Russia may raise oil product export duty to 85-90% of oil in 2011

(Platts) -- Russia is considering an increase in export duties for oil products to 85%-90% of the duty for crude oil possibly starting from 2011, in a move aimed at making crude and products exports equally profitable, the country's deputy finance minister Sergei Shatalov said late Tuesday.

At the same time, he added that the figures were preliminary and the ministry was yet to calculate them more thoroughly. At present, export duty for oil products are less than that for crude oil.

Meanwhile, Shatalov did not rule out the changes could be introduced as soon as in 2011. "[It depends] on how fast we're prepared for it and how fast we agree on the matter with Kazakhstan and Belarus," Shatalov was quoted as saying by RIA Novosti.

A trilateral customs union of Russia, Kazakhstan and Belarus that took effect in July, is intended to pave the way for a single economic space with no internal duties, which is targeted to take effect in January 2012.

MRC

(Bloomberg) -- BASF SE, the world's biggest chemical maker, raised its profit goal for 2010 after recovering markets helped lift third-quarter profit beyond analysts' estimates.

The German company sees a ⌠good business development in the fourth quarter, with full-year earnings before interest, tax and special items exceeding 8 billion euros ($11 billion), Ludwigshafen, Germany-based BASF said in a statement today.

Revenue is expected to reach 63 billion euros. Analysts predicted 61.4 billion euros, according to a Bloomberg survey.

BASF is benefiting from higher prices and recovering demand for its basic petrochemicals and plastics after a spate of shutdowns in the industry curbed supplies. The company has spent more than 30 billion euros on acquisitions to diversify its product offering and expand in faster-growing Asian markets.

Analysts predicted BASF would announce record earnings in 2010. The company is scheduled to report detailed earnings on Oct. 28.

MRC

(Arabian Oiland Gas) -- Saudi Basic Industries Corporation (SABIC) is expected to take a decision regarding the expansion of Arabian Industrial Fibers Company (Ibn Rushd), located in Yanbu, Red Sea coast of the Saudi Kingdom, by the year end, according to Mohammed Al-Madi, CEO of the company.

Ibn Rushd's complex in Yanbu, produces aromatics, purified terephthalic acid, which is used in making polyester, and polyester staples. After the expansion, Ibn Rushd's PTA capacity would rise to 700,000 t/y from the current 350,000 t/y.

The expansion will also raise output capacity of polyethylene terephthalate to 750,000 tp/ from 330,000 t/y.

MRC

(Arabian Oiland Gas) -- Iran has exported its first petrochemical shipment to Egypt as part of a new agreement with two countries in this field, according to Reza Hamzehlou, managing director of Iran Petrochemical Commercial Company.

⌠The final stages of negotiations between Iran and Egypt were going on for exporting 5 main petrochemical products including polypropylene, urea fertiliser, methanol, polymer grades and parazyline, The Mehr News Agency reported.

In addition, talks have started in the ALBA region (Latin America) with countries such as Venezuela, Ecuador, Bolivia and Brazil for the exporting of Iranian petrochemical products to these countries.

Iranian petrochemical products represent 25.8% of the Middle East's total export and 2.4% of the global output.

It also plans to produce 44 million tonnes of petrochemicals by the end of the current year.

MRC

(Kunststoffe) -- BASF SE, Ludwigshafen, Germany, has announced plans to build a production facility for customer specific antioxidant blends (CSB) in Bahrain, Saudi-Arabia.

The new CSB plant will come in addition to the existing tolling agreement for CSB with Astra Polymer in the Kingdom of Saudi-Arabia, which is mainly supplying local customers.

As the world's leading Plastic Additives supplier, BASF is committed to support polymer growth in the Middle East Region with local production as well as the services that customers demand.

MRC