Maire Tecnimont SpA awarded EPC contract for Borouge new PP unit

MOSCOW (MRC) -- Maire Tecnimont SpA announced that its main subsidiaries have been awarded new contracts and additions to existing contracts for a total value of USD730 million licensing, engineering services and Engineering, Procurement & Construction (EPC), as per Hydrocarbonprocessing.

These contracts were awarded by some of the most prestigious international clients based in Europe, the Middle East, Southeast Asia and the Americas.

Among the new acquisitions, Tecnimont SpA has been awarded an EPC contract by the Abu Dhabi Polymer Company(Borouge) for a new polypropylene unit ( PP5 project )in Ruwais, Abu Dhabi, United Arab Emirates. Borouge is the joint venture between the Abu Dhabi National Oil Company (ADNOC), one of the largest oil & gas companies in the world, and Borealis, an Austrian manufacturer of petrochemical and plastic solutions, an international leader.

The purpose of the work consists of a new polypropylene unit (PP5) and the attached structures, to be integrated into the existing Complex Borouge 3. The Polypropylene Unit will have a maximum capacity of 480,000 tons per year. The completion of the project is expected by the end of 2021.

The Maire Tecnimont Group has supported the development of the Abu Dhabi petrochemical value chain since the end of the 1990s, with the first Borouge complex of polyolefins (Borouge 1) completed in 2001. The Group has completed two further expansion projects. of the complex in 2007 and 2010 (respectively Borouge 2 and Borouge 3). This new EPC contract, which follows the Front End Engineering Design (FEED) phase , already successfully completed by Tecnimont, confirms the Group's great leadership in polyolefins worldwide and further consolidates its presence in one of its historical markets in the Middle East. Orient.

"The United Arab Emirates is our second home and we have a deep knowledge of its market and its players: it is one of the most suitable environments for a technology-driven EPC contractor like our Group" commented Pierroberto Folgiero, CEO of the Group Maire Tecnimont. "We are honored to contribute once again to the Abu Dhabi development plans, and to further strengthen a mutually beneficial partnership with a prestigious client like Borouge."
MRC

MOSCOW (MRC) -- The Iran-aligned Houthi movement in Yemen said that one of its drones had attacked the Saudi state oil company ARAMCO's refinery in Riyadh, according to Houthi-run al-Masira TV, based in Yemen, reported Reuters.

"Our drone air forces have targeted the refinery of ARAMCO company in Riyadh," a tweet on al-Masira account's said.

Aramco earlier said its fire control teams and the Saudi civil defence had contained a limited fire that erupted in the early evening in a storage containers at the refinery.
MRC

June PP imports into Ukraine dropped to 10,800 tonnes from 11,400 tonnes a month earlier, with propylene homopolymers (homopolymer PP) accounting for the main decrease in shipments. Overall imports of propylene polymers reached 60,800 tonnes in January-June 2018, compared to 57,100 tonnes a year earlier. Demand grew only for propylene copolymers, with statistical copolymers of propylene (PP random copolymer) accounting for the greatest increase.

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

June imports of homopolymer PP to the Ukrainian market dropped to 8,000 tonnes from 8,500 tonnes a month earlier. Local films producers reduced their purchasing of film grade homopolymer PP. Overall shipments of homopolymer PP reached 44,000 tonnes in the first six months of 2018, which virtually equalled the last year's figure.

Last month's imports of block propylene copolymers (PP block copolymers) were 1,500 tonnes, compared to 1,300 tonnes in May. Demand for injection moulding propylene copolymers increased from local companies. 6,900 tonnes of PP block copolymers were imported over the stated period, whereas this figure was slightly over 6,100 tonnes a year earlier.

June imports of PP random copolymers did not exceed 1,300 tonnes versus 1,400 tonnes a month earlier, demand for PP subsided from injection moulding products producers. Overall imports of PP random copolymer reached 8,600 tonnes in January-June 2018, whereas this figure was 6,100 tonnes a year earlier.

Overall imports of other propylene copolymers totalled slightly over 1,100 tonnes over the stated period.

MRC

MOSCOW (MRC) -- Qianxi Coal Chemical has shut its monoethylene glycol (MEG) unit for turnaround, as per Apic-online.

A Polymerupdate source in China informed that the company has undertaken an planned shutdown at the unit on mid-July, 2018. The unit is expected to remain under maintenance until early-August 2018.

Located at Qianxi, Guizhou, China, the MEG unit has a production capacity of 300,000 mt/year.

As MRC informed before, in summer 2017, Reliance Industries Ltd (RIL) started up its new MEG plant at Jamnagar by the month end. The production capacity of the new MEG plant is 750,000 mt/annum. The new plant is in addition to the existing 750,000 mt/annum MEG output capacity that RIL has from multiple lines.
MRC

MOSCOW (MRC) -- The sale of a remote Canadian refinery has been scuttled as two former oil traders running the company locked horns over the value of the plant, according to three people familiar with the discussions, reported Reuters.

The partners, former traders Neal Shear and Kaushik Amin, sought to sell the 130,000 barrel-per-day refinery in Come By Chance, Newfoundland last year to privately held Canadian refiner Irving Oil, which was seen as the leading bidder.

The deal fell apart in recent months and is unlikely to be rekindled because Shear and Amin are at odds over the sale price, according to three people familiar with the firm, who spoke on condition of anonymity as the events were private.

Shear was ready to sell to Irving for an undisclosed value that two of the people said was about CD250 million (USD191 million). Amin, however, was pushing for a C$400 million price tag, according to the people. Shear's name has since been removed from the firm's website, and talks with Irving have been put on hold. There are no longer any immediate plans to try to sell the plant, the people said.

Gloria Warren-Slade, communications manager for the Come By Chance refinery, did not respond to a request for comment.

Irving Oil did not respond to requests for comment.

The refinery's value has fluctuated widely over the last 12 years. It was sold for CD1.6 billion (USD1.2 billion) in 2006 and re-sold for CD930 million three years later, but the two bought it in 2014 for just CD97 million due to a slump in world oil prices.

Having paid less than any other buyer of the plant, Amin and Shear wanted to use Come By Chance as a linchpin for later purchases of other fuel shipping infrastructure globally or to sell quickly at a profit.

Come By Chance's value for suitors is hampered by its isolated locale, reducing its access to cheap domestic crude that has boosted margins for Gulf Coast or Midwest refiners, and because it lacks the processing scale of larger refineries.

The refinery's relative proximity to Europe and shorter shipping time to eastern ports in Latin America is an advantage, but it has still been hurt by slimmer margins than other North American refiners.
MRC