Zhejiang Weibo to resume production at DOP plant

MOSCOW (MRC) -- China's Zhejiang Weibo Chemical is likely to restart a dioctyl phthalate (DOP) plant, according to Apic-Online.

A Polymerupdate source in China informed that the plant is likely to restart on August 18, 2013. The plant was shut briefly.

The reason behind the plant’s closure could not be ascertained.

Located in Jiaxing, Zhejiang province, China, the plant has a production capacity of 100,000 mt/year.

As MRC reported earlier, another Chinese DOP producer Dongying Yimeide restarted its dioctyl phthalate (DOP) plant in early August. It was shut for a maintenance turnaround. Located in Shandong province, China, the plant has a production capacity of 100,000 mt/year.
MRC

MOSCOW (MRC) -- Czech downstream oil group Unipetrol (PKN Orlen's affiliate) had informed that on 14 August 2013, Ceska Rafinerska and the Slovak national pipeline operator Transpetrol signed a pipeline transportation contract that determines new tariffs for crude oil transportation to the Czech Republic through the Slovak branch of the Druzhba Pipeline for the year 2014, reported the company on its site.

Russian Export Blend Crude Oil (REBCO) from the Russian Federation is transported through the Druzhba Pipeline to the Litvinov refinery in the Czech Republic which is owned and operated by Ceska Rafinerska. The part of the Druzhba Pipeline located on theterritory of Slovakia is owned and operated by Transpetrol.

Positive impact on Unipetrol Group full-year 2014 EBITDA is estimated at around CZK 17m compared to the year 2012.

As MRC wrote previously, Unipetrol expects petrochemicals to become the largest source of revenue for the company in 2013-2017. Unipetrol wants to use the favourable market conditions to reinforce its position on the petrochemical market and optimise its operations. Thus, the company is preparing a number of modernisation projects: construction of new polyethylene and DCPD units, de-bottlenecking of polypropylene production. It also intends to continue the restructuring process (revamping of the residual oxidation unit (POX), possible closure of the ammonia unit). By 2017, the Company plans to increase the capacity utilisation of the pyrolysis plant by 13%, and improve sales of petrochemical products by 11%, to 1.4m tonnes.

Unipetrol , a.s. is a group of companies operating in the petrochemical industry in the Czech Republic. In 2005 Unipetrol became a part of the PKN ORLEN Group, the largest oil processor in Central Europe. The UNIPETROL Group is oriented mostly towards oil processing, fuel distribution and petrochemical production. In all of these business areas the Unipetrol Group is among the key players both in the Czech Republic and on the Central European market. The Group ranks among the leading firms in the Czech Republic in terms of its revenues, and employs almost 4,000 people.
MRC

MOSCOW (MRC) -- Evonik Industries, the German specialty chemicals company, has announced a significant expansion of its Jurong Island, Singapore oil additives plant, to be completed in early 2015, according to the company's press release.

With ongoing improvement and debottlenecking projects scheduled to be finalized during the first half of 2014, these optimizations and the planned expansion will nearly double the capacity of the oil additives plant in Singapore.

Evonik’s initiative is a response to the above-average growth in the oil additives market due to expanding mobility and increasing demand for high-performance lubricants with higher additive content in Asia.

"As a market and technology leader in high-performance additives, we’re strengthening our position in Asia. Our expansion strategy supports the growth of our customers directly from a modern, efficient local production center, with logistics that make a contribution to resource efficiency at the same time," says Dr. Thomas Haeberle, Executive Board member of Evonik with responsibility for the company’s Resource Efficiency segment.

From 2015, the plant in Singapore will be the largest of six oil additive production sites owned by Evonik.

Evonik markets its oil additives under the brand name VISCOPLEX. Designed to improve productivity and fuel efficiency, they are a key component of formulated finished lubricants used in the automotive industry and other industrial applications.

We remind that, as MRC reported earlier, in June 2013, Evonik edching a new generation of PVC plasticizers under the ELATUR product brand. With this strategic portfolio expansion, Evonik is consistently developing its range of sustainable plasticizers. Besides, recently Evonik Industries has developed and launched on the market a novel combination of bio-based high-performance polyamides and bio-based high-performance fibers.

Evonik Industries is an industrial corporation in Germany and one of the world's leading specialty chemicals companies. Company's specialty chemicals activities focus on high-growth megatrends, especially, health, nutrition, resource efficiency, and globalization, and on entering attractive future-oriented markets. In 2012 Evonik generated sales of EUR13.6 billion and an operating result (adjusted EBITDA) of EUR2.6 billion.
MRC

MOSCOW (MRC) -- A number of international companies are suspending operations in Egypt as three days of violent clashes make the streets unsafe in Cairo, reported Africanseer.

AB Electrolux, General Motors Co., Royal Dutch Shell PLC, Toyota Motor Corp., Suzuki Motor Corp., BASF Corp. and others shut down factories and offices and told thousands of workers to stay at home.

German chemicals giant BASF will not reopen its Egyptian operations after the weekend because of the violent political protests in the country.

"The safety of our employees has top priority. We are observing the situation carefully. All our employees are fine. The offices have been closed since yesterday," a spokeswoman for the world’s largest chemical maker said.

BASF has about 100 employees based in Egypt, with offices in Alexandria and Cairo and a plant producing construction chemicals in Sadat City.

Most of the companies will remain closed through the end of the Egyptian weekend on Saturday. Many said they would assess the situation Saturday evening to determine if it’s safe enough for workers to return Sunday.

We remind that, as MRC wrote previously, BASF is implementing its global strategy in Asia Pacific with a set of ambitious targets and a focus on sustainability. To achieve sales of EUR25 billion to customers in the region by 2020, BASF’s Asia Pacific strategy "grow smartly" outlines investments of EUR10 billion, around 9,000 new jobs, and annual savings of EUR1 billion.

BASF is the world’s leading chemical company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas. We combine economic success with environmental protection and social responsibility. BASF had sales of EUR72.1 billion in 2012 and more than 110,000 employees as of the end of the year.
MRC

MOSCOW (MRC) -- Abundant supplies of natural gas from shale have created significant economic opportunities for the U.S. chemical industry that could result in USD71.7 billion in new investments and more than 530,000 permanent new jobs, according to a new report from the American Chemistry Council (ACC), said Canplastics.

The report is based on a detailed examination of the 97 chemical industry projects that have been announced as of March, 2013, ACC said. It explains that the USD71.7 billion in capacity expansion will engender an additional USD66.8 billion in chemical industry output, a 9% gain above what otherwise would have been the output in 2020.

The report predicts that nearly USD30 billion of the expenditures will go towards purchasing processing-related equipment. Twenty six percent will be allocated to major process equipment and products such as pumps, pressure vessels, heat exchangers, compressors, etc. Another 8% will be spent on process instrumentation, 5% on valves and piping and 4% on electrical equipment.

The report further predicts that USD12 billion will be spent in 2014 and another USD15 billion will be invested in 2015. By 2020, the report concluded, these projects can lead to 46,000 new chemical industry jobs, another 264,000 jobs in supplier industries and 226,000 “payroll induced” jobs in communities where workers spend their wages, and can generate USD20 billion in federal, state and local tax revenue. Nearly 1.2 million additional, temporary jobs can be created between 2010 and 2020, during the capital investment phase.

"The U.S. has become a magnet for chemical industry investment, a testament to the favorable environment created by America's shale gas as well as a vote of confidence in a bright natural gas outlook for decades to come," said ACC president and CEO Cal Dooley. “The large number of foreign chemical firms investing in the U.S. is unprecedented in recent history and underscores that nowhere else in the world is the outlook as bright when it comes to natural gas.”

As MRC wrote before, favorable oil-to-gas price ratios driven by the production of natural gas from shale will drive a renewed US competitiveness that will boost exports and fuel greater domestic investment and economic growth within the business of chemistry.

MRC