PKN announced start-up of the olefin unit at Plock refinery

MOSCOW (MRC) -- PKN announced the technological start-up of the olefin unit at its Plock refinery is underway following an emergency shutdown earlier this month, said Hellenicshippingnews.

PKN said it took advantage of the unit failure to carry out maintenance planned for October-November on the unit. The company said in a statement the olefin unit start-up will be complete on September 25. The unit failure happened on September 4 after “one compressor was switched off in an emergency”.

As MRC informed earlier, in H1 September 2019, Honeywell announced that PKN ORLEN had licensed the UOP MaxEne process, which can increase production of ethylene and aromatics and improve the flexibility of gasoline production. The project, for the PKN ORLEN facility in Plock, Poland, currently is in the basic engineering stage. Honeywell UOP, a leading provider of technologies for the oil and gas industry, first commercialized the UOP MaxEne process in 2013. The process enables refiners and petrochemical producers to direct molecules within the naphtha feed to the processes that deliver the greatest value and improve yields of fuels and petrochemicals.

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.

PKN ORLEN would be the first refining and petrochemicals company in Europe to use the Honeywell UOP MaxEne technology for molecule management of a naphtha stream to produce high-quality products including olefins, aromatics and gasoline.
MRC

Shenhua Xinjiang completes turnaround at LDPE plant in China

MOSCOW (MRC) -- Shenhua Xinjiang Mining Co (part of Shenhua Group) has brought on-stream its low density polyethylene (LDPE) unit following a maintenance turnaround, as per Apic-online.

A Polymerupdate source informed that, the company has resumed operations at this unit on September 24, 2019. The plant was shut for maintenance in mid-August, 2019.

Located at Xinjiang, China, the LDPE unit has a production capacity of 270,000 mt/year.

As MRC wrote before, last year, the company conducted maintenance works at this plant from 4 to 28 August.

According to ICIS-MRC Price report, Kazanorgsintez (part of TAIF Group) completely shut down its high density polyethylene (HDPE) production for a scheduled turnaround on 26 September. Besides, the plant"s LDPE production capacities were also shut at the same time. The outage will be quite long and the completion of the maintenance works is planned only by 20 October. The shutdown of production capacities will take place in two stages, and a complete resumption of production at all reactors after the turnaround is expected by 24 October.

Shenhua Group Corporation Limited was a Chinese state-owned mining and energy company. Shenhua Group was founded in October 1995 under the auspices of the State Council of the People's Republic of China. It was the largest coal-producing company in China.
MRC

Feedstock supply from Saudi Aramco returns to normal

MOSCOW (MRC) -- Saudi producer SABIC’s feedstock supply levels from Saudi Aramco have gradually improved to reach normal levels as of September 26, reported NCT with reference to the company's statement statement sent to Saudi stock exchange, Tadawul.

The company earlier said its supply shortfall had fallen from 49% to an approximate average of 30% and would reach normal levels by the end of September.

As MRC reported before, a number of Saudi Arabia's companies, such as Tasnee, Sadara, Advanced Petrochemical and Saudi Kayan, announced a curtailment of feedstock to their petrochemical plants, including polyethylene (PE) and polypropylene (PP) facilities, by an average of 30-50% due to the attacks on key Saudi Aramco facilities on Saturday.

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.
MRC

BIAXPLEN sets up petrochemical joint venture with Manucor

MOSCOW (MRC) -- BIAXPLEN and Manucor will share their best practices in terms of R&D, sales and marketing, production, and technical support, said the producer.

Joining efforts with Manucor’s sales team will result in new opportunities in the European markets for BIAXPLEN. In turn, SIBUR will engage PolyLab, its Skolkovo-based R&D centre, to develop new products. Together, the parties expect to create the leading BOPP film producer in Europe.

Marat Falyakhov, Executive Director at BIAXPLEN, commented: "We are happy to announce this transaction with Manucor, one of the leading European BOPP players with excellent relationships with the major end users and converters in Europe, consolidated and strengthened through the years due to the widely recognised quality of its products and its high level of service. This deal is an important milestone in our work on the international market. It will help us expand our European footprint and exchange best practices. We aim to make full use of the potential development opportunities we see in the industry while employing global expertise to deliver innovative products and high-quality service to our customers."

Luigi Scagliotti, CEO at Manucor, added: "We are proud to establish this partnership with BIAXPLEN and SIBUR that will create strong synergies in terms of sales, supplies and know-how. BIAXPLEN is the leading Russian BOPP player and one of the main players in the international BOPP market, while SIBUR is among the most important manufacturers of PP granules in Europe. This transaction will allow Manucor and BIAXPLEN to expand and complete their product portfolio, extend geographic coverage and commercial presence, given the complementary location of the production sites, and expand and share R&D capabilities."

As it was written earlier, in August 2019, BIAXPLEN, a subsidiary of SIBUR Holding, closed the sale of its cast polypropylene film production facility in the Samara Region's Novokuybyshevsk. The disposal of the smaller non-core asset with the capacity of 5 ktpa will allow SIBUR to focus on its large-scale production of BOPP films and grade range expansion.

SIBUR is the leader of the Russian petrochemical industry and one of the largest companies globally in this sector. It has more than 26,000 employees. The Company’s unique vertically integrated business model allows it to create highly competitive products consumed in the chemical, fast moving consumer goods (FMCG), automotive, construction, energy and other industries in 80 countries worldwide.

BIAXPLEN is a subsidiary of SIBUR, a petrochemical company, and Russia's largest BOPP film producer. Its capacity amounts to 180 ktpa across five regions, and its products are exported to 27 countries.

Manucor is a leading European BOPP film producer, with a single production site that is located in Italy and has the capacity of 100 ktpa. Its products are exported to 35 countries.
MRC

EPS imports to Belarus down by 6% in Jan-Jul 2019

MOSCOW (MRC) -- Expandable polystyrene (EPS) imports to the Belarusian market fell in January-July 2019 by 6% year on year to 7,200 tonnes, according to MRC's DataScope report.

1,300 tonnes of EPS were imported to Belarus in July 2019, compared to 1,200 tonnes a year earlier. June 2019 imports of material also were 1,300 tonnes.

EPS shipments from Russia accounted for 62% of the total imports in the first seven months of 2019 or 4,400 tonnes, down by 900 tonnes year on year.

July imports of material from Russia into Belarus fell by 22% year on year to 700 tonnes from 900 tonnes in July 2018, whereas June shipments were at 800 tonnes.
MRC