Thyssenkrupp wins PMC services contract for Nayara planned Vadinar petrochemical project

MOSCOW (MRC) -- Thyssenkrupp Industrial Solutions (India) has recently signed a contract with Nayara Energy, under which it will provide project management consultancy (PMC) services for Nayara's new petrochemical project to be built at the site of Nayara's 20-million-t/y Vadinar refinery in India, according to Apic-online.

The USD850-million project, which will mark Nayara's entry into the petrochemical sector, includes a 450,000-t/y propylene recovery unit, a 450,000-t/y Unipol polypropylene (PP) plant, a 200,000-t/y methyl tertiary butyl ether unit and associated off-sites and utility facilities.

PCN earlier said the project was expected to be completed in 2022.

"Nayara Energy's endeavors in the petrochemical sector are aligned towards our larger aspiration to play a vital role in India's development story," noted Nayara Energy Chief Executive B. Anand.

As MRC informed before, in December 2017, Thyssenkrupp Industrial Solutions’ subsidiary Uhde Inventa-Fischer signed a contract to build two new world-scale polymer plants for SASA Polyester Sanayi A.S in Adana, Turkey. One plant is planned to produce 380,000 tpy of polyethylene terephthalate (PET) for low-viscosity applications. The second plant will use Uhde Inventa-Fischer’s proprietary patented MTR technology to produce 216,000 tpy of resin for the production of PET bottles. Both new plants are among the largest single-line production plants for their respective products.

Propylene is the main feedstock for the production of polypropylene (PP).

According to MRC's ScanPlast report, the PP consumption in the Russian market was 1,161,830 tonnes in January-November 2019, up by 7% year on year. Deliveries of all grades of propylene polymers increased, with the homopolymer PP segment accounting for the largest increase.
MRC

MOSCOW (MRC) -- Keiyo Ethylene, has lowered operational rates at the cracker, owing to bearish market conditions, according to Apic-online.

A Polymerupdate source in Japan informed that, the company has cut its run rates to around 90-95% of production capacity levels at the cracker in early-January, 2020.

Located at Chiba in Japan, the cracker has an ethylene capacity of 768,000 mt/year and propylene capacity of 450,000 mt/year.

As MRC informed previously, in 2019, Keiyo Ethylene took its naphtha cracker in Chiba off-stream for a maintenance work on February 15, 2019. The repair works remained in force for around 10-15 days. Located at Ichihara in Chiba prefecture of Japan, the cracker has a production capacity of 740,000 mt/year.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,904,410 tonnes in the first eleven months of 2019, up by 6% year on year. Shipments of all PE grades increased. PE shipments increased from both domestic producers and foreign suppliers. The PP consumption in the Russian market was 1,161,830 tonnes in January-November 2019, up by 7% year on year. Deliveries of all grades of propylene polymers increased, with the homopolymer PP segment accounting for the largest increase.

Founded in 1991, Keiyo Ethylene Co. Ltd. produces and sells petrochemical products. The Company produces ethylene, propylene, and other petrochemical products.
MRC

MOSCOW (MRC) -- Honeywell has recently announced that Ceyhan Polipropilen Uretim A.S. will use Honeywell UOP’s C3 Oleflex technology to produce 457,000 metric tons per year of polymer-grade propylene for a new petrochemicals complex in Ceyhan, Turkey, reported Hydrocarbonprocessing.

Ceyhan Polipropilen Uretim is a joint venture of Ronesans Holding and the Algerian national energy company Sonatrach S.p.A. The new unit will be used to supply propylene for production of polypropylene (PP), which is used to make a wide variety of plastic products that are growing in demand globally.

Honeywell UOP will provide technology licensing and customized basic engineering design, services, equipment, catalysts and adsorbents for the plant. When completed, this will be the first propane dehydrogenation (PDH) unit to operate in Turkey.

"There is growing demand in the region for propylene to make plastics, and that propylene has historically been a byproduct of refining fuels, or a product of naphtha cracking," said Bryan Glover, vice president and general manager of Honeywell UOP’s Petrochemicals and Refining Technologies business. "The Oleflex technology produces a high yield of propylene from propane derived from natural gas, and Ceyhan is an ideal location for this technology because it’s close to the main consumers of polypropylene in Turkey."

The new unit will enable Ceyhan Polipropilen to manufacture polypropylene domestically, reducing Turkey’s dependence on imports from manufacturers in the Middle East and Western Europe. Turkey accounts for half the total demand for polypropylene in the region. Demand for polypropylene in Turkey is expected to grow at about 2.5% annually over the next decade.

UOP’s C3 Oleflex technology converts propane to propylene through catalytic dehydrogenation. The technology is designed to have a lower cash cost of production and higher return on investment when compared to competing dehydrogenation technologies. Its low energy consumption, low emissions, minimal water usage and fully recyclable, platinum-alumina-based catalyst system help minimize its impact on the environment. The independent reactor and regeneration design of the Oleflex technology helps maintain stable operations with high onstream reliability.

Oleflex technology has been selected for a majority of dehydrogenation projects globally since 2011, including applications for propane, isobutane (iC4) and mixed propane and isobutane feeds.

Turkey imported more than 2 million metric tons of polypropylene in 2017. The new plant is expected to reduce Turkish imports of polypropylene by 25%, and offset approximately USD13 billion in imported petrochemicals, representing a third of Turkey’s foreign trade deficit in manufacturing.

As MRC wrote previously, in December 2019, Honeywell announced that Shandong Binhua New Material Co., Ltd. will use Honeywell UOP’s C3 Oleflex technology to produce 600,000 metric tons per year of polymer-grade propylene for a proposed plant in China.

Propylene is the main feedstock for the production of polypropylene (PP).

According to MRC's ScanPlast report, the PP consumption in the Russian market was 1,161,830 tonnes in January-November 2019, up by 7% year on year. Deliveries of all grades of propylene polymers increased, with the homopolymer PP segment accounting for the largest increase.

Honeywell UOP is a leading international supplier and licensor of process technology, catalysts, adsorbents, equipment, and consulting services to the petroleum refining, petrochemical, and gas processing industries. Honeywell UOP is part of Honeywell’s Performance Materials and Technologies strategic business group, which also includes Honeywell Process Solutions, a pioneer in automation control, instrumentation and services for the oil and gas, refining, petrochemical, chemical and other industries.
MRC

MOSCOW (MRC) -- The commissioning of Malaysia's Pengerang Refining and Petrochemical integrated refinery and petrochemicals complex, also known as PRefChem, will be delayed until the second half of 2020 from the date of end-2019, due to the fire at some units in April 2019, reported S&P Global with reference to Saudi Aramco's statement in its IPO prospectus published recently.

Any delay would hold back some crude and product trade flows that were expected on the startup of PRefChem, in which Malaysia's state-run Petronas and Saudi Aramco own a 50% stake each.

Petronas had said in September the Pengerang Integrated Complex, where PRefChem is located, was on track to achieve commercial operations in the fourth quarter of 2019, with overall progress of 99.7% as of 30 June 2019.

Saudi Aramco had a gross refining capacity of 4.9 million b/d as of 31 December 2018. It said it expects capacity additions from its purchase of a 17% interest in Hyundai Oilbank, the Jazan integrated petrochemical refinery and PRefChem to increase its gross refining capacity to 6.8 million b/d by the end of 2020.

The PRefChem joint ventures, Pengerang Petrochemical Co and Pengerang Refining Co, together include a 300,000 b/d refinery, an integrated steam cracker with a capacity of 1.3 million mt of ethylene, with associated propylene, butadiene, benzene, polyolefins and ethylene glycol facilities.

Saudi Aramco expects these facilities to be commissioned in the second half of 2020 and will provide a significant portion of PRefChem's crude supply under a long-term supply agreement, giving it an expansion opportunity in Southeast Asia and new geographies for its crude oil production, the document said.

PRefChem, located in Malaysia's southern state of Johor, adjacent to the regional trading hub of Singapore, will be supported by a deep-water oil terminal, an LNG regasification plant, crude and LNG storage and a cogeneration power plant.

It will produce Euro 5 gasoline and diesel and other refined products as well as feedstock for the production of three million mt/year of petrochemical products.

Saudi Aramco will provide long-term placement of 150,000 b/d of crude to PRefChem, with an option for an additional 60,000 b/d and have offtake rights for 50% of production, including gasoline, diesel, kerosene, olefins, polymers and glycol.

Additionally, Aramco said it has signed a non-binding letter of intent with Reliance Industries on 12 August 2019 to purchase a 20% stake in the Indian refining major's oil to chemicals division.

The document also said the Jazan refinery is expected to begin operations at the end of 2019 and is expected to be ready for full operations in the second half of 2020. Jazan has a capacity of 400,000 b/d.

As MRC informed before, PrefChem received commerical ethylene and propylene at its new cracker in Pengerang on 13 September, 2019.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,904,410 tonnes in the first eleven months of 2019, up by 6% year on year. Shipments of all PE grades increased. PE shipments increased from both domestic producers and foreign suppliers. The PP consumption in the Russian market was 1,161,830 tonnes in January-November 2019, up by 7% year on year. Deliveries of all grades of propylene polymers increased, with the homopolymer PP segment accounting for the largest increase.

PrefChem a joint venture between Malaysia's Petroliam Nasional Bhd, or Petronas, and Saudi Aramco. The Pengerang Refining development, part of Petronas’ USD27 billion Pengerang Integrated Complex, consists of a 300,000 barrels-per-day (bpd) oil refinery and a petrochemical complex with a production capacity of 7.7 million tonnes per year in the southern Malaysian state of Johor.

Petronas, short for Petroliam Nasional Berhad, is a Malaysian oil and gas company wholly owned by the Government of Malaysia. The Group is engaged in a wide spectrum of petroleum activities, including upstream exploration and production of oil and gas to downstream oil refining; marketing and distribution of petroleum products; trading; gas processing and liquefaction; gas transmission pipeline network operations; marketing of liquefied natural gas; petrochemical manufacturing and marketing; shipping; automotive engineering; and property investment.

Saudi Aramco, officially the Saudi Arabian Oil Company, is a Saudi Arabian national oil and natural gas company based in Dhahran, Saudi Arabia. Saudi Aramco"s value has been estimated at up to USD10 trillion in the Financial Times, making it the world"s most valuable company. Saudi Aramco has both the largest proven crude oil reserves, at more than 260 billion barrels, and largest daily oil production.
MRC