CEO says more than 20 groups interested in buying refineries

MOSCOW (MRC) -- More than 20 potential bidders are interested in the refineries that Brazil’s state-controlled oil company Petroleo Brasileiro SA plans to sell, the company’s chief executive officer said, as per Hydrocarbonprocessing.

CEO Roberto Castello Branco said more than 20 groups are interested in the four refineries in a first phase of privatizations.

Two are in the northeastern states of Pernambuco and Bahia, and two are in the southern states of Parana and Rio Grande do Sul. Four more refineries will be put on the block in the second phase.

As MRC informed earlier, Brazil’s state-controlled oil company Petroleo Brasileiro SA said it has signed a deal with local antitrust regulator CADE regarding the proposed sale of some of its refining installations.

Headquartered in Rio de Janeiro, Petrobras is an integrated energy firm. Petrobras' activities include exploration, exploitation and production of oil from reservoir wells, shale and other rocks as well as refining, processing, trade and transport of oil and oil products, natural gas and other fluid hydrocarbons, in addition to other energy-related activities.MRC

MOSCOW (MRC) -- Indorama Ventures Public Company Limited (IVL), a global chemical producer, has announced that it has entered into an agreement to acquire Sinterama S.p.A, a leading Global polyester automotive interiors and high performance colored yarns manufacturer, as per IVL's press release.

The acquisition comprises five production sites in four countries in Italy, Brazil, China and Bulgaria, the last being a new market for IVL. It has a combined capacity of around 30,000 tonnes/ annum. Europe imports over 275 KT of yarns annually and Sinterama can grow and strengthen its position as local supplier. The company currently employs 889 people.

The transaction is expected to be completed in the third quarter 2019, subject to regulatory approvals.

Sinterama holds leading positions in the highly specialized applications in Europe, with an excellent reputation and proven technology. The company is vertically integrated from chips to yarns and offers a vast range of colored polyester yarns for the automotive, furnishing, apparel and technical applications. Since its inception in 1968, Sinterama has offered the most innovative solutions and invested in cutting-edge product research. It has substantial accumulated knowledge developed over a long period of time. This will provide IVL comprehensive and innovative solutions for automotive and home applications to better serve customers and meet customers’ needs in the future.

This acquisition is a perfect fit for IVL. Sinterama has a strong production base, providing an excellent platform to integrate IVL’s existing specialties business. The highly complementary portfolio, customer base and geographical footprint of the two companies will open up new market opportunities and enhance value to our customer by further enabling them to leverage IVL’s existing manufacturing capabilities and supply chain.

Mr. Aloke Lohia, Group CEO of Indorama Ventures said: "This acquisition marks an important milestone in our strategic alliance with Sinterama, which has been a partner in Trevira since 2011 and is the industry partner of choice for high-value filament yarns. While we have achieved significant growth in this space over the past years, we believe Sinterama will be the catalyst for us to consolidate and advance our position in this highly demanding and exclusive market.

Sinterama brings along a very experienced team of highly respected professionals who together with IVL management make a formidable combination of managerial excellence.

Bringing Sinterama’s experience and network of strategically located facilities into IVL will enable us to provide best-in-class offerings for customers. We are now better positioned than ever to meet the needs and exceed the expectations of customers on a truly global scale."

As MRC wrote earlier, in February 2019, IVL commenced production of purified terephthalic acid (PTA) and polyethylene terephthalate (PET) at plants it acquired from Artlant PTA in Portugal and EIPET in Egypt, respectively. IVL completed the acquisition of the 700,000-t/y PTA facility, located at the Sines industrial complex, in Late 2017.

Indorama Ventures Public Company Limited, listed in Thailand, is one of the world's leading petrochemicals producers, a global manufacturing footprint with 59 sites in 20 countries across Africa, Asia, Europe and North America. The company's portfolio is comprises necessities and high value-added (HVA) categories of polymers, fibers, and packaging. Indorama Ventures has approx. 19,000 employees worldwide and consolidated revenue of USD 10.7 billion in 2018. The company is listed in the Dow Jones Sustainability Index (DJSI).
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MOSCOW (MRC) -- PT Lotte Titan Nusantara, Indonesia, has restarted its Linear Low Density Polyethylene (LLDPE) units, at Cilegon, as per Apic-online.

A Polymerupdate source in Indonesia, informed that, the company has resumed operations at the units, on August 12, 2019. The units were shut since August 4, 2019 owing to power failure.

Located in Cilegon, Indonesia, the No. 1, 2 and 3 units have a production capacity of 125,000 mt/year, 125,000 mt/year and 200,000 mt/year respectively.

As MRC informed before, on 17 March, 2017, PT. Lotte Titan Nusantara Indonesia restarted its linear low density polyethylene (LLDPE) plant following an unplanned outage. The plant was taken off-stream in end-February 2017 owing to technical issues. Located in Merak, Indonesia, the plant has a production capacity of 200,000 mt/year.

Lotte Chemical Titan produces Malaysia's most comprehensive portfolio of olefins and polyolefins which contribute to the enhancement of everyday life. Lotte Chemical Titan's production site in Malaysia consists of eleven process facilities, two co-generation plants and three tank farms. They are located on 2 sites in Pasir Gudang and Tanjung Langsat in the state of Johor. In 2006, Lotte Chemical Titan acquired PT Lotte Chemical Titan Nusantara, Indonesia’s first and largest polyethylene plant in the country. This acquisition boosted the polyolefins capacity by approximately 50%, thus making the company one of the largest producers in South East Asia. Lotte Chemical Titan was acquired by Lotte Chemical Corp., forming part of the Lotte conglomerate of Korea, in 2010. The company thus became one of Lotte Chemical Corp.’s largest overseas subsidiaries.
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MOSCOW (MRC) -- Ashland Global Holdings announced it has received the remaining regulatory approvals needed to close the previously announced sale of certain assets of Ashland's Composites business and butanediol facility in Marl, Germany to INEOS Enterprises Holdings Limited, said Globenewswire.

Ashland and INEOS are working together to close the transaction as soon as possible in accordance with the Stock and Asset Purchase Agreement and continue to expect a closing in the late summer of 2019.

The BDO plant is in Marl, Germany, and it has a capacity of 100,000 tonnes/year. The composites business makes unsaturated polyester resins (UPR), vinyl ester resins and gel coats.

The deal should close later in the summer, Ashland said. Under the initial agreement, Ashland planned to sell its composites business, the BDO plant and maleic anhydride (MA) business to INEOS for USD1.1bn.

As MRC informed earlier, in September, Ashland announced its plans to focus on specialty chemicals, and spin off Valvoline as an independent, publicly-traded lubricants company dedicated to engine and automotive maintenance.

Ashland Global Holdings Inc. is global specialty chemicals company serving customers in a wide range of consumer and industrial markets, including adhesives, architectural coatings, automotive, construction, energy, food and beverage, nutraceuticals, personal care and pharmaceutical.

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MOSCOW (MRC) -- Kinder Morgan, Inc.announced a series of projects, totaling over USD170 million of capital investment, that will increase efficiency, add product liquidity, and enhance blending capabilities at its Pasadena and Galena Park terminals, part of its best-in-class refined products storage hub on the Houston Ship Channel, said Financialpost.

In response to growing customer demand, KMI’s liquids terminal platform now boasts 10 ship docks, 38 barge spots, 20 inbound pipelines providing connectivity to 10 regional refineries and chemical plants, 15 outbound pipelines, 14 cross-channel lines, and approximately 43 million barrels of storage on the Houston Ship Channel, North America’s leading port for energy exports.

KMI will invest approximately USD125 million on enhancements to its Pasadena Terminal and Jefferson Street Truck Rack, including:

Increased flow rates on inbound pipeline connections and outbound dock lines, significantly reducing vessel load times and expanding effective dock capacity. Tank modifications that will provide for butane blending and vapor combustion capabilities on 10 storage tanks, with the option to extend those capabilities to an additional 25 tanks or more.

Expansion of the current methyl tert-butyl ether (MTBE) storage and blending platform, including a dedicated cross-channel MTBE line serving vessels being loaded at Pasadena’s North Docks.

A new, dedicated natural gasoline (C5) inbound connection, enhancing customers’ blendstock supply optionality and liquidity. The improvements, which are expected to be completed by the end of the second quarter of 2020, are supported by a long-term agreement with a major refiner for approximately 2.0 million barrels of refined petroleum products storage capacity at the terminal.

In addition to the enhancements at the Pasadena Terminal, KMI will also invest more than $45 million to develop and construct a butane-on-demand blending system for 25 tanks at its Galena Park Terminal. The project will include construction of a 30,000-barrel butane sphere, a new inbound C4 pipeline connection, as well as tank and piping modifications to extend butane blending capabilities to 25 tanks, two ship docks, and six cross-channel pipelines. The project is supported by a long-term agreement with an investment grade midstream company and is expected to be completed in the fourth quarter of 2020.

“These projects speak to Kinder Morgan’s continued commitment to excellence and to improving our already best-in-class facilities along the Houston Ship Channel,” said John Schlosser, president of Terminals for KMI. “The announced improvements only serve to enhance our position as the market-leading refined petroleum products storage hub on the U.S. Gulf Coast. This offers our customers unmatched supply optionality and liquidity and modal efficiencies as they aim to maximize storage and blending economics and access domestic and global energy markets in the most cost effective manner possible."

Kinder Morgan, Inc.is one of the largest energy infrastructure companies in North America. Our mission is to provide energy transportation and storage services in a safe, efficient and environmentally responsible manner for the benefit of people, communities and businesses. Our vision is delivering energy to improve lives and create a better world. We own an interest in or operate approximately 84,000 miles of pipelines and 157 terminals. Our pipelines transport natural gas, refined petroleum products, crude oil, condensate, CO2 and other products, and our terminals transload and store liquid commodities including petroleum products, ethanol and chemicals, and bulk products, including petroleum coke, metals and ores.
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