UK waste giant opens large PET recycling facility

MOSCOW (MRC) -- UK waste management company Biffa announced the formal opening of its 27.5 million pound sterling (about USD35.7 million) facility in Seaham, County Durham, in northern England, reported Plastics Recycling Update.

Biffa called the facility, capable of recycling 57,000 metric tons of PET annually, "among the most modern and technically advanced of its kind in the world."

To start, the plant will produce flakes. Getting to that point has required a roughly USD19.5 million investment. According to a press release, over the next 12 months, another USD16.2 million will be spent expanding the facility’s capabilities to include compounding and palletizing.

"This facility will help the UK address two of its most pressing issues - plastic waste and the climate emergency," Michael Topham, Biffa’s chief executive, stated in the press release. "Whilst we must work towards reducing overall plastic consumption as a society, the fact remains that plastic has a vital role as a lightweight, durable, low energy-intensity material, that if recycled properly can have a sustainable role in modern life. Facilities like ours at Seaham will help ensure that we can recycle our own plastic waste here in the UK, creating jobs in the green economy and stimulating the development of more sustainable packaging."

According to the release, the facility will sell RPET into a variety of markets, including food and drink packaging and clothing. It is expected to generate about USD52 million in revenue a year.

A publicly traded company, Biffa collects garbage and recyclables, sorts and sells recyclables at materials recovery facilities (MRFs), recycles plastics, burns material for energy recovery and landfills waste. The company collects over 4 million metric tons of garbage and recyclables from UK households and businesses each year.

In terms of plastics recycling, Biffa already runs an HDPE recycling facility in Redcar, North Yorkshire. That plant produces food-grade recycled HDPE for use in milk bottles and other products.

"We have a significant opportunity to grow our Biffa Polymers business, with strong demand for the closed loop food grade recycled plastic we produce," according to a half-year financial report released in November. An accompanying presentation noted that demand for offtake at the Seaham plant was already exceeding capacity there.

Biffa also announced it will build a new plastics processing facility in Washington, a town in northern England not far from Seaham. That USD9 million facility will recycle up to 44 million pounds of plastic pots and trays per year. It will be built over the next year.

As per MRC's ScanPlast report, imports of PET chips into Russia increased by 13% year on year in the first eleven months of 2019, reaching 130,800 tonnes, compared to 116,100 tonnes a year earlier (excluding shipments from Belarus). Russia's PET imports almost doubled in November 2019, totalling 12,300 tonnes, versus 6,300 tonnes in October; imports of material were 8,200 tonnes in November 2018. The share of Chinese material was 78% (9,600 tonnes) in November versus 92% (5,800 tonnes) a month earlier.
MRC

SABIC sees slowdown in 2020

MOSCOW (MRC) -- The CEO of Saudi Basic Industries Corp (SABIC), the world’s fourth-biggest petrochemicals firm, said he expects a slowdown in 2020, although it was too early to determine the impact of the outbreak of China’s coronavirus on demand, reported Reuters.

SABIC had not suspended travel or taken any other measures because of the virus, Yousef al-Benyan said at a news briefing following the company’s publication of its financial results.

"We haven’t had any ban in terms of trade or travel to China so far," he added.

SABIC reported a fourth-quarter net loss of 720 million riyals (USD191.94 million), the first quarterly loss in over a decade, due to lower average selling prices and a writedown at an affiliate.

As MRC informed earlier, SABIC Europe, an affiliate of SABIC, conducted a maintenance work at its cracker No.3 at Geleen site in the Netherlands last autumn. The planned maintenance started in September and lasted around 2 months. The company operates two steam crackers in Geleen which are capable of producing 1,250,000 tons/year of ethylene and 675,000 tons/year of propylene in total.

Earlier last year, SABIC took off-stream its SABIC Olefins 4 cracker owing to technical issues on May 10, 2019. Further details on duration of the shutdown could not be ascertained. Located in beek, the Netherlands, the cracker has an ethylene production capacity of 690,000 mt/year and a propylene production capacity of 360,000 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.

Saudi Basic Industries Corporation (Sabic) ranks among the world's top petrochemical companies. The company is among the world's market leaders in the production of polyethylene, polypropylene and other advanced thermoplastics, glycols, methanol and fertilizers.
MRC

SABIC to liquidate three subsidiaries

MOSCOW (MRC) -- Saudi Basic Industries Corporation (SABIC) plans to voluntarily liquidate three wholly-owned subsidiaries, in line with its transformation plans, reported Kemicalinfo with reference to a statement sent to the Saudi Stock Exchange (Tadawul).

The liquidation decision includes SABIC Industrial Catalysts Co., Saudi Carbon Fiber Co. and the Saudi Japanese Acrylonitrile Co. as per a Dec. 31 filing with the Saudi Stock Exchange.

According to the filing, Riyadh-based SABIC will continue to develop the products of these companies through other subsidiaries.

The liquidation is not expected to have any financial impact on SABIC’s consolidated financial statement.

As MRC informed earlier, SABIC Europe, an affiliate of SABIC, conducted a maintenance work at its cracker No.3 at Geleen site in the Netherlands last autumn. The planned maintenance started in September and lasted around 2 months. The company operates two steam crackers in Geleen which are capable of producing 1,250,000 tons/year of ethylene and 675,000 tons/year of propylene in total.

Earlier last year, SABIC took off-stream its SABIC Olefins 4 cracker owing to technical issues on May 10, 2019. Further details on duration of the shutdown could not be ascertained. Located in beek, the Netherlands, the cracker has an ethylene production capacity of 690,000 mt/year and a propylene production capacity of 360,000 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.

Saudi Basic Industries Corporation (Sabic) ranks among the world's top petrochemical companies. The company is among the world's market leaders in the production of polyethylene, polypropylene and other advanced thermoplastics, glycols, methanol and fertilizers.
MRC

Wesseling MMA plant to be shut for maintenance by Roehm

MOSCOW (MRC) -- Roehm has planned to take off-stream its Methyl methacrylate (MMA) plant in June 2020, according to Apic-online.

A Polymerupdate source in Germany informed that the company is likely to start turnaround at the plant on June 5, 2020. The plant is expected to remain under maintenance for about 10 days.

Located in Wesseling, Germany, the plant has a production capacity of 95,000 mt/year.

The principal application, consuming approximately 75% of the MMA, is the manufacture of polymethyl methacrylate acrylic plastics (PMMA). Methyl methacrylate is also used for the production of the co-polymer methyl methacrylate-butadiene-styrene (MBS), used as a modifier for polyvinyl chloride (PVC).

According to MRC's DataScope report, exports of suspension polyvinyl chloride (SPVC) from Russia totalled 193,700 tonnes in 2019, up by 11% year on year. Imports increased more significantly - by 217% year on year - to 50,900 tonnes.
MRC

PDVSA, Chevron turn Venezuela crude blending plant back into upgrader

MOSCOW (MRC) -- Venezuela’s Petropiar facility, a joint venture between state oil company PDVSA and Chevron Corp, is once again operating this month as a crude upgrader after several months working as a less complex blending facility, according to a document seen by Reuters and a source with knowledge of the matter.

The facility will once again produce Hamaca-grade synthetic crude for export at the plant, according to the document. Petropiar stopped producing Hamaca last year and had been making heavier Merey crude, mostly for the Asian market, since July.

Neither PDVSA nor Chevron immediately responded to requests for comment.

Petropiar once made up to 210,000 barrels-per-day (bpd) of Hamaca out of tar-like oil from the OPEC nation’s Orinoco belt, one of the world’s largest oil reserves. The extra-heavy crude must be upgraded or blended with lighter grades at facilities near the Jose terminal before being exported.

But PDVSA struggled to find markets for that grade after the United States, previously Venezuela’s largest customer, slapped sanctions on the company last year as part of Washington’s push to oust socialist President Nicolas Maduro, who has overseen a dramatic economic collapse along with a freefall in crude output.

It was not immediately clear if PDVSA had a client lined up for the Hamaca crude.

We remind that in March 2018, Chevron Phillips Chemical Company LP successfully introduced feedstock and commenced operations of a new ethane cracker at its Cedar Bayou facility in Baytown, Texas. At peak production, the unit will produce 1.5 million metric tons/3.3 billion lbs. per year.

As MRC wrote before, US-based Phillips 66 remains open to developing another ethane cracker for its Chevron Phillips Chemical (CP Chem) joint venture, the refiner's CEO said in March 2018.

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.

Headquartered in San Ramon, California, Chevron Corporation is the the second-largest integrated energy company in the United States and among the largest corporations in the world. Chevron is involved in upstream activities including exploration and production, downstream activities including refining, marketing and transportation, and advanced energy technology. Chevron is also invested in power generation and gasification processes.
MRC