Pertamina appoints Sinopec unit for crude oil processing

MOSCOW (MRC) -- Indonesian state oil and gas company PT Pertamina has appointed a unit of China's Sinopec to process crude oil from Iraq, Daniel Purba, a senior vice president said, as per Reuters.

Unipec will process 1 MMbbl of Iraqi crude oil per month at a refinery in China from July to December, Purba said.

"They gave the best offer, better than the previous refinery in Singapore," he said.

As MRC informed earlier, Pertamina and Russia's Rosneft signed a framework deal this week on an oil refinery in Indonesia. Pertamina has been looking for a development partner for the USD12-billion Tuban refinery project.

Pertamina is an Indonesian state-owned oil and natural gas corporation based in Jakarta. It was created in August 1968 by the merger of Pertamin (established 1961) and Permina (established 1957). Pertamina is the world's largest producer and exporter of liquefied natural gas (LNG).

China Petrochemical Corporation (Sinopec Group) is a super-large petroleum and petrochemical enterprise group established in July 1998 on the basis of the former China Petrochemical Corporation. Sinopec Group's key business activities include the exploration and production of oil and natural gas, petrochemicals and other chemical products, oil refining.
MRC

MOSCOW (MRC) -- Lanzhou Petrochemical, part of PetroChina, has undertaken an emergency shutdown at its low density polyethylene (LDPE) plant, as per Apic-online.

A Polymerupdate source in China informed that the company has halted operations at the on May 22, 2017 owing to mechanical issues. The exact duration of the unplanned outage could not be ascertained.

Located in Gansu province, China, the plant has a production capacity of 200,000 mt/year.

As MRC wrote previously, another subsidiary of PetroChina - Jilin Petrochemical - is in plans to its LDPE plant off-stream for a maintenance turnaround in mid-June 2017. The plant is expected to remain shut for around 15 days. Located in Jilin province, China, the plant has a production capacity of 275,000 mt/year.

Lanzhou Petrochemical Company engages in oil refining and fertilizer and ethylene production. The company was founded in 1960 and is based in Lanzhou, China. Lanzhou Petrochemical Company operates as a subsidiary of PetroChina Co. Ltd.
MRC

MOSCOW (MRC) -- LyondellBasell, one of the world's largest plastics, chemicals and refining companies has announced that it has received five top safety awards from the American Fuel and Petrochemical Manufacturers (AFPM), said the producer in its press release.

The AFPM's Distinguished Safety Awards (DSA) recognize a superior level of personal and process safety performance in the domestic refining and petrochemical manufacturing industries. The awards were announced at the AFPM National Safety Conference in New Orleans.

"At LyondellBasell, we firmly believe that a strong safety culture ultimately delivers stronger operational performance," said Bob Patel, LyondellBasell's CEO. "This award isn't just about a company accomplishment; it's far bigger than that. This is really about our employees going home safely every day. In my view there is no higher priority."

LyondellBasell's Lake Charles Plant in Westlake, La., received the 2016 Distinguished Safety Award, the highest award given by AFPM. The Lake Charles Plant is one of only four in the industry to receive the prestigious award for the year.

The Elite Gold Safety Award, which recognizes facilities with safety performance in the top one percentile, was presented to LyondellBasell's La Porte, Texas, facility, and the Elite Silver Safety Award, which recognizes facilities with safety performance in the top five percent, was presented to the company's Edison, N.J., Tuscola, Ill., and Alvin, Texas, facilities.

The AFPM Safety Awards Program is part of a comprehensive safety program developed by AFPM's Safety and Health Committee to promote accident prevention in the petroleum refining and petrochemical manufacturing industries.

As MRC informed before, in august 2016, LyondellBasell made the final investment decision to build a high density polyethylene (HDPE) plant on the US Gulf Coast. The plant will have an annual capacity of 1.1 billion pounds (500,000 metric tons) and will be the first commercial plant to employ LyondellBasell's new proprietary Hyperzone PE technology. The start-up of the new plant is scheduled for 2019.

LyondellBasell is one of the world's largest plastics, chemical and refining companies. The company manufactures products at 57 sites in 18 countries. LyondellBasell products and technologies are used to make items that improve the quality of life for people around the world including packaging, electronics, automotive parts, home furnishings, construction materials and biofuels.

MOSCOW (MRC) -- Imports of polypropylene (PP) into Ukraine decreased by 6% n the fist four months of 2017 year on year, totalling about 37,100 tonnes. Several grades of PP copolymers accounted for the increase in shipments, according to a MRC's DataScope report.

April PP imports to Ukraine due to the export restrictions from some European and Middle Eastern producers, decreased to 8,700 tonnes against 10,300 tonnes a month earlier. Overall imports of propylene polymers reached 37,100 tonnes in January-April 2017, compared to 39,300 tonnes a year earlier. The main increase occurred for PP block copolymers, while demand for PP random copolymers and homopolymer PP declined.

Structure of PP supplies over the reported period looked as follows.

Ukraine's imports of homopolymer PP dropped to 6,400 tonnes in April, compared with 7,800 tonnes in March. Ukrainian companies faced further restrictions of PP supply from Europe and Middle East. Overall shipments of homopolymer PP reached 28,600 tonnes in the first four months of 2017 versus 30,500 tonnes a year earlier.

April imports of PP block copolymers were about 900 tonnes, compared to 1,100 tonnes a month earlier. The reduction in supply was a result of limited export quotas from European producers. Imports of PP block copolymers into the country were about 3,800 tonnes in January-April, compared with about 3,600 tonnes year on year. Local pipes producers accounted for the greatest increase in demand.

April imports of PP random copolymers remained practically at the level of March and reached 1,200 tonnes as local companies increased supply of pipe PP grades, while purchases of injection moulding PP random copolymers decreased. Overall imports of PP random copolymers reached 4,000 tonnes in January-April, whereas this figure was slightly over 4,500 tonnes a year earlier.

Overall imports of other propylene copolymers were about 770 tonnes over the stated period.

MRC

March PP imports into Belarus grew to 9,400 tonnes from 6,300 tonnes a month earlier, local companies significantly increased their purchasing of injection moulding propylene homopolymer (homopolymer PP) and statistical propylene copolymer (PP random copolymer). Overall imports of propylene polymers reached 22,000 tonnes in January-March 2017, compared to 20,400 tonnes a year earlier. Demand for all PP grades increased, but propylene copolymer accounted for the greatest growth.

The supply structure by PP grades looked the following way over the stated period.

March imports of homopolymer PP to the Belarusian market rose to 6,300 tonnes from 4,200 tonnes a month earlier, with injection moulding homopolymer PP accounting for the main increase in shipments. Overall shipments of homopolymer PP reached 14,700 tonnes in the first three months of 2017 versus 14,100 tonnes a year earlier. Russian producers, with the share of 85% of the total shipments, were the key suppliers.

March imports of propylene copolymers into Belarus grew to 3,100 tonnes from 1,700 tonnes a month earlier. The largest producer of injection moulding packaging raised its purchasing of injection moulding PP random copolymer in Russia. Thus, overall imports of propylene copolymers exceeded 7,200 tonnes in January-March 2017, whereas this figure was 6,200 tonnes a year earlier. Russian producers, with the share of about 73%, were also the main suppliers of propylene copolymers.

MRC