Chevron approves USD37bn Kazakhstan oilfield expansion

MOSCOW (MRC) -- A USD36.8bn expansion of the Tengiz oilfield in Kazakhstan, the largest investment by private sector oil companies this decade, has been given the go-ahead by Chevron of the US, bucking the trend of delays and cancellations resulting from the slump in crude prices since mid-2014, said The Financial Times.

The green light for the plan is a rarity at a time when oil companies worldwide have been slashing capital spending and holding back on new commitments to large developments in particular. The decision to go ahead is a sign of the importance of Kazakhstan to Chevron's long-term future.

The investment will add 260,000 barrels a day of crude to production at Tengiz. That would increase the output at TCO, the Chevron-led consortium that runs the field, by 44 per cent from its average of 595,000 b/d last year. The expansion is scheduled to deliver oil from 2022.

The industry’s expected spending between 2015 and 2020 has dropped by about USD1tn, or 22 per cent, since 2014, according to Wood Mackenzie, the consultancy.

Chevron is cutting its planned capital spending from nearly USD42bn in 2013 to a planned USD25bn this year. It has several mega-projects coming on stream between 2014 and 2017, including the giant Australian liquefied natural gas plants Gorgon and Wheatstone, and it has set a strategy of shifting towards smaller, more flexible investments.

The TCO consortium is 50 per cent owned by Chevron, 25 per cent by ExxonMobil, 20 per cent by KazMunaiGas, Kazakhstan’s state oil company, and 5 per cent by Lukoil of Russia.

In terms of additional production, the Tengiz expansion is comparable to the large commitments to increased capacity at the Shaybah and Khurais fields in Saudi Arabia made by Saudi Aramco, the national oil company, in 2013.

In terms of the investment by private sector companies, it is larger than any of the other big oil and gas projects approved this decade, including BP’s USD28bn expansion of the Shah Deniz gas development in Azerbaijan, and Total and Novatek's USD26.9 Yamal LNG plant in Russia, both given the go-ahead in 2013,

MRC

Toyota first to use plasma-coated polycarbonate of Sabic in rear quarter window

MOSCOW (MRC) -- Toyota’s special edition 86 GRMN sports car is the first production vehicle to feature a rear quarter window in polycarbonate (PC) material with a plasma-coat solution designed to deliver the highest level of durability performance, as per the company's press release.

The car’s rear quarter window is injection molded with LEXAN resin, an optically clear and lightweight-enabling PC material from SABIC. The window is about 50% lighter compared to a conventional glass solution.

Until now, manufacturers have produced rear quarter windows in PC using wet-coat only solutions. Depending on vehicle type and passenger position, wet-coat solutions can meet industry requirements for weatherability and abrasion resistance at that window location. In some cases though, a higher level of performance is required to meet driver visibility needs.

Because Toyota wished to achieve regulatory requirements at a global level, the Japan-based OEM turned to EXATEC plasma technology from SABIC. This flexible glass-like coating is deposited on top of a base wet coat to enhance performance. Applying this advanced coating made it possible to meet Toyota’s high quality requirements.

SABIC contributed materials and development expertise to the 86 GRMN window program.

"We are proud to have supported Toyota and its Tier suppliers with this first-to-market, plasma-coated rear quarter window on a very special car," said Scott Fallon, SABIC’s automotive business leader. "No other technology is available today with the same level of durability for PC-glazed windows than this plasma solution. It is a good example of the superior value that we can deliver to today’s automakers as they strive to build light, stylish and well-finished vehicles."

EXATEC plasma coating technology from SABIC can make it possible for PC-glazed windows, where regulations allow for their use, to meet legislated driver visibility requirements.

For larger PC-glazed surfaces like backlights and sunroofs, weight savings of up to 50 percent can be possible, helping automakers to improve fuel efficiency and lower emissions.

The 86 GRMN rear quarter window is Toyota’s first use of SABIC’s plasma-coat solution for a commercially available vehicle.

We remind that, as MRC reported earlier, in 2014, SABIC announced two LEXAN sheet solutions for aircraft interiors. These innovative, new offerings - clear LEXAN XHR2000 sheet and LEXAN LIGHT F6L300 sheet - will help provide solutions to airlines’ quest for differentiated cabin interior designs while also helping to take out significant weight, resulting in a more fuel efficient aircraft. Design engineers will benefit from these lightweight, durable materials which can help to reduce system costs, offer ease of fabrication and comply with the industry’s strict regulatory standards.

Saudi Basic Industries Corporation (Sabic) ranks among the worldпїЅs top petrochemical companies. The company is among the worldпїЅs market leaders in the production of polyethylene, polypropylene and other advanced thermoplastics, glycols, methanol and fertilizers.
MRC

Arkema reports changes in its Executive Committee

MOSCOW (MRC) -- Effective 1st September 2016, following Bernard Pinatel’s departure from the Group, Christophe Andre and Vincent Legros will be joining Arkema’s Executive Committee, said the producer on its site.

Responsibility for the High Performance Materials segment will be split into two: Christophe Andre will be appointed Executive Vice President Technical Polymers and Performance Additives (filtration, organic peroxides and photocure resins activities). He will also be in charge of digital affairs within the Group. Vincent Legros will be appointed Executive Vice President Specialty Adhesives (Bostik).

Alongside Thierry Le Henaff (Chairman and Chief Executive Officer), Arkema’s Executive Committee will therefore comprise three operational Executive Vice Presidents: Marc Schuller (Industrial Specialties and Coating Solutions segments), Christophe Andre (Technical Polymers and Performance Additives) and Vincent Legros (Bostik), as well as four functional Executive Vice Presidents: Luc Benoit-Cattin (Industry), Bernard Boyer (Corporate Strategy), Michel Delaborde (Human Resources and Communication), and Thierry Lemonnier (Finance).

As MRC reported earlier, on 6 July, Bostik, the specialty adhesives business line of Arkema, developed its cementitious product manufacturing capacities, based on its world-class Polymer Modified Binder (PMB) technology, with the opening of a new plant in Helsingborg, Sweden. As a leading global adhesive specialist for construction, consumer and industrial markets, Bostik is extending its presence to serve growing market demand in Northern Europe and the Baltic region.

Bostik develops high-performance and high-value-added bonding and sealing products for the nonwoven, industrial, construction, and consumer markets. Bostik employs about 4,900 people across 48 production facilities - 18 in Europe, 10 - in North America, 8 - in Asia, 6 - in Australia and New Zealand, 2 - in Africa, and 4 - in South America.

Arkema is a leading European supplier of chlorochemicals and PVC. Kynar and Kynar Flex are registered trademarks of Arkema Inc.
MRC

DuPont celebrates new machinery at its technical centre in Meyrin

MOSCOW (MRC) -- DuPont Performance Materials recently unveiled a new 3D suction blow moulding machine - model ST Aspi Seco by ST Blow Moulding - at its European technical centre in Meyrin, Switzerland, as per GV.

According to DuPont, the project included the installation of a USD 1.1 million 3D suction blow moulding machine for the production of Hytrel and Zytel blow moulded air ducts, as well as a rubber injection moulding press and moulds for Vamac rubber sleeve and moulded air ducts.

The investment is the outcome of a strategic collaboration with S. T. Soffiaggio Tecnica S. r. l., a machine manufacturer based in Switzerland and Italy. DuPont says it has been working closely with S. T. Soffiaggio Tecnica over the past eight years to design the technology to respond to automotive customers’ challenges and give shape to smart design capabilities to effectively replace metal and reduce car weight.

The new machine is suitable for the production of parts with materials in monolayer, coextrusion or SeCo (Sequential Coextrusion). It is equipped with two 60 mm extruders, two accumulator heads with 1 liter and 1.5 liter, respectively, and a coextrusion head. This is already the second blow moulding machine supplied by St Blow Moulding, after the first was delivered in 2010.

One of the drivers behind the expansion of the technical centre is the increasing customer demand for lightweight polymers that offer good performance and are cost-efficient, says DuPont. In addition, the air duct market is growing rapidly to meet the need for turbo-charged engines that help the automotive industry comply with ever more stringent emission reduction requirements, says the company.

"DuPont’s investment stands for its commitment to cutting-edge technology developed in Switzerland to serve global customers" said Patrick Schriber, Director General DuPont Switzerland. "DuPont is a key actor for cutting-edge innovation in Geneva, fully committed to local development projects," added Pierre Maudet: "I am pleased DuPont continues to see the value in having the centre in Meyrin, and developing innovative new products here."

"We look forward to using the 3D processing machine to further tailor our products from design to production. Being able to customise the plastic processing has meant we can address the needs of the customer and deliver unique solutions. Our emphasis on design, materials and processing solutions reflects our holistic approach to collaborating with customers," said Olivier Magnin, Technical Director at DuPont European technical centre of Meyrin.

As MRC reported earlier, Dow Chemical Co. and DuPont Co., two historic giants of U.S. industry, will join in an all-stock merger of equals that’s the first step in a plan to create three new highly-focused businesses. The deal, the largest ever in the chemicals industry, will create a USD130 billion company that combines products from both Dow and DuPont in the areas of agriculture, commodities chemicals and specialty chemicals to create the new businesses. The agreement, percolating since at least February, comes after two years of pressure from activist investors who argued that shareholders of both companies would realize greater value if they were broken up.

DuPont is an American chemical company that was founded in July, 1802. The company manufactures a wide range of chemical products, leading extensive innovative research in this field. The company is the inventor of many unique plastics and other materials, including neoprene, nylon, Teflon, Kevlar, Mylar, Tyvek, etc. DuPont was the developer and main producer of Freon used in the production of refrigeration equipment.
MRC

Trinseo to increase July prices for latex binders in North America

MOSCOW (MRC) -- Trinseo, a global materials company and manufacturer of plastics, latex and rubber, has announced that effective July 18, 2016 or as contract terms permit, the company is increasing the prices of all styrene butadiene latex products sold into the carpet, paper, and performance latex markets in North America, said the producer on its site.

The increase will be USD0.05/wet lb (USD0.11/kg or USD110/tonne) for all styrene butadiene latex products.

This price increase is being driven by increases in raw material and higher transportation costs. The company must implement this price increases in order to offset the rising costs to manufacture and transport its products and to remain a strong and reliable supplier.

We remind that, as MRC wrote earlier, in July, Trinseo announced a price decrease for all polystyrene (PS) grades in Europe. Thus, July contract and spot prices for the products listed below fell, as follows:

- STYRON general purpose polystyrene grades (GPPS), STYRON and STYRON A-TECH high impact polystyrene grades (HIPS) by - EUR80 per metric ton.

Trinseo is a global materials company and manufacturer of plastics, latex and rubber. Trinseo's technology is used by customers in industries such as home appliances, automotive, building & construction, carpet, consumer electronics, consumer goods, electrical & lighting, medical, packaging, paper & paperboard, rubber goods and tires. Formerly known as Styron, Trinseo completed its renaming process in 1Q 2015. Trinseo had approximately USD4.0 billion in revenue in 2015, with 18 manufacturing sites around the world, and more than 2,200 employees.
MRC