Chandra Asri to complete maintenance at LLDPE plant in Cilegon this week

MOSCOW (MRC) -- PT Chandra Asri Petrochemical Tbk. (CAP) is likely to restart its linear low density polyethylene (LLDPE) plant following a maintenance turnaround, according to Apic-online.

A Polymerupdate source in Indonesia informed that the company has planned to complete turnaround at this plant this week. The plant was shut for in early-August, 2019.

Located in Cilegon, West Java, Indonesia, the LLDPE plant has a production capacity of 210,000 mt/year.

As MRC informed before, CAP shut its naphtha cracker in Cilegon for a turnaround in early August, 2019. It is expected to remain off-stream for a period of around 6-7 weeks.

According to MRC's ScanPlast report, LLDPE shipments to the Russian market increased in the first seven months of 2019 by 8% year on year to 234,130 tonnes. Local producers increased their production by 24%.

CAP is the largest integrated petrochemical company in Indonesia and operates the country’s only world-scale size Naphtha Cracker. The CAP plant is strategically located in Banten province, providing convenient access to key customers.
MRC

MOSCOW (MRC) - Imports of polyethylene (PE) into Ukraine increased to about 178,400 tonnes in the first eight months of 2019, up 10% compared to the same period of 2018. The high density polyethylene (HDPE) accounted for the main increase in imports, according to MRC's DataScope report.

Last month's PE imports decreased to 21,800 tonnes from 25,500 tons in July, local companies decreased their purchasing of high density polyethylene (HDPE) and linear low density polyethylene (LLDPE). Overall PE imports reached 178,400 tonnes in January-August 2019, compared to 162,500 tonnes a year earlier. Import deliveries of HDPE and linear polyethylene increased, while imports of other types of ethylene polymers decreased.

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

August HDPE imports to the country virtually remained at the July's level and was about 7,500 tonnes. Overall HDPE imports reached 63,800 tonnes last year, compared to 50,000 tonnes a year earlier, PE shipments to all consumption sectors increased.

August imports of low density polyethylene (LDPE) into Ukraine were about 6,900 tonnes against 8,000 tonnes a month earlier. Local companies reduced their LDPE purchasing in Russia after the July surge in the purchasing. Overall LDPE imports reached 52,300 tonnes over the stated period, which virtually corresponded to the 2018 figure.

August imports of LLDPE into the country decreased to 6,500 tonnes, compared with 8,600 tonnes in July. on a weaker purchases from producers in Saudi Arabia. In general, January - August LLDPE imports into Ukraine increased to 53,900 tonnes compared with 49,600 tonnes year on year.

Imports of other grades of polyethylene, including EVA for the period under review reached about 8,400 tonnes against 10,500 tonnes a year earlier.


MRC

МОSCOW (MRC) -- Hanwha Total Petrochemical, a 50/50 joint venture between Total and Hanwha, expects to complete expansion project of polypropylene (PP) production at Daesan integrated refining and petrochemical complex in South Korea by 2021, said the producer.

The planned investment will increase polypropylene capacity by close to 60% to 1.1 million tonnes per year.

The producer has started its new ethylene production capacities. With a 450 million dollar investment, the site can now produce 1.4 million tonnes per year of ethylene, an increase of 30 %.

This project was launched in April 2017 and is the first in a series of three at the complex. More than 300 million dollars are being invested to expand polyethylene production capacity by 50 % to 1.1 million tonnes per year by the end of 2019.

Ethylene and propylene are feedstocks for producing polyethylene (PE) and polyprolypele (PP).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,255,800 tonnes in the first seven months of 2019, up by 9% year on year. Shipments of all PE grades increased. At the same time, the estimated PP consumption in the Russian market was 796,120 tonnes in January-July 2019, up by 11% year on year. Shipments of PP block copolymer and homopolymer PP increased.

Daesan is one of Total's six world-class integrated complexes and a strategic asset for both shareholders. It comprises a flexible condensate splitter, a competitive steam cracker and units producing polymers, styrene and aromatics.

Hanwha Group, founded in 1952, is a global leader in a broad range of business spanning the spectrum of manufacturing, construction, finance, services and leisure industries. Hanwha Group consists of 56 domestic affiliates and 226 global networks, as of June 2016.

Total is a major energy player, which produces and markets fuels, natural gas and low-carbon electricity. Our 100,000 employees are committed to better energy that is safer, more affordable, cleaner and accessible to as many people as possible. Active in more than 130 countries, our ambition is to become the responsible energy major.
MRC

MOSCOW (MRC) -- An explosion at an oil refinery of Eni in the North of Italy caused early on Tuesday morning no injuries and has been brought under control, reported Reuters with reference to the Italian oil and gas company's statement.

“Assessment is on the way to quantify damages. The refinery is working normally”, the company added.

Eni said the explosion at the Sannazzaro de’ Burgondi refinery was restricted to a part of the gassification plant.

As MRC informed earlier, Italy’s Versalis (part of Eni) took its cracker in Dunkirk, France offline in early September, 2019, due to a fire which broke out at the company’s petrochemical plant. It is not yet known how long the unit will remain shut. Local media sources also reported that the fire was brought under control with no reported injuries and the company is currently assessing the required repairs. The cracker has a production capacity of 380,000 tons/year of ethylene and 95,000 tons/year of propylene.

Ethylene and propylene are feedstocks for producing polyethylene (PE) and polyprolypele (PP).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,255,800 tonnes in the first seven months of 2019, up by 9% year on year. Shipments of all PE grades increased. At the same time, the estimated PP consumption in the Russian market was 796,120 tonnes in January-July 2019, up by 11% year on year. Shipments of PP block copolymer and homopolymer PP increased.

Eni is an Italian multinational oil and gas company headquartered in Rome. It has operations in in 79 countries, and is currently Italy's largest industrial company with a market capitalization of 68 billion euros (USD 90 billion), as of August 14, 2013. The Italian government owns a 30.3% golden share in the company, 3.93% held through the state Treasury and 26.37% held through the Cassa depositi e prestiti. Another 39.40% of the shares are held by BNP Paribas.
MRC

MOSCOW (MRC) -- France’s Total has issued a tender to sell 1.3 million barrels of contaminated Russian Urals crude oil for loading from Rotterdam port, reported Hydrocarbonprocessing with reference to three trading sources.

Russia loaded some 11 million barrels of Urals crude oil with organic chloride content that exceeded allowed levels from Ust-Luga port during an oil contamination crisis earlier this year.

Organic chloride is a chemical compound used to boost oil extraction by cleaning wells and accelerating the flow of crude. It must be removed before oil is sent to costumers because it can destroy refining equipment.

Contaminated Urals is very difficult to sell as the only way to make it acceptable for a refinery is to mix it with clean oil in a proportion of one to ten, or even more depending on the organic chloride content in the crude, traders have said.

France’s Total, as a big buyer of Urals oil, suffered a major impact on its business as it received contaminated Russian crude both via the Druzhba pipeline to its Leuna refinery in Germany and via seaborne cargoes loading from Ust-Luga.

Total Chief Executive Patrick Pouyanne said in May his company would seek compensation for the losses caused by the contaminated oil.

Trading sources told Reuters that Total was looking to sell 1.3 million barrels of contaminated oil in three parcels, with organic chloride content ranging from 23 parts per million (ppm) to 143 ppm.

Bids will be accepted until Sept. 19, with the results announced on Sept. 25, the sources said.

Total declined to comment.

In early August, BP tried to sell around 1 million barrels of contaminated oil from a tanker, but failed to find a buyer, trading sources said.

“I honestly think that Total has as good a chance to sell its contaminated Urals as BP - no chance”, said one of the trading sources.

Several Urals buyers including trading companies like Vitol, Glencore and Trafigura are stuck with contaminated Urals, which is difficult to sell in the market.

As MRC informed earlier, Total’s Gonfreville refinery near Le Havre, France, started its scheduled maintenance September 4, 2019. The works will last around two months. The large-scale maintenance, which takes place once every seven years, follows the maintenance at the petrochemical site which took place last year. Preparations for the turnaround have been going on for the last three years.

Ethylene and propylene are feedstocks for producing polyethylene (PE) and polyprolypele (PP).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,255,800 tonnes in the first seven months of 2019, up by 9% year on year. Shipments of all PE grades increased. Meanwhile, the estimated PP consumption in the Russian market was 796,120 tonnes in January-July 2019, up by 11% year on year. Shipments of PP block copolymer and homopolymer PP increased.

Total S.A. is a French multinational oil and gas company and one of the six "Supermajor" oil companies in the world with business in Europe, the United States, the Middle East and Asia. The company's petrochemical products cover two main groups: base chemicals and the consumer polymers (polyethylene, polypropylene and polystyrene) that are derived from them.
MRC