Developer issues call for bids for e-methanol project in Spain

The developer of a proposed e-methanol project in Spain has issued a call for interest from contractors for a detailed engineering, procurement and construction (EPC) contract for the planned facility, said Chemweek.

The 40,000 metric tons per year Triskelion e-methanol project at Mugardos near Coruna is being evaluated by Forestal Del Atlantico SA, it said in a LinkedIn post on Oct. 7. An investment amount for the project has not been given. The call for expressions of interest in a tender process for the green methanol project was launched earlier this month, it said.

Forestal Del Atlantico said the potential project includes CO2 capture, electrolysis for the production of green hydrogen, and methanol production. EPC companies must submit their interest in bidding for the turnkey contract by Nov. 30, it said.

The Triskelion project is planned to produce 40,000 metric tons per year of e-methanol in an initial phase, with later phases to expand its capacity to 56,000 metric tons per year, it said. It will use CO2 captured from a cogeneration plant located adjacent to the site. The planned electrolysis plant will have an estimated capacity of 66 megawatts (MW) and use renewable electricity, it said. The e-methanol will be produced using the CO2 and green hydrogen.

The project has been awarded a grant through the European Union’s Large Scale Projects Innovation Fund, according to Forestal Del Atlantico.

Forestal operates an industrial complex at Murgados that manufactures products including liquid resins and glue, as well as a storage terminal, port, and power plant. It also distributes chemicals including methanol, formaldehyde, urea and fuel oils, according to its website.

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Sibur Holding PJSC (Moscow) said it has developed a butane dehydrogenation catalyst for the production of 1,3-butadiene, a raw material for synthetic rubber, said Chemweek.

The catalyst was developed by Sibur’s Innovations Research Center and Russia’s SPC Sintez to replace a catalyst previously purchased from a foreign manufacturer, it said on Oct. 11. After three months of initial use at an industrial plant in Tobolsk, Sibur said the catalyst has been shown to be equivalent to the previous imported product.

A separate cooperation between Sibur and Kazan Federal University has also developed a separate catalyst for isomerization of butylene, used to produce isobutylene, another important component for rubbers, it said. This product has been successfully tested at the company’s subsidiary Nizhnekamskneftekhim in Tatarstan and introduced into the production of isoprene rubbers, it said.

Sibur said it is “working to fully switch to its own solutions by 2027-2029, which is largely made possible through the joint development and development of technologies with Russian partners.”

In 2023, a total of 38.8 million tires were produced in Russia, with production expected to grow by 6% in 2024 to about 41 million, according to Sibur. The growth in demand is due largely to an increase in car sales, in particular Chinese brands, it said. “Manufacturers note an increase in demand for new tire sizes, especially for crossovers and SUVs,” it said.

In August, Sibur announced plans to establish a pilot facility for basic polymer and catalyst technologies at Tobolsk to accelerate the development of new products. Total investment in the facility will be more than 6 billion rubles ($66 million), it said. The company expects annually to be able to test at least five new catalysts and 10 grades of polyethylene (PE) and polypropylene (PP), it said. The facility is scheduled to be commissioned by the end of this year, it said at the time of the announcement.

Sibur also said at the time of that announcement that it was considering building a catalyst production plant in Tatarstan.

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Austrian converter ALPLA invited guests from the worlds of politics, business and academia to Berlin, Germany this week for a dialogue about the benefits of plastics, said the company.

ALPLA (Austria) advocated for a fact-based discourse in a dialogue with politicians, business and academia on plastic recycling on October 9 in Berlin, noting that the plastic recycling industry can contribute to climate protection through the Design for Recycling project and accelerated recycling.

ALPLA launched the daskannkunststoff (PlasticCanDoIt) project, with which it aims to achieve a fact-based view of recyclable material. The company invited guests from the worlds of politics, business and academia to Berlin for a dialogue to discuss challenges and solutions for a circular economy of the future.

Cleaning product manufacturer Werner & Mertz is collaborating with ALPLA to create sustainable packaging made from recycled material. In his keynote speech, CEO Reinhard Schneider emphasized the importance of mechanical recycling for consumer confidence. Economist Gerhard Fehr illustrated how the circular economy can become tangible and guiding for as many people as possible.

“Plastic is the key challenge of our time. We cannot continue in a linear manner as we do today; at the same time, we need plastic to sustainably reduce resource consumption worldwide,” explained Henning Wilts, head of the circular economy department at the Wuppertal Institute for Climate, Environment and Energy.

“Plastic is an integral part of the solution – and unrivaled in terms of safety, performance and sustainability. As an industry, we must act together and shift the focus to the benefits of plastic. Only by working together and sharing with each other can we create a sustainable future. daskannkunststoff is a call to action for all of us,” said Philipp Lehner, CEO of ALPLA, in favor of an impartial view of recycled material and emphasized the responsibility of the plastics recycling industry.

With around 23,300 employees worldwide, ALPLA produces customized packaging systems, bottles, caps and molded parts at 196 locations in 47 countries. The company operates recycling plants for polyethylene terephthalate (PET) and high-density polyethylene (HDPE) in Austria, Germany, Poland, Mexico, Italy, Spain, Romania and Thailand, as well as in Russia and other parts of the world.

We remind, Alpla has acquired Heinlein Plastik-Technik GmbH, a German manufacturer of closure, dosing and auxiliary systems for the pharmaceutical and medical industries. Heinlein's machine park includes more than 60 injection molding and assembly machines. The company produces more than a billion plastic components annually.
The contract was signed on June 12, 2024.

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Shell NefteGaz Development (V) LLC, part of the British-Dutch company Shell, made a decision on liquidation on October 9, following in the footsteps of Shell's other Russian subsidiary Shell NefteGaz Development LLC, according to the Uniform State Register of Legal Entities, as per Interfax.

Shell NefteGaz Development (V) LLC was registered in 2005. Its main activities included the search for, exploration and production of oil, natural gas, condensate and other minerals, while Shell NefteGaz Development LLC provided consultation services for business and management issues. Both companies were 100% owned by Shell EP Russia Investments (V) B.V.

Shell NefteGaz Development LLC is the sole Russian defendant in the lawsuit filed by the Russian Prosecutor General's Office with the Moscow Arbitration Court on October 2. On October 8, it also made a decision on liquidation.

Following the two subsidiaries' closure, Shell's representation in Russia will be limited to a branch of the Dutch Shell Exploration and Prod.Serv.(RF) B.V., which is registered at the same address as the company's subsidiaries and has the same CEO, Tatiana Ivanova. Shell NefteGaz Development LLC has had a separate division in Yuzhno-Sakhalinsk since March 13, 2021.

Shell has not commented on the information about the companies' liquidation or the lawsuit of the Prosecutor General's Office.

The court's press service told Interfax that the lawsuit was filed to recover damages for the non-fulfillment of obligations, without specifying the amount of the claims.

The defendants in the case are Shell Global Solutions International B.V., Shell Exploration and Production Services B.V., Shell NefteGaz Development LLC, Shell international Exploration and Production B.V., Shell Sakhalin Service B.V., Shell Energy Europe Ltd, Shell and Shell Sakhalin Holdings B.V.

The third parties are Gazprom Export LLC, the Russian Energy Ministry, Sakhalin Energy LLC, Sakhalin Energy Investment Company Ltd, and the Sakhalin regional authorities.

So far, only Sakhalin Energy LLC and the Sakhalin regional authorities have filed petitions to examine the case materials.

In 2022, in line with a decree signed by Russian President Vladimir Putin, Sakhalin Energy Investment Company Ltd (Bermuda) was replaced by a Russian LLC. At the time, according to the conditions for setting up the LLC, Gazprom Sakhalin Holding was assigned a 50.00000001% share upon its establishment. The foreign co-owners of the project had to confirm their participation in the new legal entity - Japanese Mitsui & Co., Ltd. (12.5%) and Mitsubishi Corporation (10%) confirmed they would remain in the project, while Shell informed the Russian authorities it would not take part as a co-owner with the new Russian operator.

The foreign partners can receive funds for their share only after determining and offsetting compensation for the damages caused by them during the project's implementation, as well as damage caused to Gazprom by refusing to accept a new payment system for Russian pipeline gas supplies to Europe.

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Gas consumption in Russia this year is expected to be above 500 billion cubic meters, as in 2023, Energy Minister Sergei Tsivilev told reporters on the sidelines of the St. Petersburg International Gas Forum, as per Interfax.

"More than 75% of the gas produced in the country is consumed on the domestic market. This year, this figure could exceed 500 bcm, not least due to demand from industrial consumers, the power industry and metallurgy," he said.

Deputy Prime Minister Alexander Novak said in a presentation that 500 bcm of gas was sold on the domestic market in 2023, up 2.8% from 486.6 bcm in 2022.

We remind, Gazprom and the China National Petroleum Corporation (CNPC) have signed a coordination agreement, an appendix to the long-term agreement on purchasing and selling natural gas via the Far East route. The document in particular regulates interaction between the sides in the use of adjacent gas pipeline systems when supplying Russian gas to China.

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