Sonatrach says it discussed partnerships with Exxon Mobil

MOSCOW (MRC) - Algeria’s state-owned Sonatrach held meetings with Exxon Mobil last week to discuss possible partnerships, a Sonatrach statement said on Monday, a week after it said it had talked with Chevron Corp., said Reuters.

Sonatrach gave no further details of the September 25 and 26 meetings but the energy producer has said it wants to boost output to increase revenues after a decline in prices hit its budget.

Some 95% of Algeria’s foreign revenue comes from oil and gas sales. Since energy prices dropped in 2014, its foreign exchange reserves have fallen to USD72.6 billion from USD178 billion.

The talks with foreign oil majors come at a sensitive time for Algeria after mass protests in February unseated veteran president Abdleaziz Bouteflika, creating a constitutional limbo that the army hopes to resolve with an election in December.

Algeria, a member of the Organization of the Petroleum Exporting Countries and a major gas supplier to Europe, has struggled to lift production to meet rising domestic demand, while foreign investors have often baulked at contract terms.

As it was informed earlier, Sonatrach's petrochemicals joint venture with Total has selected Honeywell UOP's C3 Oleflex technology for its proposed 565,000 tonne/year polymer-grade propylene project in Arzew, Algeria. The catalytic dehydrogenation technology converts propane into propylene.

Propylene is a feedstock for producing polyprolypele (PP).

According to MRC's ScanPlast report, Russia's 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.

STEP was created last year as a 51:49 JV between Algeria’s state oil company Sonatrach and French energy and petrochemicals major Total to develop the Arzew petrochemicals project.
MRC

MOL began building polyol project in Tiszaujvaros

MOSCOW (MRC))--MOL has broken ground on its 200,000 tonne/year polyol production project at Tiszaujvaros in northern Hungary, said Hydrocarbonengineering.

MOL will invest EUR1.2 billion to construct the plant, which will be able to produce around 200 000 tpy of polyols. The plant is expected to be commissioned in 2021.

Zsolt Hernadi, Chairman and C-CEO of MOL Group, Dr. Sami Pelkonen, CEO Chemical & Process Technologies at thyssenkrupp Industrial Solutions, Ferenc Koncz, Member of the Hungarian Parliament and Mihaly Varga, Finance Minister, took part at the foundation stone laying ceremony.

MOL Petrochemicals in Tiszaujvaros will be the only company in Hungary and the entire Central and Eastern European region with an integrated value chain from crude oil extraction to the production of polyether polyols (widely used raw materials in plastics). The polyol project will provide long-term employment opportunity for 200 people.

According to MOL’s estimates, the plant will contribute approximately €150 million/yr to MOL Group’s financial results (EBITDA). Polyol is an important and highly sought-after plastic raw material that is used in numerous industries, from automotive manufacturing to construction to the clothing industry. The Tiszaujvaros complex will produce polyol using efficient and environmentally friendly technologies such as the HPPO process (propylene oxide from hydrogen peroxide) developed by thyssenkrupp and Evonik.

One of the cornerstones of MOL Group 2030 - Enter Tomorrow strategy is to expand the company’s petrochemicals value chain and produce more valuable products. The polyol plant and the previously opened synthetic rubber plant are the milestones of this strategy.

As MRC informed before, MOL Petrochemicals Company (formerly known as TVK, part of the MOL Group), the only Hungarian producer of olefins and polyolefins, on 23 September announced force majeure on the supply of polypropylene (PP) from plant No. 4 at the petrochemical complex in Tiszaujvaros (Tiszaujvaros, Hungary).

According to MRC's ScanPlast report, the estimated consumption of PP in the Russian market totalled 694,210 tonnes in January-June 2019, up by 14% year on year. The supply of propylene block copolymers (PP-block) and propylene homopolymers (PP-homo) increased.

MOL Hungarian Oil and Gas PLC is an integrated oil and gas company. The Company produces crude oil, petroleum products, bitumens, lubricants and natural gas. MOL owns and operates refineries, oil and gas pipelines, service stations, and natural gas storage facilities.
MRC

Enterprise to build second propane dehydrogenation plant with supply support from LyondellBassell

MOSCOW (MRC) -- Enterprise Products Partners and LyondellBasell Industries say they have executed long-term contracts to support construction of EPD's second propane dehydrogenation plant at the Mont Belvieu, Tex., complex, said Hydrocarbonprocesing.

The decision to build the “PDH 2” plant stems from recently executed long-term polymer grade propane (PGP) supply contracts between Enterprise and LyondellBasell Industries N.V.

“As we aim to meet the growing demand for our products, ensuring a long-term supply of feedstock is critical,” LyondellBasell CEO Bob Patel said in a written statement. “These agreements allow us to leverage Enterprise’s construction expertise, operating experience and robust network as we continue to deliver an outstanding value proposition for our customers."

According to Enterprise, PDH 2 will consume up to 35,000 barrels per day (bpd) of propane to product up to 1.65 billion pounds per year of PGP. The company added that it has licensed Honeywell’s UOP Oleflex propane process to produce PGP.

"PGP is a primary petrochemical that can be converted into hundreds of products that improve the daily lives of people around the world,” stated A.J. “Jim” Teague, CEO of Enterprise’s general partner. “Demand growth for these propylene-based products is strong and PDH 2 will provide cost-advantaged supply assurance to our customers, enabling expansion of their downstream businesses to satisfy this global market."

Enterprise also reported that it has negotiated terms with S&B Engineers and Constructors, Ltd. for a fixed-cost engineering, procurement and construction (EPC) contract to build PDH 2.

“With the combination of LyondellBasell as an anchor customer, our use of UOP’s Oleflex technology and S&B providing engineering and construction services, I am highly confident of a successful project that will grow Enterprise’s cash flow per unit and enhance the value of our partnership,” concluded Teague.

Enterprise expects PDH 2 to begin service during the first half of 2023.

As MRC informed earlier, Enterprise Products Partners L.P. and Navigator Holdings Ltd. have announced that construction is now underway on a 50/50 joint venture ethylene export terminal which will be located at Enterprise's Morgan's Point, Texas facility on the Houston Ship Channel. The terminal will have the capacity to export approximately 2.2 billion pounds of ethylene per year.

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.
MRC

Dow to scale PE production based renewable naphta

MOSCOW (MRC) -- The US-based producer Dow announced the commercialization of a plastics packaging made from a bio-based renewable feedstock, said Nctww.

In partnership with UPM Biofuels, a Finland-based advanced biofuels producer, Dow is now planning to scale its bio-based PE production and address the increasing global demand for renewable plastics.

Dow has been successfully using the wood-based renewable provided by UPM BioVerno as feedstock to produce bio-based PE at its facility in Terneuzen, the Netherlands.

As MRC informed earlier, Dow Chemical began major maintenance on the LHC 1 cracker at Terneuzen, Netherlands from 9 September.

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.

Dow believes that plastic waste has value and can be transformed into new products and energy. In addition to plastic roads, Dow is working with key partners in South America to use recycled plastics to develop construction materials for schools in Colombia. Dow is also at the forefront of developing and scaling chemical recycling technology to take recycled plastic waste back to feedstock for the creation of new products. By reimagining new ways to reuse, recycle and repurpose plastic waste, Dow and its partners are leading the way in the development of innovative circular economy solutions.
MRC

AkzoNobel introduces 3 digital сolor matching tools for industrial markets

MOSCOW (MRC) -- Customers who rely on super-accurate and effortless color matching and retrieval can now take advantage of three new digital tools for the industrial sector introduced by AkzoNobel, said Coatingsworld.

They all work with the Salcomix system, an on-site facility which enables customers to mix paint on-demand with superior color accuracy.

The trio includes Salcomix PaintFinder Cloud (which provides remote access to more than 600,000 color formulations); the high-end Automatchic Vision measuring device; and the ColorFinder, a color-matching system which works via a dedicated app.

Salcomix is designed for small and medium batch sizes and is used in a variety of industrial applications, including agriculture, construction, and earth-moving machinery and equipment.

"We put a lot of effort into improving our products, but we’re also focused on going beyond the coatings themselves when it comes to providing digital innovations that benefit our customers," said Daniela Vlad, managing director of AkzoNobel Powder Coatings, which includes the Salcomix brand.

Salcomix PaintFinder Cloud is based on an existing web-based solution used by other AkzoNobel businesses. Accessible from anywhere, it enables color formulations to be uploaded and accessed immediately.

“One of the many great things about Salcomix PaintFinder Cloud is that it’s fast, requires no local installation of software and is always up-to-date,” said Tomasz Kluczewski, regional commercial director for Powder Coatings, North Europe. “So within minutes of us developing a new color formula in one product line, it’s already globally available for around 19 different Salcomix product lines. That’s the kind of service we’re looking to offer our customers by using the latest technology.”

Automatchic Vision is a premium hand-held device offering the highest standards in supremely accurate color matching. It’s particularly suited to creating special colors for designer furniture, vases, lamps, architectural facades and any application that requires high design standards.

The ColorFinder system is a smaller, hand-held device which scans colors wirelessly via Bluetooth and pairs with an iOS or Android device, enabling users to instantly search for the right color match.

“Efficiency, convenience and right-first-time color matching are vital in helping our customers to build a competitive advantage and improve the speed of service,” said Kluczewski, who adds that the initial launch is underway in Europe. “I’m sure these digital tools will help to make a difference.”

The Salcomix portfolio includes easy-to-apply topcoats and primers in a range of technologies for various substrates, including steel, aluminum, zinc and plastics.
MRC