MOSCOW (MRC) -- Alberta's 80,000 b/d Sturgeon refinery ramped up to full operations in April as it began processing local bitumen to produce ultra low sulfur diesel and other refined products, said S&P Global.
Overall, Canadian refinery runs increased to 1.31 million b/d of 67% of capacity for the week ended May 12, up from the 1.27 million b/d the week earlier, according to National Energy Board data.
As MRC informed earlier, expanding the capacity of Alberta's refining and upgrading sector has long been a focus of the Resource Diversification Council (RDC). Alberta's bitumen has been netting record low prices due to oversupply. The opportunity to refine this low value feedstock into much higher value end products like gasoline and diesel could mean millions of dollars in revenue for the province and thousands of high paying jobs.
As MRC informed before, a new multibillion-dollar petrochemical facility being developed in Alberta will be built by a 50/50 partnership between Fluor Canada Ltd. and Kiewit Construction Services ULC. The partnership is called Canada Kuwait Petrochemical Corporation (CKPC). The deal with Fluor and Kiewit covers construction of the site’s propane dehydrogenation facility. CKPC said in January 2020 the contractor selection process for the polypropylene upgrading facility is still ongoing.
Calgary-based Pembina Pipeline Corp. and Petrochemical Industries Co. K.S.C. of Kuwait have been planning the facility within the Alberta Industrial Heartland development area northeast of Edmonton for nearly four years. Pembina has a 50 per cent interest in the joint venture with Petrochemical Industries, which will own the propane dehydrogenation and polypropylene upgrading plants.
Propylene is the main feedstock for the production of polypropylene (PP).
As per MRC's DataScope report, April PP imports to Ukraine decreased to 8,100 tonnes under the pressure of quarantine restrictions due to coronavirus against 10,500 tonnes a month earlier.Due to the partial shutdown of capacities, local companies have seriously reduced purchases of all types of propylene polymers. Overall imports of propylene polymers reached 39,100 tonnes in January-April 2020, compared to 45,000 tonnes a year earlier.
Only supplies of stat propylene copolymers (PP random copolymers) increased, while the demand for propylene polymers decreased.
MRC