Taiwan's businesses called for the government to lift its ban on investment in naphtha crackers

(Plastemart) -- Taiwan's businesses have called for the government to lift its ban on Taiwanese investment in naphtha crackers in China. There is an increasing pressure on the government to lift the ban since the planned Kuokuang Petrochemical Technology Co. naphtha cracker complex got scrapped under pressure from environmentalists.

However, as reported by CNA, the minister of economic affairs said that before it reviews its policy, the government will want to see "whether the other side will show some flexibility first." The government views China's restrictions on foreign investment in the petrochemical industry as the key problem. Under Beijing's rules, foreign investors are not allowed to build naphtha crackers in China unless they cooperate with local enterprises, with the Chinese side holding a controlling stake in any joint venture.

MRC

(Arabian Oil and Gas) -- The Ministry of Oil of Iraq has signed an implementation agreement for the construction under BOO terms of the Refinery of Karbala with RKC (Refinery of Karbala Corporation Ltd.) The new refinery will have a daily capacity of 200,000 barrels of crude oil and will produce high quality, high octane gasoline (regular and premium) as well diesel fuel for the domestic market.

⌠Karbala Refinery will be located 100km south of Baghdad on a 6 square kilometer plot of land, and will be the most advanced state of the art refinery with almost full conversion rate and with an estimated cost of USD 6.5 billion said Dean Michael, CEO of Karbala Refinery Corporation.

The Italian Company Saipem will be providing the processing and the technical aspects of the project. Such a Refinery is due to become the most technically advanced Refinery in Iraq with the use of the latest available technologies that will ensure almost full conversion of Crude to final products in line with new Iraqi Laws in Refining and the Environment.

MRC

(Arabian Oil and Gas) -- Qatargas, the State of Qatar's national gas company, has agreed to supply Malaysia's Petronas LNG Ltd 1.5 million tonnes of liquefied natural gas annually for at least 20 years from 2013, the world's biggest LNG producer said today, according to a Reuters report.

"It is the first time Qatargas has signed a HOA (heads of agreement) for supplying LNG to the South East Asian market," Qatargas CEO Khalid Bin Khalifa Al Thani said in a statement.

The LNG supply from Qatar would be equivalent to about 5 percent of Malaysia's current annual domestic natural gas demand, the statement said.

Qatar, the world's biggest LNG exporter, can produce up to 77 million tonnes of LNG a year.

MRC

(Reuters) - Oil futures slipped below USD 118 a barrel after a breakdown of budget talks in the Congress over the weekend helped drive investors away from volatile and risky assets on Monday.

Worries about a U.S. credit rating downgrade or even default curbed optimism about global economic growth, after last week's preliminary solution to the euro zone debt crisis helped propel Brent to as high as USD 118.80 a barrel on Friday.

Brent crude for September was 80 cents lower at USD 117.87 a barrel at 0940 GMT, after falling by more that USD 1 earlier in the session.

U.S. oil was 57 cents lower at USD 99.30, paring losses of more than USD 1 but off a six-week high of USD 99.87 on Friday.

MRC

(Reuters) -- Japan's naphtha imports for the petrochemical sector fell 11% in June from the same month a year earlier, government figures showed on Friday. Imports of naphtha for ethylene production amounted to 1,713,009 kilolitres (1,168,908 tonnes) last month, the Ministry
of Economy, Trade and Industry said in a statement.

That compared with 1,928,831 kl (1,332,042 tonnes) in the same month last year and 1,619,287 kl (1,115,771 tonnes) in May. June imports cost USD 1.189.683.994, compared with USD 1.132.898.318 in May, the data showed.

MRC