Sovcomflot, Novatek sign partnership agreement on LNG shipping

MOSCOW (MRC) -- PAO Sovcomflot and PAO Novatek have signed a strategic partnership agreement to jointly develop the logistical support for the Yamal LNG, Arctic LNG-2 and other projects of NOVATEK, as per Compelo.

This agreement continues the strategic partnership between the two Russian companies, to develop an efficient logistics solution for shipping oil and gas products within Russia Arctic seas, optimising the number of vessels deployed as well as their technical specifications.

The partnership agreement was signed by Sergey Frank, President and Chief Executive Officer of PAO Sovcomflot, and Leonid Mikhelson, Chairman & CEO of PAO Novatek.

To ensure the highest quality of shipping services, whilst maintaining good control of capital expenditure and operating expenses, a centralised fleet management structure is envisaged, operating to unified technical management standards.

PAO Sovcomflot and PAO Novatek have a long history of cooperation. In 2010, the tanker SCF Baltica became the first large-capacity vessel to transit the Northern Sea Route with a cargo of gas condensate for Novatek. The aim of that pioneering voyage was to evaluate the ability to export products on the year-round basis across the Northern Sea Route, both East and Westbound. Both Sergey Frank and Leonid Mikhelson were onboard during this voyage.

In 2014-2016 the partners successfully implemented the construction project for Christophe de Margerie, the world’s first Arctic LNG carrier. In December 2017, this vessel transported the first cargo of gas from the Yamal Peninsular. During this work, a unique experience has been gained of operating vessels within the challenging conditions of the Kara Sea and the Gulf of Ob throughout the year.

Sergey Frank, CEO of PAO Sovcomflot, stated: "Working with Novatek on this new strategic partnership, which is of a major national economic significance, our experts will bring to the table their specialist knowledge and engineering expertise. Their skills have been honed, tried and tested over many years of efficient and safe operation of ice-breaking tankers – vessels purpose built for Sovcomflot to provide the mission critical logistics for major oil and gas projects in Russia’s Arctic, comprising Varandey, Prirazlomnoye, Novy Port, and Yamal LNG.
MRC

MOSCOW (MRC) -- Acent Resources along with its subsidiaries will acquire certain natural gas and oil assets in the Utica shale play in the Appalachian Basin from Hess, CNX Resources, Utica Minerals Development, and an undisclosed fourth seller for a total price of around USD1.5bn, as per Compello.

Through the multiple transactions, Ascent Resources will add nearly 113,400 net leasehold acres, and royalty interests on around 69,400 fee mineral acres, spread across the three hydrocarbon windows in the over-pressured core of the Utica Shale.

Hess and CNX Resources have agreed to sell their joint venture interests in the shale play in eastern Ohio, comprising about 39,000 net acres including 26,000 net undeveloped acres, for a sum of about USD400m.

According to Ascent Resources, the overall acquisitions complement its existing assets and support extended lateral lengths while improving its capital efficiency further and also its exposure to liquids.

Ascent chairman and CEO Jeff Fisher said: “The properties are largely contiguous with the Company’s existing acreage and will allow us to further improve capital efficiency by drilling longer laterals, capturing cost and marketing synergies, and adding premium, near-term drilling locations with a high net revenue interest.

"Additionally, the Acquisition solidifies the Company’s position as a low-cost producer, expands our operating margins and maintains our current expectations to achieve positive free cash flow in 2019."

The acquisition involves 93 operated wells and net production close to 216MMcfe/d, out of which 19% are liquids. It will also include over 380 gross incremental horizontal well locations and an increased working interest in over 900 gross horizontal well locations, said Ascent Resources.

The proved reserves and total resources of the assets involved in the acquisition are about 1.1 Tcfe and 5.6 Tcfe, respectively, with scope for further upside through development optimization, said the company.

MRC

MOSCOW (MRC) -- From January 1st, 2019 HELM will market a major share of propylene produced at the German refineries PCK Schwedt, MiRO Karlsruhe and Bayern Oil Vohburg, as per the company's press release.

Rosneft Deutschland, a Rosneft subsidiary, has a significant shareholding in these companies, which are among the most modern refineries in Europe.

Propylene is used in the chemicals industry in various products including polypropylene, oxo-alcohols and acrylic acid.

Rosneft Deutschland Managing Director Brian Chesterman said: “We look forward to the cooperation with HELM in our marketing and sales business. Arranging distribution of petrochemical products from PCK, Bayernoil and MiRO refineries is another step in the development of the Company’s business activities in Germany."

HELM AG Executive Manager Feedstocks Fried Hansen commented: “I am very pleased with this collaboration. Thanks to our extensive network of customers and suppliers as well as our highly efficient logistics we are able to off-take and market propylene reliably."

Rosneft Deutschland GmbH manages feedstock supplies to Rosneft shares in PCK, MiRO and Bayernoil refineries as well as sales of refined products. Rosneft is the third largest crude oil refiner in the German market with a total refining throughput of approximately 12.5 million tons per year, representing more than 12% of the processing capacity in Germany. The three German refineries that Rosneft has a share in are amongst the most advanced refinery facilities in Western Europe. The average conversion rate of Rosneft‘s capacities in Germany is 93%, average Nelson complexity index is 9.1.Rosneft maintains the competitive position of its refineries by enhancing product yields and continually investing to increase reliability and efficiency. The company is developing its activities in order to be a reliable and competitive supplier of quality fuels in the German market.

HELM AG is a Hamburg, Germany based family company established in 1900. HELM is one of the world’s largest chemicals marketing companies. The Company secures access to the world’s key markets through its specific regional knowledge and over 100 branches, sales offices and participations in over 30 countries. As a multifunctional marketing organization HELM is active in the chemicals industry (Feedstocks and Derivatives), in the crop protection industry, in active pharmaceutical ingredients, pharmaceuticals and in the fertilizer industry. HELM AG has a total of 1,521 employees.

MRC

MOSCOW (MRC) -- Evonik has launched new membrane for efficient natural gas processing - SEPURAN NG is an especially robust, hollow-fiber membrane, which is based on a high-performance plastic that can withstand extreme pressure and temperatures, as per the company's press release.

This enables particularly selective separation of the sour gases from the natural gas, high tolerance of the higher hydrocarbons contained in the natural gas, and consistently high performance of the membrane throughout its lifetime. Overall, Evonik’s innovative separation technology features significantly increased recovery of methane, which has a corresponding effect on the profitability of natural gas processing plants.

The modular structure of SEPURAN NG has been designed for conventional, membrane-based natural gas processing plants so that, during the membrane exchange, no further adaptations are required to the existing equipment. For this purpose, Evonik is working together with established, world-leading gas separation companies that support plant operators in process implementation in order to make the most of the advantages of the new membranes.

The membrane is designed for the challenging process conditions of natural gas processing with complex gas compositions and typical pressure and temperature conditions up to 70 C. It can be used particularly effectively in natural gas sources with a high concentration of carbon dioxide because, under these conditions, the separating properties of the membrane remain intact.

Evonik’s SEPURAN product family includes innovative membranes for biogas upgrading, nitrogen generation, and helium and hydrogen processing. They are produced at the Evonik site in Schorfling (Austria). The basic material - the high performance plastic - is manufactured in the neighboring Evonik site in Lenzing. The new SEPURAN NG membrane for natural gas processing rounds off the product portfolio.

As MRC informed before, in late June 2018, the technology company The Linde Group and the specialty chemicals company Evonik Industries concluded an exclusive cooperation agreement on the use of membranes for natural gas processing. The two companies will jointly promote membrane technology - Evonik on the membrane and polymer side and Linde’s Engineering Division as the system integrator for the complete membrane package units. Evonik’s established membrane technology will serve as the basis. The joint product will be marketed by Linde as the "HISELECT powered by Evonik" high-performance membrane package unit.

Evonik, the creative industrial group from Germany, is one of the world leaders in specialty chemicals. Its activities focus on the key megatrends health, nutrition, resource efficiency and globalization. Evonik benefits specifically from its innovative prowess and integrated technology platforms. Evonik is active in over 100 countries around the world.
MRC

MOSCOW (MRC) -- BP and Xin Feng Ming Group (Xinfengming) have entered into an agreement to license BP's latest generation purified terephthalic acid (PTA) technology to Dushan Energy, a subsidiary of Xinfengming, for a new PTA plant to be built in Pinghu, Zhejiang Province, China, as per Apic-online.

Dushan plans to set up a 2.2-million-t/y PTA unit at Dushan Port Economic Development Zone. Basic design of the unit has been completed and construction on the site has started. Production is expected to begin in the third quarter of next year.

In addition, BP and Xinfengming have signed a memorandum of understanding to deepen strategic cooperation along the polyester raw materials value chain and Xinfengming intends to deploy BP technologies for all of its future PTA and related investments.

Xinfengming Group Co.,Ltd. manufactures and sells polyester yarns in the People’s Republic of China. It offers FDY, POY, DTY, DT color, and polyester chips. The company provides moisture absorption and sweat discharging fiber; warm hollow fiber; fire proof fiber; bamboo charcoal fiber; lat fiber; and antibacterial fiber. It also markets its products in Turkey, Egypt, Vietnam, South Korea, Pakistan, Spain, Italy, and internationally. The company was founded in 2000 and is based in Tongxiang, the People’s Republic of China.
MRC