Gazprom Export LLC signed contracts to supply helium from the Amur GPP

MOSCOW (MRC) -- Gazprom Export LLC in the beginning of 2018 completed the bidding procedure to sell helium from the Amur gas processing plant (Amur GPP). This resulted in the signing of the long term sales and purchase agreements (SPA) and the allocation of the vast part of the Amur GPP Helium quantities among the largest global industrial gas companies, as per Yourpetrochemicalnews.

The procedure was held in 2016–2017 with the support of Gazprom Marketing and Trading Ltd. ‘In addition to natural gas rich fields of Eastern Siberia allow to produce such a valuable product as helium, which is needed by many industries. We are glad that growing demand for the products from Amur GPP – the world’s largest helium production facility – resulted in conclusion of long-term contracts’, Director General of Gazprom Export Elena Burmistrova noted.

The logistic infrastructure for the transportation and treatment of helium containers on the Russian territory, including Helium Hub in Primorsky Kray, will be built up and operated by Gazprom Gazenergoset Helium LLC. Once prepared for exports, the helium containers will be delivered from the Russian Far East ports to the global markets.

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Celanese raises March VAM prices in Asia

MOSCOW (MRC) -- Celanese Corporation, a global technology and specialty materials company, has increased list and off-list selling prices for Vinyl Acetate Monomer (VAM) sold in Asia, said the producer in its press release.

The price increases below was effective as of 9 March 2018, or as contracts otherwise allow, and were incremental to any previously announced increases.

Thus, VAM prices were raised, as follows:

- by Rb200/mt - for China;
- by USD50/mt - for Asia outside China.

As MRC wrote previously, Celanese Corporation last increased its list and off-list selling VAM prices in Europe, the Middle East and the Americas on 1 February, 2018. The price increase was, as stated below:

- by EUR50/mt - for Europe and the Middle East;
- by USD0.05/lb - for USA and Canada;
- by USD100/mt - for Mexico and South America.

Celanese Corporation is a global technology leader in the production of differentiated chemistry solutions and specialty materials used in most major industries and consumer applications. Based in Dallas, Celanese employs approximately 7,600 employees worldwide and had 2017 net sales of USD6.1 billion.
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Ningbo Fortune to bring on-stream PDH plant in China

MOSCOW (MRC) -- Ningbo Fortune Petrochemical has planned to restart its propane dehydrogenation (PDH) plant following an unplanned outage, as per Apic-online.

A Polymerupdate source in China informed that the company is likely to resume operations at the plant in mid-March 208. The plant was taken off-line in early-February 2018 owing to a fire.

Located in Ningbo city, Zhejiang province of China, the plant has a propylene production capacity of 600,000 mt/year.

As MRC wrote previously, in late October 2016, Ningbo Fortune Petrochemical started up its new PDH unit and 400,000 tonnes polypropylene (PP). The newly build PP plant can produce PP raffia-grade S1003, BOPP film-grade F1002B, textile-grade S2040, fiber-grade S2025, and co PP K8003, K4912, etc.

Ningbo Fortune Petrochemical Co.,Ltd. is a wholly owned subsidiary of Oriental Energy Co., Ltd. (OE). With a registered capital of 1 billion RMB, Ningbo Fortune Petrochemical Co.,Ltd.is located in Ningbo Daxie development park, adjacent to our Ningbo storage base.
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Chevron Phillips Chemical starts up new ethane cracker in Baytown

MOSCOW (MRC) -- ?Chevron Phillips Chemical Company LP has announced that it has successfully introduced feedstock and commenced operations of a new ethane cracker at its Cedar Bayou facility in Baytown, Texas, as per the company's press release.

At peak production, the unit will produce 1.5 million metric tons/3.3 billion lbs. per year. This unit will be one of the largest and most energy efficient crackers in the world. In September 2017, the company announced the successful commissioning and start-up of two new Marlex polyethylene units in Old Ocean, Texas, based on the company’s proprietary MarTech technologies. Together, these assets form the bulk of the company’s U.S. Gulf Coast Petrochemicals Project (USGCPP), which was first announced in 2011.

"Construction of these world-scale assets has been ongoing since 2014 and today, we are entering a new era of growth," said Mark Lashier, president and CEO of Chevron Phillips Chemical. "With global demand for ethylene and polyethylene poised for sustained long-term growth, the U.S. Gulf Coast Petrochemicals Project will allow Chevron Phillips Chemical to deliver high-quality products to our customers across the country and around the globe."

Ethylene produced by the new ethane cracker at Cedar Bayou will be used to meet the needs of the company’s derivative units, including the two new polyethylene units at Old Ocean, Texas, which are capable of producing a wide variety of products, ranging from metallocene linear low-density polyethylene to Advanced Dual Loop bimodal polyethylene resins. These resins are turned into consumer and industrial products such as plastic films for food safety and preservation; and polyethylene pipe for water distribution and natural gas transport. In addition, the ethylene will feed the company’s AlphaPlus normal alpha olefins plants which are used extensively for polyethylene comonomers, plasticizers, synthetic motor oils, lubricants, automotive additives, surfactants, paper sizing, and in a wide range of other specialty applications.

"Born from the shale revolution that is providing low-cost feedstock, the U.S. Gulf Coast Petrochemicals Project is the most transformational project in the history of our company,” continued Lashier. "Our company and our growing employee base, the communities we call home, and the entire Gulf Coast region’s economy will benefit for decades to come as our project comes to life."

At peak construction, the USGCPP employed approximately 10,000 construction workers. Combined, it has generated 400 additional permanent jobs.

As MRC reported previously, in June 2017, Chevron Phillips Chemical successfully completed a low viscosity polyalphaolefins (PAO) capacity expansion at its Cedar Bayou plant in Baytown, Texas. The 20% capacity expansion enables the company to meet the increasing demand for lubricants in automotive and industrial applications. Chevron Phillips Chemical develops and produces PAOs, marketed under the brand name Synfluid PAO, which are used for a variety of applications including engine oils, gear oils and greases.

Headquartered in San Ramon, California, Chevron Corporation is the the second-largest integrated energy company in the United States and among the largest corporations in the world. Chevron is involved in upstream activities including exploration and production, downstream activities including refining, marketing and transportation, and advanced energy technology. Chevron is also invested in power generation and gasification processes.

Phillips 66 is a diversified energy manufacturing and logistics company with a portfolio of integrated businesses: Midstream, Chemicals, Refining, and Marketing and Specialties. The company processes, transports, stores and markets fuels and products globally. Phillips 66 Partners, its master limited partnership, is an integral part of the portfolio.
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ExxonMobil plans to double annual earnings by 2025

MOSCOW (MRC) -- ExxonMobil has set out its goal to double its annual earnings and cash flow from operations by 2025, through increased investments, as per Refiningandpetrochemicals.

The firm aims to acheive double-digit rates of return in its three business segments including upstream, downstream and chemical. ExxonMobil chairman and CEO Darren Woods said: “We’ve got the best portfolio of high-quality, high-return investment opportunities that we’ve seen in two decades.

“Our plan takes full advantage of the company’s unique strengths and financial capabilities, using innovation, technology and integration to drive long-term shareholder value and industry-leading returns."

ExxonMobil said that the growth plans include steps that would increase profit by more than 100% to USD31bn in 2025 at current crude oil prices. The firm reported an adjusted USD15bn profit in 2017. In the upstream segment, the company intends to undertake number of growth initiatives including low-cost-of-supply investments in US tight oil, deepwater and LNG.

Woods said: "We are in a solid position to maximize the value of the increased Permian production as it moves from the well head to our Gulf Coast refining and chemical operations, where we are focusing on manufacturing higher-demand, higher-value products."

For downstream business, the firm intends to upgrade its product slate through strategic investments at refineries in Baytown and Beaumont in Texas, and Baton Rouge, Louisiana, as well as in Rotterdam, The Netherlands; Antwerp, Belgium; Singapore, and Fawley in the U.K. ExxonMobil expects the downstream margins to increase by 20% by 2025.

It also projects the manufacturing capacity in North America and Asia Pacific for chemical business by to increase about 40%. The plans for an increase in capacity will be achieved by launching 13 new facilities, including two steam crackers in the US.

Woods further said: "Our existing business and plans for growth are robust to a wide range of price environments, allowing us to maintain a growing dividend and a strong balance sheet while returning excess cash to our shareholders," said Woods.
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