Sudan, S.Sudan start talks with Russia company on refinery

MOSCOW (MRC) - Sudan and South Sudan have begun negotiating with a Russian company to build a refinery on the Red Sea for both countries’ benefit, Sudan’s state news agency SUNA said on Wednesday, citing Sudan’s oil minister, said Reuters.

The agency did not identify the Russian company, and no further details were immediately available.

As MRC informed earlier, Trinity Energy subsidiary A&A Oil and Gas Ltd has been awarded a licence to build a 50,000 bpd refinery near the Paloich oilfield, around 350 km from the border with Ethiopia. Preliminary feasibility studies have been carried out by Amec Foster Wheeler and Engineers India Ltd (EIL). East Africa imports roughly 15 million tpy of petroleum products mostly from Asian refineries. Trinity is planning to build a modular 25,000 bpd facility that can be quickly scaled up the capacity in multiples of 25,000 bpd.
MRC

McDermott awarded polypropylene technology contract in India

MOSCOW (MRC) -- McDermott International, Inc. announced that it has been awarded a sizeable technology contract by HPCL Rajasthan Refinery Ltd. (HRRL) for the license and basic engineering design of two 490 KTA polypropylene plants in Pachpadra Tehsil, Barmer District, Rajasthan, India, as per the company's press release.

The plants will use Lummus' proprietary NOVOLEN process reactors and proprietary NHP catalyst to produce a full range of leading polypropylene products for the Indian and regional markets.

"This is the largest Novolen licensed polypropylene award to date, and the largest polypropylene plant in India," said Daniel M. McCarthy, Executive Vice President of McDermott's Lummus Technology business. "Our process includes a high degree of flexibility to adjust to market demand, and HRRL will enjoy the full benefits of economies of scale and technology capability for this world-scale plant."

McDermott's Lummus Technology is a leading licensor of proprietary petrochemicals, refining, gasification and gas processing technologies, and a supplier of proprietary catalysts and related engineering. With a heritage spanning more than 100 years, encompassing approximately 3,100 patents and patent applications, Lummus Technology provides one of the industry's most diversified technology portfolios to the hydrocarbon processing sector.

This award was reflected in McDermott's third quarter 2018 backlog.

McDermott defines a sizeable contract as between USD USD1 million and USD50 million.

McDermott is a premier, fully integrated provider of technology, engineering and construction solutions to the energy industry.
MRC

TechnipFMC wins EPCM contract for expansion of Neste’s renewable refinery in Singapore

MOSCOW (MRC) -- TechnipFMChas been awarded a significant Engineering, Procurement support and Construction management services (EPCM) contract by Neste Corp. for the expansion of their renewable products refinery in Singapore, according to Chemical Engineering.

This project will increase the overall Neste Singapore Refinery renewable products production by up to 1.3 million tons per year and includes TechnipFMC’s steam reforming technology.

This expansion aims at meeting the market demand for renewable products. The production process is based on Neste’s proprietary NEXBTL state-of-the-art technology.

Nello Uccelletti, President of TechnipFMC’s Onshore-Offshore business, stated: "This award demonstrates our long-standing relationship with Neste, established in 2007, with the delivery of two world-scale renewable fuels units in Rotterdam and Singapore. We are proud to support Neste in the quest for renewable products, as well as collaborate with this client on a leading-edge technology. This confirms the interest by both parties to embrace the energy transition supported by today’s market trend."

As MRC wrote before, in June 2016, Technip, a world leader in project management, engineering and construction for the energy industry announced the acquisition of Hummingbird ethanol to ethylene technology from BP Chemicals.

Technip is a world leader in project management, engineering and construction for the energy industry.
Present in 45 countries, Technip has state-of-the-art industrial assets on all continents and operates a fleet of specialized vessels for pipeline installation and subsea construction.

Exxon Mobil secured U.S. hardship waiver from biofuels laws

MOSCOW (MRC) - The U.S. Environmental Protection Agency granted oil major Exxon Mobil Corp a financial hardship waiver this year temporarily freeing its Montana refinery from U.S. biofuel laws, three sources familiar with the matter told Reuters.

Exxon, which reported earnings of almost USD20 billion in 2017, became the largest known company to be awarded a such a waiver by the Trump administration’s EPA under a program meant to protect the smallest fuel facilities from going bust.

Farm-state lawmakers have complained that the hardship waivers are being overused in a way that is killing demand for corn-based ethanol, and they were likely to criticize the waiver awarded to one of the world’s biggest and most profitable companies.

The U.S. Renewable Fuel Standard requires refiners to blend biofuels like ethanol into their fuel each year or buy compliance credits from competitors that do. But it allows the EPA to exempt plants of less than 75,000 barrels per day if they show complying would cause financial hardship.

The EPA has vastly expanded the program under President Donald Trump, but is reviewing how it handles further requests as it seeks to balance the competing interests of refiners and ethanol producers. Exxon’s waiver was granted before the review began, and covers its 60,000 barrel-per-day refinery in Billings, Montana, for the 2017 compliance period, said the sources, who asked not to be named.

EPA spokesman Michael Abboud declined to comment on whether the refinery received a waiver, but pointed out that the waiver program requires the agency only to consider the financial situation of the refinery and not its owner.

“This was a decision Congress made when drafting the Renewable Fuel Standard and EPA implements the small refinery exemption program consistent with that explicit direction,” he told Reuters in an emailed statement.

ExxonMobil declined to comment. Reuters reported earlier this year that Andeavor (MRO.N) and Chevron (CVX.N), both large and highly profitable refiners, were also granted recent EPA exemptions for their small facilities.

The EPA keeps the identities of companies receiving waivers secret, arguing the information is business sensitive. But the agency recently began publishing the numbers of exemptions granted. It said it awarded 29 exemptions to small refineries in 2018 for the 2017 compliance year so far, up from 19 for 2016 and just seven for 2015.
MRC

Cabinet of Ministers of Ukraine extended restrictions on trading activity with Russia for one more year

MOSCOW (MRC) -- At its Tuesday meeting, the Cabinet of Ministers of Ukraine extended the embargo on shipments of a number of goods from the Russian Federation and the import duty on other Russian goods, introduced in 2016 in response to Russia's trade bans and restrictions regarding Ukraine, until 31 December, 2019, according to the website of the Ministry of Economic Development and Trade of Ukraine.

The government of Ukraine made this decision without discussion.

According to the decision of the Government of Ukraine dd. 30 December, 2015, as part of the response measures, the import duty established by the Customs Tariff of Ukraine have been applied to all goods originating from Russia since 2 January, 2016. At the same time, the preferential treatment with respect to the Russian Federation (free trade) was cancelled due to the violation of the agreement on a free trade zone dd. 18 October, 2011 by the Russian Federation.

Thus, the Cabinet of Ministers made changes to its resolution dd. 30 December, 2015 No. 1147 "On the prohibition of imports of goods originating from Russia into the customs territory", according to which it was extended until 31 December, 2019 (inclusive).

According to this decree, a complete ban was introduced on imports of such goods originating from the Russian Federation as of 10 January, 2016: vodka, confectionery, meat, chocolate and chocolate candies, baby food, fish, processed cheeses, beer, filter cigarettes, dog and cat food, and a number of other food items. Equipment for railways or tramways, diesel-electric locomotives was also banned.

And in 2017, additional items, such as polyethylene (PE) with a specific density of 0.94 or more, as well as polyvinyl chloride (PVC), not mixed with other substances; ammonium sulfate, a mixture of ammonium nitrate with calcium carbonate or other inorganic substances that are not fertilizers were included in the list.

At the same time, it is envisaged that this act will become null and void from 1 January, 2020, or after the cessation of the use of discriminatory and unfriendly actions by Russia in relation to Ukraine.

As reported earlier, that in May 2018, Ukraine imposed sanctions on Russian oil companies Rosneft, Lukoil and a number of Gazprom subsidiaries. This is stated in Annex No. 126 dd. 2 May, 2018, to the decision of the National Security and Defense Council (NSDC), published on the website of the President of Ukraine. According to the document, the blocking of assets, the restriction of trade operations and the prevention of the withdrawal of capital outside Ukraine are applied in relation to these companies. Restrictions were imposed for a period of 3 years.
MRC