Tosoh Guangzhou to shut PVC plant in China

MOSCOW (MRC) -- Tosoh Guangzhou is likely to shut its polyvinyl chloride (PVC) plant for maintenance turnaround, reported Apic-online.

A Polymerupdate source in China informed that the plant is likely to be shut on November 16, 2013. It is likely to remain off-stream for around 5 days.

The intended closure has been attributed to shortage of feedstock.

Located in Guangzhou, China, the plant has a production capacity of 220,000 mt/year.

As MRC informed earlier, Tosoh Corporation announced in September it will construct a plant to produce Rzeta, the company’s new emission-free reactive amine catalyst for polyurethane foams. The plant will be built on the grounds of the ethyleneamine production facilities at the Nanyo complex for an estimated investment of JPY 2 billion (about EUR 15.3 million). Construction of the Rzeta plant is expected to be completed by November 2014.

Tosoh is one of the largest chlor-alkali manufacturers in Asia. The company supplies the plastic resins and an array of the basic chemicals that support modern life. Tosoh's petrochemical operations supply ethylene, polymers, and polyethylene.
MRC

MOSCOW (MRC) -- Yokogawa Electric Corp. has been selected as the main automation contractor for Chevron Phillips Chemical Company LP’s USGC Petrochemicals Project, as per Plastemart.

The project, first announced in March 2011, will include an ethane cracker with capacity to produce 1.5 mln tpa and two new polyethylene facilities, each with an annual capacity of 500,000 tons.

The ethane cracker will be built at Chevron Phillips Chemical’s Cedar Bayou plant in Baytown, Texas, and two polyethylene units will be built at a site in Old Ocean, also in Texas and near Chevron Phillips Chemical’s Sweeny plant.

As the Main Automation Contractor for the project, Yokogawa will supply the control systems, safety systems, remote instrument enclosures, and the analyzer shelters and analytical systems.

As MRC wrote previously, Chevron Phillips Chemical, the petrochemical venture of US oil producer Chevron Corp. and refiner Phillips 66, has recently finalized the sale of its Chinese polystyrene business to Grand Astor Ltd. Nevertheless, Chevron Phillips Chemical says it will maintain its long, committed presence in China and the Asia region through both local and regional manufacturing as well as its extensive marketing network, which provides value-added products to the region including polyethylene, polypropylene, alpha olefins, specialty chemicals, aromatics, engineering polymers and styrenics.

Chevron Phillips Chemica, headquartered in The Woodlands, Texas (north of Houston), US,l is one of the world’s top producers of olefins and polyolefins and a leading supplier of aromatics, alpha olefins, styrenics, specialty chemicals, piping, and proprietary plastics. Chevron and Phillips 66 each own 50% of Chevron Phillips Chemical.
MRC

MOSCOW (MRC) -- Brazilian petrochemical company Braskem and national oil company Petrobras have made no progress towards an agreement on investing in new petrochemical plants at the Comperj site in Rio de Janeiro, according to Plastemart.

Emergence of shale gas as a source for petrochemical feedstock in the US has raised doubts about the competitiveness of the Comperj project.

Petrobras' first refining train at Comperj is due to start operating in mid 2016, but Braskem has delayed a decision on making an estimated USD5 bln investment in new petrochemical production at the site.

According to a report in Valor Economico, Petrobras and Braskem have so far failed to come to an agreement over the pricing of the light feedstock that Petrobras will supply to any new petrochemical plants at Comperj.

An official from Brazil's ministry of trade and development said that the government is looking at ways to reduce the price of natural gas in Brazil. He said that would make Comperj more competitive with petrochemical production in the US. However, according to the report, Comperj would still not be competitive in products such as polyethylene (PE).

Petrobras is the second largest shareholder in Braskem, behind construction giant Odebrecht. Braskem is also looking for incentives from the Brazilian government and the government of the state of Rio de Janeiro before committing to Comperj.

As MRC reported earlier, Braskem is participating in the bidding to acquire the polyvinyl chloride (PVC) assets of Belgium's Solvay in South America. Braskem said the negotiations had not yet concluded and it could not say when they would be completed.

Braskem is Brazil's main producer of polyethylene and polypropylene. In addition with ongoing plants located in both petrochemical complexes, in April 2008 Braskem opened a 300,000 metric ton polypropylene plant in the city of Paulinia (Sao Paulo).
MRC

MOSCOW (MRC) -- Honeywell was selected by the Sinopec Maoming Company for business management and automation technology aimed at rejuvenating and improving operational performance at aging petrochemical plants in Guangdong Province, China, said Hydracarbonprocessing.

Honeywell's Profit Suite R400 process optimization software will be deployed at two of Maoming Company's ethylene-cracking facilities, helping to improve plant performance by increasing energy efficiency, improving flexibility of its operations, and maximizing the plants' yield of high-value products.

The plants have been in operation for more than 50 years and currently produce 1 million tpy of petrochemicals. "Although new petrochemical plants are being built, globally the petrochemical industry is a mature industry, with many plants having been in operation for decades," said Aldous Wong, vice president and general manager for Honeywell Process Solutions in China.

"Honeywell's process optimization solutions can breathe new life into these aging plants, boosting profitability by increasing throughput and yields, improving product quality, and reducing costs," he added.

Ethylene is an important building block for petrochemicals and is primarily used in the manufacture of polyethylene, which, in turn, goes into a wide range of products, such as packaging, detergents, synthetic lubricants and synthetic rubber. In China, about 70% of its polyethylene is used in product packaging.

As MRC wrote before, Sinopec officially commenced operations at its new lubricant facility in Singapore. The lubricant plant, with an initial production capacity of 100,000 tpy, is the company's first direct overseas investment.
MRC

MOSCOW (MRC) -- A Chevron-operated pipeline carrying liquid petroleum gas (LPG) exploded in rural Texas on Thursday after a excavation crew accidentally drilled into it, said Upstreamonline.

The US supermajor confirmed that there had been "an incident" at one of its pipelines near Milford, Texas, at around 9:30 am local time. The company later confirmed local reports, saying an excavation crew was working at the site when the pipeline ruptured.

"Chevron has initiated its emergency response procedures and is currently responding to the incident," the company said in a statement. "Chevron's primary concern at this point is to ensure the safety of its employees and the surrounding community." No injuries were reported. Some residents of Milford, a town of 700, were asked to evacuate. A local fire chief said about 200 students were evacuated from a nearby school district.

The pipeline "has been shut off and residual burn continues", Chevron said, adding that it was monitoring an adjacent LPG line. Chevron is the majority owner of 10-inch, 2295-mile West Texas LPG pipeline system that transports fuel from New Mexico and West Texas to a processing plant in Mont Belvieu, Texas, near Houston, according to Reuters.

Chevron owns 80% of the pipeline system, with Atlas Pipeline Partners on 20%.

As MRC wrote before, Chevron Phillips Chemical, the petrochemical venture of US oil producer Chevron Corp. and refiner Phillips 66, has finalized the sale of its Chinese polystyrene business to Grand Astor Ltd. In the deal, Chevron Phillips is selling its affiliate company Chevron Phillips Chemical (China) Co. Ltd., which owns a polystyrene plant located in Zhangjiagang, China.

Chevron Phillips Chemica, headquartered in The Woodlands, Texas (north of Houston), US,l is one of the world’s top producers of olefins and polyolefins and a leading supplier of aromatics, alpha olefins, styrenics, specialty chemicals, piping, and proprietary plastics. Chevron and Phillips 66 each own 50% of Chevron Phillips Chemical.
MRC