ADNOC reaches major milestone with first-ever UAE-produced calcined coke export shipment

MOSCOW (MRC) -- The first-ever shipment of UAE-produced calcined coke has begun its maiden voyage to mainland China. 10,500 tons of calcined coke was loaded by ADNOC Refining, a subsidiary of the Abu Dhabi National Oil Company (ADNOC), onto the M/V Lucky Ocho, a vessel chartered by ADNOC Logistics & Services, to be delivered in Yantai, China by the end of April 2019, said Hydrocarbonprocessing.

The first shipment of this high-value product represents the latest milestone in ADNOC’s effort to reduce production of high-sulfur fuel oil (or ‘residue oil’) – and move towards being a ‘zero-fuel oil’ refining business. ADNOC made zero-fuel oil refining a high priority when the International Marine Organization’s (IMO) 2020 Regulation was first proposed – aimed at reducing the sulfur content contained in marine fuels from 3.5 percent to 0.5 percent – in an effort to limit the potential environmental impact of global shipping fleets.

IMO 2020 is expected to have a profound impact on the global refining and transport fuels industry. ADNOC commissioned, in September 2018, its multi-billion-dollar Carbon Black and Delayed Coker Unit. The Unit – which produced the UAE’s first-ever calcined coke, currently being shipped to China – allows ADNOC to extract the maximum value from sulfur-heavy ‘bottom-of-the-barrel’ oils and slurry, as it delivers on its Downstream strategy.

Jasem Al Sayegh, CEO of ADNOC Refining, said: “This milestone represents a significant step towards being a refining business capable of producing ‘zero-fuel oil’. ADNOC will continue to invest in an effort to broaden our product offering amidst evolving market conditions, ensuring we reduce our environmental footprint and maintain IMO-compliance leading up to 2020 and beyond."

Increasing the flexibility of ADNOC’s refining assets to stretch the value of every barrel of oil – and produce additional feedstocks and additives for the petrochemical industry – is a key pillar of ADNOC’s Downstream expansion strategy, which was announced at its Downstream Investment Forum last year.

The strategy will see ADNOC become a world-class producer, supplier and trader of refined and petrochemical products, as it focuses on growth markets in Asia, including China.

ADNOC’s multi-billion-dirham Downstream investment program will see the company’s refining capacity increase by more than 65 percent, or 600,000 barrels per day (bpd), by 2025, through the addition of a third refinery, creating a total capacity of 1.5 million barrels per day (mbpd). The new refinery will significantly increase the capability, flexibility and output of Abu Dhabi’s refining operations by adding to the range of crudes that can be processed.

ADNOC also plans to build one of the world’s largest mixed feed crackers, which will enable it to produce additional feedstocks and additives for the petrochemicals industry.
MRC

Air Liquide and Samsung to provide FEED study for Sarawak Malaysian methanol unit

MOSCOW (MRC) -- Air Liquide Engineering & Construction (E&C) and Samsung Engineering have entered into a partnership to carry out the front-end engineering design (FEED) study of Sarawak Petchem's planned new methanol facility in Bintulu, Malaysia, according to Apic-online.

The plant is expected to produce 5,000 t/d of methanol based on Air Liquide E&C's proprietary Luri MegaMethanol technology. Operations are planned to begin in 2023.

The FEED contract will be exclusively converted to a licensor, engineering, procurement, construction and commissioning contract at the end of the year, subject to a final decision.

As MRC reported earlier, in April 2018, Air Liquide signed a new long-term agreement with LyondellBasell, one of the world’s largest plastics, chemicals and refining companies, to supply oxygen to LyondellBasell’s new large-scale petrochemical plant which will be constructed in Channelview, Texas. LyondellBasell’s new propylene oxide/tertiary butyl alcohol plant (PO/TBA), is expected to be the largest of its kind plant in the world when completed.
MRC

BYK opens new site in Shanghai

MOSCOW (MRC) -- BYK is expanеding its operat ions in the Shanghai region to meet the anticipated growth in demand in the key Chinese markеt, said the company.

The Asia region accounts for one third of sales, and has made a substantial contribution to BYK in past decades. The new, integrated site is fully aligned to the needs of BYK’s development partners and customers, offering the exceptional technical service they expect.

“The new site will significantly enhance our presence in the Chinese market, and will enable us to focus on individual customer solutions in the growing Asian market,” declared Martin Babilas, CEO of ALTANA AG, during the opening ceremony. “The new and ultra-modern facility is embedded in the Shanghai Chemical Industry Park (SCIP) where we enjoy, ideal framework conditions for our innovative, differentiated additive solutions.”

The new five-hectare site in Shanghai (around 54,000 sq.m.) is home to laboratories, a distribution center, and administration and was constructed in just two years. BYK invested around 38 million euros. Some 100 employees will work here it is in full operation.

Each year, BYK invests 7 to 8% of its revenue in research and development. The new site stands for expertise and innovation, success factors of BYK in specialty chemicals throughout the world.

The facility will allow BYK to offer customers in China more direct services, as well as differentiated products, said Stephan Glander, BYK division president.

The coating, printing-inks and plastics industries are some of BYK's main customers. Yet BYK additives also improve product characteristics and manufacturing processes in the oil and gas industry, the production of care products, the production of adhesives and sealing compounds, as well as in building chemistry. BYK testing and measuring instruments effectively assess the quality of paint, gloss and appearance, as well as the physical characteristics of coating, plastic and paper products, and are an essential part of quality assurance.

As a globally-operating specialty-chemicals company, BYK has production sites in Wesel, Kempen, Moosburg, Schkopau and Geretsried (Germany), Deventer, Denekamp, Nijverdal (Netherlands), Widnes (Great Britain), Wallingford, Chester, Gonzales, Louisville, Earth City (USA), as well as Shanghai and Tongling (China). The company today employs more than 2,300 people worldwide and is a member of the ALTANA Group.
MRC

Toyo Engineering gets Maruzen contract for propylene splitter project in Japan

MOSCOW (MRC) -- TEC Project Services Corp., a subsidiary of Toyo Engineering, said it was awarded a propylene splitter project from Maruzen Petrochemical to produce a "high-grade product" at Maruzen's plant in Ichihara-shi, Chiba, Japan, as per Apic-online.

TEC will be responsible for detailed engineering, procurement of equipment and materials, and construction.

Completion is scheduled in 2021. Value of the contract was not disclosed.

"Toyo's technology on propylene splitter and rich experience of petrochemical projects are appreciated and led to this award," Toyo noted.

As MRC informed before, in February 2019, Toyo Engineering Corporation was awarded a contract to build a 650,000 t/y ethylene and polyethylene (PE) plant located in Ust-Kut, Irkutsk region, Russian Federation by Irkutsk Polymer Plant, a subsidiary of Irkutsk Oil Company (INK).

TOYO has completed more than 40 projects in the former Soviet Union and Russian Federation since 1960’s. TOYO also focuses on the expansion of the business opportunities for ethylene and polyethylene projects as its core business, and this award marks TOYO’s outstanding track record as the 47th ethylene plant project worldwide as well as the 26th polyethylene plant. TOYO’s long experience in Russia, established performance and reliability in worldwide ethylene projects led to this award. TOYO will continue contributing to the development of the petrochemical industry in Russia as well as to further development of Japan-Russia relation and cooperation.
MRC

Russian packaging manufacturer Danaflex opens plant in Czech Republic

MOSCOW (MRC) -- Danaflex (Kazan / Russia), a manufacturer of flexible packaging, has opened a plant in the Czech Republic, said the company.

The company has invested around EUR 40m in the new site in Prostejov, with around 180 jobs expected to be created. The Czech plant is Danaflex's fourth production facility and its first outside of Russia.

The Russian minister of industry and trade, Denis Manturov, said at the opening ceremony on 5 March that polyethylene for packaging production is to be supplied by Russian producers from Tatarstan – this could be from Kazanorgsintez (Kazan). The Russian politician spoke of PE imports valued at USD 30-40m (EUR 27-36m). Based on Russian LDPE prices, this would be an annual consumption of around 30,000-35,000 t, possibly at a later expansion stage. In a previous announcement, Danaflex had quoted output at 15,000 t/y.
MRC