Fire hits Lukoil refinery in Russia

MOSCOW (MRC) -- A fire erupted at a refinery of Russia's No. 2 oil producer Lukoil in the city of Perm in the Urals region, a local branch of the company, Lukoil Permnefteorgsintez said on Friday, reported Reuters.

The fire was localised at around 0300 GMT and an open combustion was extinguished two hours later, Lukoil's press service said on the local emergency service website.

As MRC informed previosly, in early February 2017, the Antimonopoly Committee of Ukraine gave permission for the mediated purchase of plant Karpatneftekhim from the Russian group Lukoil to the Ukrainian. The Antimonopoly Committee gave permission for the purchase of a 75% stake in Lukoil Chemical B.V. (Netherlands), which owned 100% of LLC "Karpatneftekhim" (Kalush, Ivano-Frankivsk region). According to the committee, the company Techinservice Limited (London, UK) was allowed to sell more than 25% of the Dutch Chemical Lukoil to the Ukrainian citizen through Xedrian Holding Ltd (Cyprus) - more than 50% Lukoil Chemical. And in late February 2017, Lukoil completed the sale of Karpatneftekhim, Ukraine's largest producer of polymers.

Lukoil is one of the leading vertically integrated oil company in Russia. The main activities of the company include operations for exploration and production of oil and gas, production and sale of petroleum products. Lukoil is the second largest private oil Company worldwide by proven hydrocarbon reserves. In Lukoil structure includes one of the largest Russian and Ukrainian petrochemical industries Stavrolen and Karpatneftekhim.
MRC

Total halts production at Feyzin refinery in France due to strike

MOSCOW (MRC) -- French oil and gas company Total said on Friday it was gradually shutting down production at its 117,000-bpd Feyzin refinery and petrochemical platform near Lyon in the east of France due to a strike, said Reuters.

Some 190 workers at the refinery, which employs around 600, began the strike on Thursday evening after talks with management reached a deadlock over bonuses and other issues, a spokeswoman for the company said.

Talks are ongoing with the Force Ouvriere, the dominant trade union at the refinery which called the strike, but it was unclear when the strike will end, the spokeswoman said.

The union could not be reached for comment.

The shutting down and restart of a refinery takes several days. Total said there was no risk of fuel and products shortage because it will continue to supply clients from other sources.

The company, Europe's biggest refiner, operates five refineries in France.
MRC

Honeywell UOP installs China largest propane dehydrogenation unit

MOSCOW (MRC) -- Honeywell announced the commissioning and operation of the largest operating single-train propane dehydrogenation unit in China, said Hydrocarbonprocessing.

Yantai Wanhua Polyurethanes Group Co. Ltd., is using Honeywell UOP's C3 Oleflex process technology to convert propane into 750,000 metric tpy of propylene, the primary component used for making plastics, packaging and synthetic fibers. With this unit, the global production capacity of Oleflex technology is now approximately 6.8 MMtpy.

"As China's largest Oleflex unit, this represents a significant expansion in the country's propylene capacity and a big step toward meeting local demand for propylene," said Mike Millard, vice president and general manager of Honeywell UOP's Process Technology and Equipment business. "No other technology works as efficiently and produces as much high-quality propylene as the Oleflex process."

China consumes more than 15% of the world's propylene and its demand is growing more than 4% per year, according to the US Energy Information Administration.

Since 2011, Honeywell UOP's Oleflex technology has been chosen for 40 of the world's 47 new propane and isobutane dehydrogenation projects licensed worldwide.

In addition to technology licensing, Honeywell UOP provided the engineering design, equipment, staff training, technical service and catalyst for the project. The Oleflex unit is part of a large complex that also includes Honeywell UOP LPG hydrotreating technology, a Butamer C4 isomerization unit, and PSA, or pressure swing adsorption, units to produce high-purity hydrogen.
MRC

Turkmenbashi GPP sold 7,500 tonnes of PP at Commodity Exchange of Turkmenistan in early May

MOSCOW (MRC) -- The next export trades at the State Commodity and Raw Materials Exchange of Turkmenistan were held in the first three days of May. 7,500 tonnes of polypropylene (PP) were sold, as per ICIS-MRC Price report.

On 1 May, Turkmenbashi Gas Processing Plant's 11,500 tonnes of PP were put up for auction at the State Commodity and Raw Materials Exchange of Turkmenistan at the starting price of USD960/tonne FCA/FOB port of Turkmenbashi.

Buying activity in the trades was not as high as in April. However, about 7,500 tonnes of PP to be shipped within 4-6 months were contracted at the starting price in the first three days of the trades.

As reported earlier, in April, Turkmenbashi GPP's 45,000 tonnes of PP were put up for auction in the export trades of the State Commodity and Raw Materials Exchange of Turkmenistan. The put up for action PP was aimed for shipment within 9 months at the starting price of USD960/tonne FCA/FOB port of Turkmenbashi. 33,500 tones of PP were sold at the Commodity Exchange for the whole month.
MRC

CNPC loads first crude oil into Myanmar-China pipeline

MOSCOW (MRC) -- China's state-owned refiner China National Petroleum Corp (CNPC) said it has loaded the first crude oil through its Myanmar-to-China pipeline, the latest step towards supplying crude to its new refinery in Yunnan province, reported Reuters.

Some 1,150 cubic meters per hour of crude flowed into the 480-mi pipeline from Tuesday, CNPC said in a statement on Tuesday.

The move comes almost a month after the first tanker carrying 140 Mt of crude started discharging into the pipeline following the official launch.

CNPC's PetroChina plans to import overseas oil and pump it through the pipeline to supply its new 260,000-bpd Anning refinery in landlocked Yunnan province.

The pipeline starts at Kyauk Phyu in Myanmar's west and enters China at the border city Ruili and is a joint investment by CNPC and the Myanmar Oil and Gas Enterprise.

As MRC informed earlier, China National Petroleum Corporation (CNPC) will join UzIndoramaGazChemical, a joint venture that will build a USD2.5 bln complex to produce polyethylene at the Mubarek Gas Refinery in Uzbekistan's Kashkadarya region. CNPC had signed a memorandum to join Uzbek national oil and gas company Uzbekneftegaz and Singapore's Indorama Group in the joint venture.

China National Petroleum Corporation operates oil and gas assets in Africa, Central Asia/the Russian Federation, America, the Middle East, the Asia-Pacific, and other regions. The company engages in hydrocarbon exploration and production operations in onshore and offshore areas; operates refineries and petrochemical enterprises that produce crude oil products, such as gasoline, diesel fuel, kerosene and lube oil, etc.; and manufactures and supplies chemical products, such as synthetic resins, fibers, rubber, urea, organic/inorganic chemical products.
MRC