Air Products names COO

MOSCOW (MRC) -- Air Products has appointed executive vice president Samir Serhan as chief operating officer (COO). Serhan has served as executive vice president since December 2016, and leads the company’s technology, engineering, project execution, procurement, manufacturing, construction, and start-up functions, said Chemweek.

With the appointment as COO, Serhan assumes full profit and loss responsibility for the Americas, Air Products’s largest operating region, representing 45% of total company sales in fiscal-year 2019.

The company previously announced on 21 May that it extended chairman and CEO Seifi Ghasemi's term through September 2025.

As MRC wrote earlier, in December 2014, SIBUR-Khimprom (a subsidiary of SIBUR Holding) and Air Products entered into an agreement to build a new air separation unit in Perm and to supply the facility with locally produced gases. The unit came on-stream in 2016. After the commissioning Air Products will supply industrial gases for SIBUR-Khimprom over the next 20 years.

Besides, we remind that in September 2019, SIBUR, the largest petrochemical comples in Russia and Eastern Europe, and BASF, Geman petrochemical major, agreed to closely cooperate on sustainable development to share their best practices.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 557,060 tonnes in the first three month of 2020, up by 7% year on year. High density polyethylene (HDPE) and linear low density polyethylene (LLDPE) shipments rose because of the increased capacity utilisation at ZapSibNeftekhim. Demand for LDPE subsided. At the same time, PP shipments to the Russian market was 267,630 tonnes in January-March 2020, down 20% year on year. Homopolymer PP and PP block copolymers accounted for the main decrease in imports.
MRC

MOSCOW (MRC) -- South Korean petrochemical producer LG Chem is carrying out emergency inspections at all 40 of its factories worldwide in response to two fatal accidents this month, including a leak of styrene vapour at the LG Polymers India plant in Visakhapatnam that killed at least 12 people, said Chemweek.

The inspections will be done by internal and external safety experts and will be completed by the end of June. Safety upgrades will be made as needed, but LG said any plants with questionable prospects for being made safe may be closed indefinitely. The company did not indicate if the inspections will disrupt production at the plants.

The 7 May incident at LG Polymers India also injured hundreds of people. A fire at an LG Chem research center in South Korea's Daesan less than two weeks later, killed one worker and hospitalised two others.

SM is the main feedstock for the production of polystyrene (PS).

According to MRC's ScanPlast report, March 2020 estimated consumption of PS and styrene plastics dropped by 2% year on year, totalling 42,130 tonnes. The estimated consumption totalled 121,880 tonnes in the first three months of 2020, down by 2% year on year. Overall, Russian plants produced 42,790 tonnes in March 2020. Overall output of high impact polystyrene (HIPS) and general purpose polystyrene (GPPS) totalled 32,100 tonnes in March 2020. 98,390 tonnes of HIPS and GPPS were produced in January-March 2020. The decrease in Russian plants' output was 3%.

LG Chem Ltd., often referred to as LG Chemical, is the largest Korean chemical company and is headquartered in Seoul, South Korea. According to ICIS report, it is 15th biggest chemical company in the world in 2011. It has eight domestic factories and global network of 29 business locations in 15 countries. LG Chem is a manufacturer, supplier, and exporter of petrochemical goods, IT&E Materials and Energy Solutions.
MRC

MOSCOW (MRC) -- Japanese refiner and petrochemicals producer Idemitsu expects to maintain sales of its basic petrochemical products in the April 2020-March 2021 fiscal year at the same level as 2019-20, said Chemweek.

Idemitsu sold a total of 4.1mn t of basic petrochemical products, including ethylene, paraxylene (PX), propylene and styrene monomer (SM), in 2019-20, down by around 5pc from 4.3mn t in 2018-19. The sales volume of each product was not disclosed.

The company has a production capacity of 1mn t/yr for ethylene, 1.3mn t/yr for PX, 817,000 t/yr for propylene and 750,000 t/yr for SM.

Idemitsu's forecast is based on exports of PX and SM to its main buyer China last month, which were almost stable from a year earlier. These April export volumes were not disclosed.

But there is a level of uncertainty in the forecast as demand from electronics manufacturers in the US and Europe is likely to fall in 2020-21, Idemitsu said.

Like rival refiner JXTG, Idemitsu has been focusing on producing petrochemical products, especially high-functioning engineering plastics, amid falling demand for gasoline.

The firm expects its 2020-21 gasoline sales to decline to 215,411 b/d, down by 11.5pc from 243,311 b/d in the previous fiscal year. Idemitsu's 2019-20 gasoline sales were down by 8.2pc from 265,145 b/d in 2018-19.

Japan raised its production of ethylene and propylene by 1.4pc to 6.3mn t and by 3.1pc to 5.4mn t, respectively, in 2019-20 from a year earlier, according to data from the ministry of economy, trade and industry. But the country produced less PX and SM in 2019-20, down by 7.3pc on the year to 3.3mn t and by 0.7pc to 2mn t, respectively.

As MRC wrote previously, Idemitsu Kosan shut its naphtha cracker for a maintenance turnaround in Chiba from 9 April 2019 to end-May 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 557,060 tonnes in the first three month of 2020, up by 7% year on year. High density polyethylene (HDPE) and linear low density polyethylene (LLDPE) shipments rose because of the increased capacity utilisation at ZapSibNeftekhim. Demand for LDPE subsided. At the same time, PP shipments to the Russian market was 267,630 tonnes in January-March 2020, down 20% year on year. Homopolymer PP and PP block copolymers accounted for the main decrease in imports.

Idemitsu Kosan is a Japanese petroleum company. It owns and operates oil platforms, refineries and produces and sells petroleum, oils and petrochemical products. The company runs two petrochemical plants in Chiba and Tokuyama. The two naphtha crackers can produce up to 997,000 tonnes of ethylene per year.
MRC

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

The price increase was effective for orders shipped on or after 22 May, 2020, or as contracts otherwise allow, and is incremental to any previously announced increases.

Thus, May VAM prices rose for the Chinese region by RMB350/mt.

According to MRC's DataScope report, February EVA imports to Russia rose by 9,83% year on year to 3,107 tonnes from 2,829 tonnes a year earlier, and overall imports of this grade of ethylene copolymer into the Russian Federation increased in January-February 2020 by 8,36% year on year to 6,194 tonnes (5,716 tonnes a year earlier).

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 2019 net sales of USD6.3 billion.
MRC

MOSCOW (MRC) -- China's Jiangsu Sailboat Petrochemical shut down one line at its 260,000 mt/yr acrylonitrile (ACN) plant for turnaroundi from early May to mid-May, reported S&P Global.

The company's two 260,000 mt/year ACN plants are located in Lianyugang, Jiangsu province, China. Jiangsu Sailboat Petrochemical had run these ACN plants at 85%, down from near full capacity, since early March due to lackluster demand.

As MRC informed before, in March 2018, Honeywell announced that Jiangsu Sailboat Petrochemical Company, Ltd. had accepted a new methanol-to-olefins (MTO) unit provided by Honeywell UOP, and that the plant was operating and had met all guarantees. With a production capacity of 833,000 metric tons per year, the unit is the largest single-train MTO unit in the world. Honeywell UOP, which pioneered MTO technology, started its first MTO unit for China's Wison Clean Energy in 2013.

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

According to MRC's DataScopr report, overall imports of acrylonitrile-butadiene-styrene (ABS) to the Russian market increased in the first four months of 2020 by 5% year on year to 10,900 tonnes. This figure was at 10,400 tonnes in January-April 2019. Last month's imports of material to the Russian Federation rose by 5% to 3,300 tonnes from 3,100 tonnes a year earlier. March ABS imports into the country were 2,800 tonnes.

Jiangsu Sailboat Petrochemical, part of the Shenghong Holding Group, is a major petrochemical manufacturer in China, including polyethylene (PE) and ethylene-vinyl-acetate (EVA). The company's production facilities are located in the new Xuwei Industrial Park in Lianyungang City, Jiangsu Province.
MRC