals production. These include such marketable products as PBT, silica gels, silicasols, BOPET films, PET granules, and PIB," Titan chairman Mikhail Sutyaginsky said in the release.

Wison Engineering Ltd is a leading Chinese engineering contractor that operates in the petrochemical industry.

We remind, Omsky Kauchuk , a division of Titan Group, has begun building a polyisobutylene (PIB) production plant with annual capacity of 10,000 tonnes and has launched a technical butane processing unit after modernization.

Titan Group includes a number of petrochemical plants (Omsky Kauchuk , Titan-SM LLC and Pskov Plant Titan-Polymer LLC) and agribusinesses (Petrovsky pig farm, Pushkinsky compound feed plant and Pushkinsky meat processing plant).

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Emerson, a leader in industrial software and technology, has been chosen by DG Fuels to provide comprehensive automation and project engineering to help transportation sector decarbonization efforts through production of advanced biofuels, said Hydrocarbonprocessing.

To help address the more than 25% of global emissions caused by transportation, DG Fuels’ mission is to provide “drop in” cellulosic sustainable aviation fuels at scale, then expand into renewable or green diesel fuels. Its advanced conversion process creates fuels that can be used in existing aviation and vehicle engines, achieving three times greater yield from biomass feedstock when compared to traditional biofuels production processes.

“Technology and innovation are the foundation of bringing our innovative fuels conversion process to scale,” said Michael Darcy, DG Fuels CEO. “Partnering with Emerson for its project expertise and automation portfolio gives us confidence in achieving our bold vision of being a global leader in synthetic jet and diesel fuel production.”

Chosen for its deep automation project engineering and execution, backed by the industry’s most comprehensive automation portfolio, Emerson will provide DG Fuels with a suite of advanced sensing, control, systems, equipment monitoring and production optimization technologies and software that enable safe, reliable and sustainable production.

“Sustainable aviation fuel is a critical step in the energy transition of the transportation sector,” said Mike Train, Emerson’s chief sustainability officer. “Meaningful progress will require innovative solutions across multiple sources of energy. We look forward to supporting DG Fuels’ mission of creating high-yield, high-quality biomass-derived fuels at scale.”

DG Fuels’ previously announced agreements with aviation leaders for sustainable aviation fuels development and supply include Air France KLM, Delta, Airbus and GE Aviation.

We remind, LyondellBasell along with the Plastics Industry Association announced the use of the equivalent of 520,000 plastic retail bags to pave 4,875 square yards of parking lot at the Louisiana Integrated PolyEthylene JV LLC. The project utilized 8,000 pounds of LyondellBasell CirculenRecover polymers, made from plastic waste using a mechanical recycling process. The asphalt project is an example of LyondellBasell’s commitment to end plastic waste in the environment that would otherwise end up in landfills or incinerated.

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