Hyosung TNC, Ambercycle join forces on circular polyester

Hyosung TNC (Seoul) said that it has partnered with Ambercycle (Los Angeles, California) to become the first manufacturer in South Korea to introduce a textile-to-textile, circular polyester into supply chains, said the company.

The partnership will tap Hyosung’s fiber manufacturing capabilities to support the integration of Ambercycle’s circular polyester material, Cycora, into brand supply chains.

Cycora has the “potential to divert tons of textile waste from landfills and incinerators and reduce the extraction of raw materials used in the production of virgin polyester,” said Chi Hyung Kim, CEO, Hyosung TNC.

We remind, Hyosung Chemical will expand its polyamide (nylon) film production capacity this year with the launch of a second Bruckner extrusion line using LiNear Motors Ultimate (LISIM) technology. LISIM technology reveals such properties in polyamide films as low oxygen permeability, high frost resistance and heat resistance.

mrchub.com

Indian Oil Minister Hardeep Singh Puri has announced that state-run Bharat Petroleum Corp. plans to build a new refinery and the nation is looking at signing more oil import deals with countries (including Russia) at discounted rates, said Hydrocarbonprocessing.

Puri, who took charge of the ministry for a second time on Tuesday, said Prime Minister Narendra Modi wants to provide energy at affordable rates to customers to cushion them from the volatile oil markets. India, the world's third biggest oil importer and consumer, has emerged as the biggest buyer of Russian sea-borne oil, snapping up barrels sold at a discount as Western companies halted purchases after Moscow's invasion of Ukraine in 2022.

"We are a longstanding partner of Russian federation. We have had discussion with the Russians on long-term deals," Puri said. "I am confident that both our private and public sector players will sign long-term deals with countries where they see benefit in doing so," he said when asked if Indian state-run companies are looking at signing such deals with Russia.

While private refiners Reliance Industries and Nayara Energy have signed an annual import deal with Russia, state refiner Indian Oil Corp. has not yet renewed its deal.

Nayara Energy, majority owned by Russian entities, has also signed an annual crude supply deal with a trader to buy about 8 MMbbl-10 MMbbl each month at a discount of USD3/bbl to USD3.50/bbl linked to the Dubai marker in 2024.

Indian state refiners BPCL and Hindustan Petroleum Corp. are also looking at signing term deals with Russia. Puri said the location and capacity of a new refinery planned by BPCL have not yet been finalized.

He said India wants to raise its oil output, which has been stagnant for years. State-run Oil and Natural Gas Corp. has floated a tender seeking technical tie-ups with global oil majors to boost output from its western offshore Mumbai High Field, he said.

Output from the Mumbai High Field has been declining since 2018. Having hit a peak of 471,000 bpd in 1984-85, it produced an average 134,000 bpd in the fiscal year to March 2024.

Demand for petrochemical products in India will grow by 8% in 2024, outpacing the country's economic growth rate of 6-7.1% per year from 2024 to 2026. However, despite strong demand, Indian companies are experiencing margin pressure due to low prices for basic chemical products in bulk. It is expected that there will be even more problems due to the coming oversupply of capacity, and therefore supply in the market.

mrchub.com

U.S. oil refiners and West Coast traders are flagging concerns about the quality of crude shipped on the newly completed Trans Mountain pipeline expansion (TMX), warning that high vapor pressure and acidity limits could deter purchases of Canadian heavy barrels, said Hydrocarbonprocessing.

The $24.84-B (C$34 B) expansion started operations last month and has nearly tripled shipping capacity to Canada's Pacific Coast to 890,000 bpd. The roughly 2.5-MMbpd U.S. West Coast refining market is expected to be a major outlet for Canadian heavy oil shipped via Trans Mountain, but questions over crude quality could dampen demand for the barrels. That could weigh on prices or push more oil onto rival Canadian export pipelines with lower vapor pressure and acidity limits.

Several West Coast refiners have raised concerns in recent weeks about the initial volumes' high sulfur content, acidity and vapor pressure, conditions that could damage refining equipment or increase air pollution, according to regulatory complaints and three people familiar with the matter, though thus far it has not affected demand.

The Trans Mountain pipeline historically has had higher vapor pressure limits than other export pipelines because it shipped refined products as well as crude oil. Although the expanded line mainly ships heavy crude, it carried over the same limits.

Ten companies and industry associations including Canadian Natural Resources Ltd., U.S. oil major Chevron and refiner Valero Energy have written to the Canada Energy Regulator (CER) to complain about high vapor pressure limits and have asked for the pipeline's technical specifications to be narrowed.

Trans Mountain said its current vapor pressure and acidity specifications were developed though a shipper consultation process and have been in place since March 2023.

"Prior to the filing of the current complaint, Trans Mountain was aware of newly raised shipper concerns and had engaged in an updated consultation process with shippers which is ongoing," the company told Reuters in an email.

Vapor pressure limits, which measure the volatility of crude, are "wholly inappropriate" for West Coast refining markets, Valero wrote to the CER last month. It and other West Coast refiners are expected to be top buyers of TMX barrels.

Chevron separately told the CER the vapor pressure limit exceeds the regulatory limit set for storage tanks at both its California refineries. High pressures cause more vapors to leak from tanks into the atmosphere.

The higher vapor limit also means more lower-value light oil could be blended into Trans Mountain crude, reducing its value, wrote oil producer Canadian Natural, a major shipper on the pipeline. The TMX crudes are more acidic, Chevron wrote, a trait that can corrode processing equipment and cause damage.

mrchub.com

Sika AG announced the opening of a new plant in Liaoning province, China. The new plant will produce mortars, tile adhesives and waterproofing solutions, said the company.

The new facility also provides office spaces, laboratories, warehousing and logistics. The plant will produce a range of mortar products that incorporate up to 20% recycled raw materials during the manufacturing process, such as waste dust and mineral waste residues. In addition, Sika has launched an initiative to transition from natural to alternative sands.

In 2023, Sika in China had already reached a 13% alternative sand ratio in its mortar production, with half of the plants contributing to this initiative. Sika in China plans to replace 50% of its overall sand consumption with alternative options by 2028, it added.

The company said that the new plant will cater to customers in three provinces in northeastern China, with a population of more than 98 million, as well as in east-central Mongolia. Currently, Sika has 34 manufacturing sites in China.

mrchub.com

Saudi crude oil exports to China will fall in July for a 3rd straight month to about 36 MMbbl amid plant maintenance and as some refiners opted for other sources of cheaper oil, said Hydrocarbonprocessing.

The reduction underscores the challenge the world's top oil exporter faces in maintaining market share in the world's largest crude import market.

July exports are expected to be down from about 39 MMbbl in June, possibly the lowest levels for the year, the sources said. One state refiner and a private refiner cut nominations for Saudi crude in July vs. June, they added.

Chinese refiners are cutting imports from Saudi Arabia, China's No. 2 oil supplier, due to high term prices for Saudi crude and weak refining margins, sources said. This was despite Saudi Aramco cutting official selling prices for its crude exports in Asia in July for the first time in five months.

Sinopec, Asia's largest refiner and Saudi Arabia's biggest customer in China, is changing the volume little in July from the previous month but the volume is the lowest this year, the sources said.

China's Saudi oil imports fell 16.5% in the first four months this year to 26.13 metric MMt (1.58 MMbpd) while imports from top supplier Russia gained 16.6% to 37.79 metric MMt, customs data showed last month. Separately, Saudi Aramco will supply full contractual volumes to at least three other North Asian refiners in July, the sources said.

mrchub.com