Ukrainian EPS imports remains the same in 2019

MOSCOW (MRC) -- Last year's expandable polystyrene (EPS) imports to the Ukrainian market virtually remained at the level of 2018, reaching 33,500 tonnes, according MRC's DataScope report.

This figure was 33,700 tonnes in January-December 2018.


Russian material accounted for 52% (17,400 tonnes) of the total shipments in the twelve months of 2019, compared to 57% (19,400 tonnes) a year earlier. Chinese EPS shipments reached 35% (11,800 tonnes) over the stated period, compared to 28% (9,500 tonnes) in January-December 2018.

December 2019 EPS imports into Ukraine were 1,700 tonnes versus 1,600 tonnes a month earlier and 1,000 tonnes in December 2018.

The share of Russian material grew to 72% (1,300 tonnes) last month from 69% (1,200 tonnes) a month earlier. The share of Chinese shipments dropped to 11% (190 tonnes) in December from 14% (2350 tonnes) in November.

MRC

Celanese raises January VAM prices in Asia

MOSCOW (MRC) -- Celanese Corporation, a global specialty materials company, has increased January list and off-list selling prices for Vinyl Acetate Monomer (VAM) sold in Asia outside China (AOC), as per the company's press release.

The price increase was effective for orders shipped on or after 17 January, 2020, or as contracts otherwise allow, and is incremental to any previously announced increases.

Thus, January VAM prices rose by USD100/mt - for AOC.

As MRC reported earlier, Celanese also raised its January VAM prices in Europe, Middle East and Africa by EUR100/mt.

According to MRC's DataScope report, November EVA imports to Russia dropped by 8,9% year on year to 3,440 tonnes from 3,780 tonnes in November 2018, and overall imports of this grade of ethylene copolymer into the Russian Federation decreased in January-November 2019 by 18,9% year on year to 35,95 tonnes (44,330 tonnes in the first eleven months of 2018).

Celanese Corporation is a global technology leader in the production of differentiated chemistry solutions and specialty materials used in most major industries and consumer applications. Based in Dallas, Celanese employs approximately 7,700 employees worldwide and had 2018 net sales of USD7.2 billion.
MRC

Kazakhstan suspends oil exports to China after fresh contamination

MOSCOW (MRC) -- Kazakhstan has suspended its oil exports to China after contamination was found in crude supplied by a Kazakh producer less than a year after a "dirty oil" crisis broke in neighboring Russia, reported Reuters.

Oil exports to China have been suspended because of high content of organic chloride, the Kazakh energy ministry said on Wednesday.

CNPC Aktobemunaigas, a Kazakh subsidiary of Chinese energy group CNPC, has been cut off from the Central Asian nation’s oil pipelines since Jan. 16, pipeline operator Kaztransoil said on Wednesday.

Unlike the Druzhba pipeline problems in April last year, when 5 million tonnes of oil were contaminated with organic chlorides, the origin this time was Kazakh oilfields, though the volume affected remains unclear.

Kazakh oil exports to China will be resumed after the issue with CNPC Aktobemunaigas oil quality is fixed, the Kazakh energy ministry said.

CNPC Aktobemunaigas did not reply immediately to a request for a comment.

Kaztransoil has also reviewed shipment plans for the Shymkent and Pavlodar oil refineries, it said without providing any details on volumes.

The impact in terms of volume does not seem to be considerable, given that the Pavlodar refinery has been running close to 100,000 bpd, said Florian Thaler, strategist and chief executive at consultancy OilX.

Tests of crude oil in the Kazakh pipeline system carried out this week showed organic chloride content of 70-120 parts per million (ppm), which far exceeds a 6 ppm limit allowed in Russia and Kazakhstan.

Russian and Kazakh pipeline systems are linked, with Kazakhstan moving 15 million tonnes of oil a year via Russian ports.

Russia’s crude oil supplies to China via Kazakhstan remain unaffected.

Russian oil company Transneft (TRNF_p.MM) on Wednesday said that oil supplies to and from Kazakhstan are running as normal, the Interfax news agency reported.

CNPC Aktobemunaigas was Kazakhstan’s sixth-largest producer in 2018 with output of 4.9 million tonnes, about 4.3% of the country’s total production.

As MRC informed before, South Korea's LG Chem said in January 2016, it had decided to drop a plan to jointly build a USD4.2-billion petrochemical complex in Kazakhstan, citing a prolonged slump in oil prices and a sharp increase in facility investments. In 2011, the chemical company said it would construct the complex near the western Kazakh city of Atyrau as part of a 50-50 joint venture with two Kazakh companies. The plan involved building ethylene and polyethylene plants with annual capacities of 840,000 tonnes and 800,000 tonnes, respectively. The project was announced in 2013.

Ethylene and propylene are feedstocks for producing 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.
MRC

Imports of injection moulding PET chips to Russia increased by 13% in January-December 2019

MOSCOW (MRC) - Imports of PET chips into Russia increased by 13% in 2019 compared to the same time a year ago and reached 144,800 tonnes compared to 128,500 tonnes (excluding supplies from Belarus over the past two months), according to MRC's ScanPlast.
Russia's PET imports increased by 10% in December to 13,600 tonnes against 12,300 tonnes in November; last December material imports amounted to 12,400 tonnes.

The share of Chinese material was 82% (11,200 tonnes) in December versus 78% (9,600 tonnes) a month earlier.

The share of Chinese material in total imports amounted to 91% (11,300 tonnes) in December last year.
MRC

Lukoil to shut ACN plant for maintenance

MOSCOW (MRC) -- Lukoil, Russian petrochemical major, is likely to take off-stream its acrylonitrile (ACN) plant in April 2020, according to Apic-online.

A Polymerupdate source in the Russia informed that, the company has planned to shut the plant in early-April, 2020. The plant is expected to remain off-line for around 10-15 days.

Located in Saratov, Russia, the plant has a production capacity of 190,000 mt/year.

As MRC informed before, Stavrolen (part of Lukoil), Russia's major polyolefins producer, has resumed its polypropylene (PP) production in Budennovsk after a long scheduled turnaround. The plant's customers said Stavrolen had fully resumed its PP production after the long scheduled maintenance by 15 October 2019. The outage began on 6 September. The start-up of the plant"s high density polyethylene (HDPE) production took place with a week delay.

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.

ACN is a feedstock for the production of acrylonitrile-butadiene-styrene (ABS).

According to ICIS-MRC Price report, Russia's November ABS imports were 3,300 tonnes versus 3,500 tonnes a month earlier and 4,100 tonnes in November 2018. Overall ABS imports to Russia slightly decreased year on year in the first eleven months of 2019 to 31,300 tonnes.

Lukoil is one of the leading vertically integrated oil company in Russia. The main activities of the company include operations for exploration and production of oil and gas, production and sale of petroleum products. Lukoil is the second largest private oil Company worldwide by proven hydrocarbon reserves. Lukoil's structure includes one of the largest Russian petrochemical plant - Stavrolen.
MRC