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Poland expects to remove tainted Russian oil by July 2020

October 09/2019

MOSOCW (MRC) -- Polands pipeline operator PERN expects that its system will be completely cleared of contaminated Russian oil by July 2020, reported Reuters with reference to its Chief Executive Igor Wasilewski's statement.

Buyers including Polish state-run refiners PKN Orlen and Lotos discovered in April that supplies of Russian crude had been contaminated with organic chloride, a chemical used in oil recovery that can damage refining equipment.

PERN halted Russian oil imports via the Druzhba pipeline after the contamination was detected. Flows were partially restarted in June.

"A few weeks ago I was an optimist and I thought that removing the chlorided oil from the system would take half a year," Wasilewski told reporters.

"Now I know that PKN Orlen and Lotos are checking how their refineries behave and carefully blending the Russian oil. I think that we will finally get rid of this oil from PERNs stores in July 2020 at the earliest."

As MRC wrote previously, in September 2019, Honeywell announced that PKN ORLEN 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 is a major Polish oil refiner and petrol retailer. The company is a significant European publicly traded firm with major operations in Poland, Czech Republic, Germany, and the Baltic States. It currently (2015) ranks 353, with a revenue of over USD33.8 billion.
Author:Margaret Volkova
Tags:PP, PE, benzene, crude and gaz condensate, PP block copolymer, homopolymer PP, propylene, ethylene, petrochemistry, PKN Orlen, Poland, Russia.
Category:General News
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