Saudi Aramco hires former Shell executive for chemicals business

MOSCOW (MRC) -- Olivier Thorel has joined Saudi Aramco effective Jan. 1, 2018, as executive director for the company’s Chemicals business, reported Hydrocarbonprocessing.

Thorel joined Shell in France in 1990 and held various positions in the Chemicals business in manufacturing, sales, marketing, supply chain, and as global general manage, based in France, the Netherlands, and London until 2006.

He then led the global base oil business and thereafter became vice president of supply, distribution and Shell pipelines for North America, based in Houston. Over the past four years, Olivier has led various parts of the Shell Chemicals business as vice president of Global intermediates, and then vice president of Chemicals Asia, Ventures and New Business Development, based in Singapore.

Thorel graduated in 1988 from Ecole Polytechnique (science and economics) and holds a master’s degree in Finance from Universite Paris-Dauphine. He completed an executive MBA at Insead in 2002. Olivier is French, married and father of four children. He originates from Corsica and is a passionate skier.

As MRC wrote previously, Saudi Arabia changed the status of its national oil giant Aramco to a joint-stock company as of Jan. 1, in a key step for an initial public offering (IPO) planned for later this year.

Saudi Aramco is an integrated oil and chemicals company, a global leader in hydrocarbon production, refining processes and distribution, as well as one of the largest global oil exporters. It manages proven reserves of crude oil and condensate estimated at 261.1bn barrels, and produces 9.54 million bbl daily. Headquartered in Dhahran, Saudi Arabia, the company employs over 61,000 staff in 77 countries.
MRC

MOSCOW (MRC) -- A vessel that may be carrying liquefied natural gas from Russia's new Yamal LNG export terminal could be heading to the United States despite sanctions against the company that operates the Russian facility, according to a report by S&P Global Platts and Thomson Reuters shipping data.

The tanker Chris. De Margerie picked up a cargo from Novatek PAO's Yamal facility, Russia's second LNG export terminal, on Dec. 9 and dropped it off at National Grid Plc's Isle of Grain LNG facility near London on Dec. 28, according to Thomson Reuters data.

Since then, Engie SA's Gaselys LNG tanker picked up LNG from the UK facility on Dec. 30 and is expected to arrive in Boston on Jan. 22.

It is possible that some of the LNG on the Gaselys is from Yamal, according to a report by S&P Global Platts. Reuters has not independently verified that report, but the shipping data does show the routes the tankers are taking. The final destination could change.

Carol Churchill, a spokeswoman for Engie, which bought the cargo in the United Kingdom and loaded it onto one of its vessels, said: "This transaction is compliant with all U.S. trade laws."

"Given the exceptionally cold temperatures and resulting high gas demand in the U.S. Northeast, Engie purchased this spot cargo to supplement our other contracted supplies from Trinidad," Churchill said. Engie owns the Everett LNG import terminal near Boston.

Churchill did not answer a question about whether any of the gas came from Russia.

National Grid said customer confidentiality limited what information it could disclose.

"But I also believe we told people at the time that the gas from the Christophe de Margerie had not entered the UK grid," said Sean Kemp, said a spokesman for National Grid, directing further questions to the shippers and owners.

The U.S. Energy Department was not immediately available for comment.
MRC

MOSCOW (MRC) - Oman’s government has signed to obtain 81 million Omani rials (USD210 million) of financing from Saudi Arabia for one of its key industrial projects, in a deal that could help to ease concern about the health of the sultanate’s finances, said Hydrocarbonprocessing.

The money will come from the Saudi Fund for Development, a state agency, to support work at Duqm, where Oman is building a multi-billion-dollar industrial zone on its southern coast, the official Oman News Agency (ONA) said late on Thursday.

Oman, whose debt is rated junk by Standard & Poor‘s, is running a state budget deficit of about $8 billion due to low oil prices. Saudi Arabia and other wealthy Gulf states promised in 2011 to provide $10 billion of aid to Oman, but the money has been slow to come and only a fraction has been disbursed. This week’s deal for aid to Duqm may reassure investors that Oman can continue to count on Saudi financial support, even though Muscat has taken different positions than Saudi Arabia on some major diplomatic issues.

For example, Oman maintained close ties with Iran as tensions between Tehran and Riyadh escalated last year, and the sultanate has expanded business ties with Qatar since Saudi Arabia imposed an economic boycott on Doha last June.

The 81 million rials of aid for Duqm is part of the USD10 billion regional programme, ONA said without giving financial details. Twenty million rials will go towards building a road and 61 million rials towards developing Duqm’s fishing harbour. Oman plans to make Duqm a major centre for its fishing and fish processing industries, in addition to building an oil refinery, a petrochemical complex and a wide range of manufacturing facilities in the zone.

ONA quoted Yousef bin Ibrahim al-Bassam, managing director of the Saudi fund, as saying it had also allocated USD150 million to finance the growth of smaller companies in Oman, and would extend the aid in cooperation with Oman Development Bank.
MRC

MOSCOW (MRC) - Rescue crews were forced to retreat from a stricken Iranian oil tanker in the East China Sea on Wednesday following an explosion on the ship as a fire raged for a fourth day after a dramatic collision, said Hydrocarbonprocessing.

The blast happened on board the tanker in the afternoon after rescue crews were dousing the ship with foam in an attempt to put out the fire, China's Transport Ministry (MOT) said in a statement on Wednesday.

The cause and damage to the tanker from the incident were not clear. The ship was carrying condensate, a highly flammable ultra-light crude, to deliver to South Korea when it collided with a Chinese freight ship on Saturday.

Dozens of rescue boats from China and South Korea have been battling strong winds, high waves and poisonous fumes to comb a 900-square-nautical-mile (3,100-square-kilometre) area for 31 missing sailors and tame the fire, amid growing concerns the listing ship may explode or sink. Iran's Navy joined the effort on Wednesday, a government official said, according to the Iranian Students' News Agency (ISNA). The lashing winds are expected to ease on Thursday, the MOT said.

The tanker Sanchi (IMO:9356608), run by Iran's top oil shipping operator, National Iranian Tanker Co, collided on Saturday with the CF Crystal (IMO:9497050), carrying grain from the United States, about 160 nautical miles (300 km) off China's coast near Shanghai. The Sanchi was carrying 136,000 tonnes of condensate, equivalent to about 1 million barrels and worth some USD60 million.

The Chinese government said late on Tuesday it had not found a "large-scale" oil leak, and the condensate was burning off or evaporating so quickly that it would leave little residue - less than 1 percent - within five hours of a spill. That reduces the chances of a crude-style oil slick.
MRC

MOSCOW (MRC) — Seven naphtha crackers in Japan are expected to be shut in 2018 for scheduled maintenance, industry and company sources said, as per Reuters.

That is up from three crackers that underwent planned maintenance shutdowns last year as turnarounds that are conducted once every two or four years usually concentrate in even-numbered years, the sources said.

Mitsubishi Chemical plans to shut its 539 Mtpy naphtha cracker from May 9 to July 3, followed by a scheduled restart on July 4, a company spokesman said.

Other ethylene manufacturers operating crackers include oil refiner JXTG Nippon Oil & Energy, and Osaka Petrochemical Industries Ltd, a wholly owned unit of Mitsui Chemicals.

Keiyo Ethylene is 55% owned by Maruzen Petrochemical Co and 45% by Sumitomo Chemical Co. Maruzen Petrochemical is a subsidiary of Cosmo Energy Holdings.

Tonen Chemical Corp is part of JXTG group. Showa Denko and Tosoh Corp also operate naphtha crackers. Asahi Kasei Mitsubishi Chemical Ethylene Corp, a 50–50 JV of Asahi Kasei Chemicals and Mitsubishi Chemical, operates a naphtha cracker in Mizushima, western Japan.
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