CNPC, PDVSA to begin construction on USD 9.08bn refinery in China

(refiningandpetrochemicals) -- State-run China National Petroleum Corp (CNPC) and Petroleos de Venezuela SA (PDVSA) will begin construction work late this month to build a new USD9.08bn refinery in Jieyang, China.

The 400,000 barrels-per-day (bpd) refinery will process Venezuelan heavy oil, thereby tripling oil sales from the South American nation to the world's second-largest oil user.

A CNPC planning official was quoted by Reuters as saying construction will take three to four years to complete.

CNPC will own 60% and PDVSA 40% respectively in the refinery project, which secured approval from China's environment watchdog and the state cabinet.

This will be the CNPC's second project, following the start up its 200,000-bpd Qinzhou refinery in Guangxi in 2010.

CNPC along with its partners Qatar Petroleum and Royal Dutch Shell are also considering a 400,000-bpd refinery and a 1.2 million ton-per-year ethylene complex in Taizhou in Zhejiang province.

China Petrochemical Corp, which operates refineries through China Petroleum and Chemical Corp, is a fuel supplier in China.

MRC

(refiningandpetrochemicals) -- KazMunaiGas Exploration Production (KMG EP) has completed the sale of a 51% stake in Kazakhstan Petrochemical Industries (KPI) for a total value of USD33.5m.

KMG EP's board of directors has approved the deal. KPI operates the construction of the first integrated petrochemical complex in Atyrau region.

The sale of the stake in KPI is part of the company's strategy to divest non-core assets, including those related to petrochemicals by 2020.
MRC

(plasteurope) -- Sweden has revealed plans to ban bisphenol A (BPA) from baby food packaging from the beginning of 2013. The new legislation will apply to jars, bottles and formula containers aimed at children under the age of three. With these restrictions, the government stopped short of farther-reaching plans proposed in a joint report of the Swedish Chemicals Agency suggesting that the chemical be phased out in epoxy resin liners for cans and water pipes by the end of 2012.

Government authorities said the quick phase-out was not legally feasible, especially as it could be in conflict with EU legislation that banned BPA in baby bottles from the end of 2011.

It was recently revealed that four EU member states, including the UK, the Czech Republic, Spain and The Netherlands, had filed objections to the French plans. Italy and Slovakia additionally are said to have addressed some concerns, with all objectors contending that stricter regulations in France would be a barrier to trade within the single market. Observers note also that the US could be expected to launch legal action to protect its juice and beer exports.
MRC

(plasteurope) -- A new technical centre has been opened by Dow Formulated Systems, a business unit of Dow Chemical (Midland, Michigan / USA), at its UK facility located in Birch Vale, Derbyshire. The application and customer service centre has been established to facilitate growth in Dow's engineering elastomers and other specialty PU systems markets. It will enable customers to rapidly test and scale-up new products that utilise Dow technology.

"Our new application development centre further enhances Dow's customer service across Europe," said Paul Fitzgerald, marketing manager Engineering Elastomers. "We are committed to providing customers with fast solutions and our new technical service and demonstration centre allows us to do this by offering customers the benefit of trialling products without putting their production on hold."

The new UK facility is the third recent investment by Dow in its polyurethane businesses. In November 2011, it inaugurated a new research and development centre at its PU systems house in Correggio / Italy. This is operating as a global R&D centre for PU foams and composites for Dow's formulated systems, polyurethanes and automotive businesses, as well as a laboratory for the local technical and commercial organisation of the Italian systems house, employing about 70 people.
MRC

(plasteurope) -- Thailand's Indorama Ventures (IVL, Bangkok) restarted its PET plant in Lopburi / Thailand after it was forced to stop production in September because of floods. Output will be ramped up and full operating rates are expected in May 2012, the company said.

IVL said its Petform packaging arm, which is co-located with the PET plant, is expected to come online shortly afterwards.

The Lopburi PET plant has capacity to produce 178,000 t/y, and produces mainly bottle grade PET for fast-moving consumer goods companies in Thailand. IVL also can turn out 91,000 t/y of PET at its site in Rayong, on Thailand's east coast.
MRC