Next Wave to build ethylene-based alkylate plant in Pasadena

MOSCOW (MRC) -- Next Wave Energy Partners (Houston, Texas) has decided to go forward with plans to build an ethylene-based alkylate plant in Pasadena, Texas, on the Houston Ship Channel, with completion slated for mid-2022, reported Chemweek.

The facility will have capacity to produce 28,000 bbl/day of alkylate, a gasoline blending component, while consuming over 1.2 billion lbs/year (540,000 metric tons/year) of ethylene feedstock, says New Wave.

"By starting with a chemically pure feedstock and thereby avoiding the feedstock constraints typically found in refinery alkylation, our facility will produce one of the highest-quality alkylate products available in North America, which is particularly attractive for blending the cleaner-burning gasoline required by the high performance engines of today and tomorrow," says Patrick Diamond, executive chairman of New Wave.

New Wave says the Pasadena facility has been designed for expansion. "Working with potential suppliers and offtake partners, we have already commenced engineering for a second alkylation unit at our Pasadena site to capitalize on incremental demand for our services," says Michael Bloesch, president and CEO. "We believe our premier location near the Houston Ship Channel offers our customers unsurpassed connectivity to feedstock supply, product offtake and gasoline blending and distribution infrastructure."

Alkylate from the facility will be delivered by direct-connection pipeline to Pasadena blending terminals with dock access to the Houston Ship Channel and connections to major refined product distribution pipelines, says Next Wave.

Ethylene is also a feedstock for the production of polyethylene (PE).

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,589,580 tonnes in the first nine months of 2019, up by 7% year on year. Shipments of all PE grades increased.

We remind that, as MRC wrote previously, in March 2019, Bayport Polymers LLC (Baystar), the 50/50 joint venture owned by Total Petrochemicals & Refining USA, Inc. (TPRI) and Novealis Holdings LLC - itself a joint venture co-owned by Borealis AG and NOVA Chemicals Inc. - held its official groundbreaking ceremony for the construction of a new 625,000 metric ton-per-year Borstar polyethylene unit at its production site in Pasadena, Texas, with an anticipated start-up in 2021.
MRC

Imports of injection moulding PET chips to Belarus rose by 14% in January-September

MOSCOW (MRC) - Import deliveries of injection moulding PET chips to the Belarusian market increased by 14% in nine months of this year and reached 17,200 tonnes compared to 15,100 tonnes in January-September last year, said MRC DataScope.

September imports of material into Belarus decreased by 20% and amounted to 1,400 tonnes compared to 1,700 tonnes in September last year, in August of the current supply amounted to 1,500 tonnes. The main supplier of material is Russia with a share in the total volume of imports of 97% (16,700 tonnes).

September imports of material into Belarus decreased by 24% and amounted to 1,300 tonnes compared to 1,700 tonnes in September last year, in August of the current supply amounted to 1,500 tonnes.

The share of imports from Russia to the Republic of Belarus also decreased in September and amounted to 92% against 97% in the same month last year.



MRC

US HDPE and LLDPE exports to China down sharply amid tariffs

MOSCOW (MRC) -- Tariffs have sharply reduced exports of two grades of US polyethylene amid the ongoing US-China trade dispute, reported S&P Global with reference to data from the US International Trade Commission.

As new US startups have brought more high density and linear low density polyethylene production on line, flows into China, the largest global demand center, have retreated since China imposed 25% tariffs on those grades in August last year. Those tariffs, like the rest China has imposed on the US products, were in response to tariffs the US first imposed on Chinese products.

USITC data showed that during the first nine months of 2019, China received 121,255 mt of US HDPE, down 57% from the January-September period of 2018.

Over the same period in 2019, US LLDPE flows fell 37% on the year to 54,747 mt.

However, flows of US low density PE to China more than doubled to 204,199 mt from 75,911 mt, the data showed. China did not impose tariffs on LDPE last year.

US producers have started up 72% of 6.4 million mt/year of new PE capacity coming online from 2017-2019 in the first wave of new petrochemical infrastructure to be built to exploit cheap ethane unearthed by the US natural gas shale boom. The remaining 1.77 million mt/year is slated to start up by year-end, barring any delays.

The second and potentially third waves are expected to bring another 7.27 million mt of new PE capacity come online after 2020. HDPE and LLDPE make up more than 90% of the known new capacity either in operation, under construction or planned, while LDPE makes up about 6.5%.

While flows to China have fallen for the two grades facing tariffs since August 2019, overall exports were up sharply, reflecting the increased output, USITC data showed.

In the January-September period this year, the US exported 1.62 million mt of HDPE, up 44% from the same period in 2018. The 2019 amount also surpasses the 2.52 million mt exported throughout 2018.

LLDPE outflows rose 24% in the first nine months of 2019 to 710,948 mt compared to the same period last year, and 972,850 mt in LDPE exports was 52.6% higher than in the January-September period of 2018.

Flows to Vietnam increased notably for all three grades, the data showed. HDPE and LLDPE exports to Vietnam rose more than five times over the January-September period to 122,607 mt and 86,268 mt, respectively, compared to the same span in 2018. LDPE flows more than doubled to 26,7639 mt.

Flows to Belgium also rose significantly for all the three grades in the first nine months of 2019 compared to the same span in 2018. HDPE and LDPE flows to Belgium nearly tripled to 158,530 mt and 38,764 mt, respectively, while LLDPE flows rose more than 11% to 60,301 mt, the data showed.

According to MRC's DataScrope report, September HDPE imports dropped to 34,500 tonnes from 35,900 tonnes in August, Russian companies reduced their PE shipments from Uzbekistan. Overall HDPE shipments totalled 266,900 tonnes in the first nine months of 2019, compared to 181,600 tonnes a year earlier, with pipe grade and film grade HDPE accounting for the greatest increase in imports. At the same time, September LLDPE imports to Russia rose to 15,400 tonnes from 13,100 tonnes a month earlier, with LLDPE imports from the USA showing a significant rise. Overall LLDPE imports to the Russian market reached 127,100 tonnes in the first nine months of 2019, down by 7% year on year.

While polyethylene is used to make the most-used plastics in the world, each grade has a different makeup to satisfy specific uses. HDPE is used to make natural gas transmission pipes, milk jugs, grocery bags, paint jugs and toys, while LLDPE is used in making heavy-duty packaging, such as trash bags and stretch film for industrial use. LDPE, the oldest type of polyethylene, is used to make food packaging, carpet backing, hot melt adhesives and road stabilizers.
MRC

November sales of EPS boards down in Ukrainian market by 20%

MOSCOW (MRC) -- Sales of expandable polystyrene (EPS) boards fell in the Ukrainian market in the first half of November by 20% month of month, according to ICIS-MRC Price report.

Thus, the domestic EPS boards market has been experiencing a seasonal decline in demand for finished products after a peak consumption in October.

At the same time, consumption of EPS boards decreased in the first half of November by 15% year on year, said a major converters.

As reported earlier, September sales of EPS boards rose in the Ukrainian market by 20% from August 2019.

EPS boards are widely used as heat insulating material for thermal insulation of internal and external cladding structure of the building, its foundations, basements, attics, as well as engineering systems.
MRC

EPS imports to Russia rise by 32% in Jan-Oct 2019

MOSCOW (MRC) -- Overall imports of expandable polystyrene (EPS) to the Russian market grew in the first ten months of 2019 by 32% year on year to 17,700 tonnes, according to MRC's DataScope report.


This figure was 13,500 tonnes in January-October 2018.

The Finnish producer Styrochem's material accounted for 35% of the total EPS imports, the Chinese company Loyal with the share of 21% occupied the second position.

Styrochem's imports grew over the stated period by 34% year on year: from 4,610 tonnes to 6,180 tonnes. Shipments of Chinese Loyal increased by 55% year on year: from 2,400 tonnes to 3,700 tonnes.

October EPS imports to Russia fell by 20% year on year to 1,700 tonnes from 2,200 tonnes a year earlier.

MRC