In South Korea petrochemical exports in September grew 30.9% year on year

(ICIS) -- South Korea's petrochemical exports in September grew 30.9% year on year to $3.8bn (┬2.7bn), thanks to a weak won and crude-led spikes in product prices, analysts said on Tuesday.
Strong crude futures boosted the prices of the country's chemical and refined products, according to Hong Chanyang, a petrochemicals industry analyst at Seoul-based Shinhan Investment Corp.
Exporters also benefited from the depreciation of the won, as the South Korean currency tumbled by more than 9 % against the US dollar in September, Hong said. A weaker currency helps a country better compete in the exports market.


South Korea's shipments of most petrochemical products last month increased on a year-on-year basis, data from Korea International Trade Association (KITA) showed.


Exports of ethylene surged by 39% year on year to 67,067 tonnes in September, while overseas shipments of propylene jumped 91% to 93,016 tonnes, according to KITA. For aromatics, exports of benzene rose 29% year on year to 125,461 tonnes, while shipments of toluene increased 13% to 63,296 tonnes, the data showed. Paraxylene (PX) exports, meanwhile, inched up 18% to 154,657 tonnes.


MRC

Chinese CNPC finalised an oil exploration and development deal with the Afghan government

(Arabian oil and gas) -- Chinese state-backed oil firm CNPC has finalised an oil exploration and development deal with the Afghan government, the first in the country's modern history. CNPC beat UK firm Tethys Petroleum for the development of oil resources at Amu Darya in the northern Sar-e Pul province on terms which the Afghan Ministry of Mines has promised to disclose in full in around a months' time.


Amu Darya contains five known fields which together are estimated to hold 80 million recoverable barrels of oil, or 11,000 barrels per day over 20 years, enough make Afghanistan a most oil exporter.


Jalil Jumriany, policy director at the mines ministry, estimates CNPC will invest $200-300 million in the projects in the first few two years.


The US Pentagon's Task Force for Business and Stability Operations for Afghanistan assigned to monitor the bidding process released a statement on the bidding:


MRC

PSU Bharat Petroleum Corporation to further enhance capacity of Kochi Refinery

(Plastemart) -- PSU Bharat Petroleum Corporation (BPCL) plans to set apart Rs 20,000 crore to further enhance capacity of Kochi Refinery (KRL) to 15.5 mln tpa at Ambalamugal and for setting up a petrochemical complex. Talks are underway with the state government. Capacity expansion and modernisation project Phase II of the project at a total cost of Rs 4,000 crore is one of the largest capital investments in Kerala.


A Rs 4,000 crore expanded capacity and modernised facilities of the BPCL-KRL refinery has been unveiled. With the project's completion, the refining capacity has been enhanced to 9.5 mln tpa from 7.5 mln tpa.


MRC

BASF Hock Mining Chemical (China) received approval

(BASF) -- BASF and Ji'Ning Hock Mining & Engineering Equipment Company Limited (⌠Hock) have received approval from all relevant antitrust authorities in China for the formation of BASF Hock Mining Chemical (China) Company Limited. BASF takes a 75% majority stake in the new venture. The company will continue Hock's existing business activities in the field of chemical injection and cavity filling products for coal mining and other underground applications.


⌠With this investment BASF demonstrates its long term commitment to the underground construction and coal mining industry on a global basis. We will bring our best technologies to the industry in China and around the world, said Dr. Tilman Krauch, President Construction Chemicals at BASF. ⌠With its well-established market position and reputation in the coal mining industry, Hock provides both product expertise and a strong customer base. Combined with BASF's technology capabilities, expertise in environment, health, and safety as well as strength in innovation, the new venture is set to be an important partner to local as well as global mining experts. In 2010, Hock had sales of roughly ┬50 million.


While injection technology has been present in European markets such as Germany for the past 30 years, it was only introduced in China 10 years ago. Through chemical injection and cavity filling, substances such as polyurethanes or other construction chemicals can be introduced into fractured rock, sands, gravel or coal to avoid water or gas accumulation and stabilize cavities in tunnels.


MRC

JV between Formosa Petrochemical and Kraton Performance Polymers got approval

(Plastemart) -- The Fair Trade Commission (FTC) has approved a joint venture between Formosa Petrochemical Corp and Kraton Performance Polymers Inc. The joint venture will include the construction of a plant to produce hydrogenated styrenic block copolymer (HSBC). Located in Mailiao, the plant is expected to cost between US$165-200 mln and to be operational by H2-2013. Because Formosa Petrochemical has more than a 25% share of Taiwan's ethylene, propylene and gasoline markets, it had to seek permission from the FTC for the project to go ahead because of monopoly concerns.


As per an FTC statement, although Formosa Petrochemical is the leading provider of petrochemical ingredients, Taiwanese suppliers are still able to import such ingredients from abroad and the deal would therefore not limit their sourcing choices. Further, the joint venture will not lead to any dramatic change in market share and has therefore been approved.


MRC