Honeywell UOP Polybed to supply high purity hydrogen for Hengli Petrochemicals

MOSCOW (MRC) -- Honeywell UOP announced today that Hengli Petrochemical Co. Ltd. successfully started up seven UOP Polybed pressure swing adsorption (PSA) units supplying high-purity hydrogen at its complex in Dalian, Liaoning, China, according to Hydrocarbonprocessing.

As a fully integrated site, the complex produces gasoline and diesel, along with plastics and other chemicals. Hengli will use the PSA units in downstream hydrotreating to create feedstock for petrochemical products, producing approximately 1.4 MM Nm3/h (normal cubic meters per hour) of hydrogen.

“Hydrogen purification is essential to produce clean fuels, remove contaminants and improve the quality of fuels and petrochemicals,” said Bryan Glover, vice president and general manager, of the UOP Process Technologies business. “Customers such as Hengli are choosing UOP PSA technology because of its record of producing a reliable and efficient source of high-purity hydrogen to improve the efficiency of their operations.

Polybed PSA systems are skid-mounted, modular units complete with hardware, adsorbents, control systems and embedded process technology, enabling quick and efficient installation to reduce cost and downtime. Modular delivery can reduce the installation time by up to 30%, versus conventional “stick-built” construction.

The PSA process uses proprietary UOP adsorbents to remove impurities at high pressure from hydrogen-containing process streams, allowing hydrogen to be recovered and upgraded to more than 99.9% purity to meet refining needs. In addition to recovering and purifying hydrogen from steam reformers and refinery off-gases, the Polybed PSA system can be used to produce hydrogen from other sources such as ethylene off-gas, methanol off-gas and partial-oxidation synthesis gas.

Since its introduction in 1966, UOP has improved Polybed PSA technology with new generations of adsorbents, enhanced cycle configurations, modified process and equipment designs and more reliable control systems and equipment. Today, Honeywell UOP has installed more than 1,100 Polybed PSA units in more than 70 countries. As a result, Polybed PSA is a proven technology with dozens of large-scale unit references globally.

Hengli Petrochemical, established in 1994, is one of the largest refining and petrochemical companies in China. In 2017, Hengli selected Callidus advanced flares and low-nitrogen oxides (NOx) burner technology for its refinery and petrochemicals complex.

As MRC reported earlier, Hengli Petrochemical has resumed operations at its propylene unit following a planned outage. The company restarted the unit on March 9, 2020. The unit remained under turnaround for about one week. Located in Liaoning, China, the propylene unit has a production capacity of 450,000 mt/year.

We remind that Hengli started up the 450,000 tons/year Phase I polypropylene (PP) plant in May 2019 and launched its Phase II PP plant by end of November 2019.

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

According to MRC's ScanPlast report, Russia's overall PE production totalled 1,712,400 tonnes in the first seven months of 2020, up by 58% year on year. Linear low density polyethylene (LLDPE) accounted for the greatest increase in the output. At the same time, overall PP production in Russia increased in January-July 2020 by 24% year on year to 1,063,700 tonne. ZapSibNeftekhim accounted for the main increase in the output.
MRC

MOSCOW (MRC) -- Evonik and Siemens Energy today commissioned a pilot plant sponsored by the German Federal Ministry of Education and Research (BMBF) that uses carbon dioxide and water to produce chemicals, said the company.

The necessary energy is supplied by electricity from renewable sources. The pilot plant is located in Marl, in the northern Ruhr area, and its innovative technology of artificial photosynthesis should contribute to the success of the energy revolution. It is an essential part of the Rheticus I and II research projects, which are sponsored by the Federal Ministry of Education and Research (BMBF) with a total of 6.3 million euros.

German Federal Minister of Education and Research Anja Karliczek said on the opening ceremony in Marl, "I am delighted that we have today given the go-ahead for a new test facility of the very highest standard in Marl. With Rheticus, we are showing how we can set up climate-friendly production processes in the chemical industry and at the same time manufacture new innovative products. And this works not only here in Germany, but potentially all over the world. This opens promising opportunities for technology exports. We want to promote effective climate protection and continue to have a strong industrial base in Germany. I am firmly convinced that we can succeed in both. I am pleased that my ministry is now investing a total of 6.3 million euros in the new pilot plant in Marl with this goal in mind and wish all those involved every success".

Stefan Kaufmann, Member of the German Bundestag and Federal Commissioner for Green Hydrogen, states, "Today's start of the Rheticus pilot plant for the production of specialty chemicals is a real pioneering achievement. After all, a green hydrogen economy can only succeed in Germany as a country of innovation, if innovative technologies are used. This requires courage and a spirit of research. The project partners at Rheticus are exemplary in demonstrating this." Harald Schwager, Deputy Chairman of the Executive Board of Evonik and responsible for innovations, said, "Climate protection is not possible without chemistry, because our industry supplies and develops solutions for the energy turnaround. Research projects such as Rheticus are a motivation and innovation driver for a sustainable society". At the same time, he warned against speed when phasing out fossil fuels. "Security of supply and reliability in political decisions set the framework in which new things are created."

Christian Bruch, CEO of Siemens Energy: "Our goal is to use innovative technologies to enable new, more sustainable solutions. With our hydrogen and CO electrolysis, we are building a bridge from green electricity to sustainable material applications. The close cooperation between politics, science and business partners, like Evonik, is an important step in this direction." The Rheticus research project is a spin-off of the Copernicus projects, one of the largest research initiatives of the German Federal Government on energy system transformation. Rheticus demonstrates how the Power-to-X idea can be successfully put into practice.

For the idea of artificial photosynthesis, which is behind the Rheticus experimental facility, the researchers took nature as a model. Just as plants use solar energy to produce sugar, for example, from carbon dioxide (CO2) and water in several steps, artificial photosynthesis uses renewable energies to produce valuable chemicals from CO2 and water through electrolysis with the help of bacteria. This type of artificial photosynthesis can serve as an energy store and thus help to close the carbon cycle and reduce carbon dioxide pollution in the atmosphere.

The pilot plant has started up in Marl, the largest Evonik site. It consists of a CO electrolyzer, developed by Siemens Energy, a water electrolyzer and the bioreactor with Evonik's know-how. In the electrolyzers, carbon dioxide and water are converted into carbon monoxide (CO) and hydrogen (H2) with electricity in a first step. This synthesis gas is used by special microorganisms to produce specialty chemicals, initially for research purposes. These are starting materials for special plastics or food supplements, for example. In the coming weeks, the composition of the synthesis gas and the interaction between electrolysis and fermentation will be optimized. In addition, a unit for processing the liquid from the bioreactor will be set up to obtain the pure chemicals.

After successful completion of the current Rheticus project phase (Rheticus II), Evonik and Siemens Energy will have a unique platform technology at their disposal that can produce energy-rich and valuable substances such as specialty chemicals or artificial fuels from CO2 - in a modular and flexible manner.

As MRC reported before, Dow and Evonik have recently entered into an exclusive technology partnership. Together, they plan to bring a unique method for directly synthesizing propylene glycol (PG) from propylene and hydrogen peroxide to market maturity.

Propylene is the main feedstock for the production of polypropylene (PP).

According to MRC's ScanPlast report, Russian plants' total PP production grew to 158,800 tonnes in July, compared to 149,400 tonnes a month earlier; ZapSibNeftekhim, Nizhnekamskneftekhim and Poliom increased their capacity utilisation. Russia"s overall PP production reached 1,063,700 tonnes in January-July 2020, compared to 854,500 tonnes a year earlier. Five out of eight producers raised their capacity utilisation, with a new producer - ZapSibNeftekhim - accounting for the main increase in the output.

Evonik is one of the world leaders in specialty chemicals. The focus on more specialty businesses, customer-oriented innovative prowess and a trustful and performance-oriented corporate culture form the heart of Evonik’s corporate strategy. They are the lever for profitable growth and a sustained increase in the value of the company. Evonik benefits specifically from its customer proximity and leading market positions. Evonik is active in over 100 countries around the world with more than 36,000 employees.
MRC

MOSCOW (MRC) -- Indian Oil Corp (IOC) India's largest refiner, is reviewing its refinery expansion plans because of a gradual rise in use of cleaner fuels and changing demand patterns in Asia's third-largest economy, reported Reuters with reference to IOC's chairman's statement.

In 2018 India set a target for a 77% jump in refining capacity to about 9 MM barrels per day (bpd) by 2030, with IOC raising capacity to 2.6 MM bpd.

However, Petroleum Planning and Analysis Cell, an oil ministry think-tank, is revising the supply and demand scenario for the country.

"Based on that study we will revise our numbers as well," IOC Chairman S.M. Vaidya told a news conference on Monday.

"Demand is not really destructive in our country. It has got deferred. Nevertheless, we are reviewing our refinery expansion plans."

Vaidya said that IOC's focus is on adding higher capacity through expansion of existing units and raising petrochemical capacity to protect margins.

"As far as grassroots projects are concerned, we are reviewing all projects," he added.

IOC will also review expansion of its Paradip refinery when the revised supply and demand figures are available, he said.

As MRC informed previously, Indian Oil Corp, the country’s top refiner, is close to winning its first contract to export up to 720,000 tons of clean products to Mauritius under an annual deal from November.

We remind that Indian Oil says it will build an integrated paraxylene (PX) and purified terephthalic acid (PTA) facility at Paradip in Odisha State, India, at an estimated investment of 138 billion Indian rupees (USD1.84 billion). The project will be completed by early 2024, with the complex planned to produce 800,000 metric tons/year of PX and 1.2 million metric tons/year of PTA, it says.

PTA is used to produce polyethylene terephthalate (PET), which is used in the manufacturing of plastic bottles, films, packaging containers, in the textile and food industries.

According to MRC's ScanPlast report, Russia's estimated PET consumption totalled 367,720 tonnes in the first six months of 2020, up by 19% year on year. Russian companies processed 62,910 tonnes of material in June.

Indian Oil Corporation Limited, or IndianOil, is an Indian state-owned oil and gas corporation with its headquarters in New Delhi, India.
MRC

MOSCOW (MRC) -- In a move that broadens its medical components capabilities, Solon, Ohio-based medical device maker Saint-Gobain Life Sciences has acquired Pompey, France-based MS Techniques and Transluminal, a designer and extruder of minimally invasive catheter systems, specifically for the cardio-vascular market, said Canplastics.

The financial terms of the deal have not been disclosed. In a press release, Saint-Gobain said that MS Techniques/Transluminal – which employs 137 people – will be integrated within Saint-Gobain Life Sciences’ Medical Components business unit.

"We are looking forward to welcoming MS Techniques and Transluminal to the Saint-Gobain Medical family," said John Schmitz, general manager, Saint-Gobain’s medical components and electronics. “Aligning with our growth strategy, they strengthen our presence in Europe, broaden our precision extrusion capabilities and catheter design expertise, helping us further expand into the interventional and minimally invasive market."

As MRC informed earlier, Sika acquired Modern Waterproofing Group, a leading manufacturer of roofing and waterproofing systems in Egypt. The acquisition supplements and rounds off the product portfolio of Sika Egypt and offers new opportunities for growth in the Egyptian construction market. The acquired business generates annual sales of CHF 26 million.

According to MRC's ScanPlast report, Russia's overall PE production totalled 1,712,400 tonnes in the first seven months of 2020, up by 58% year on year. Linear low density polyethylene (LLDPE) accounted for the greatest increase in the output. At the same time, overall PP production in Russia increased in January-July 2020 by 24% year on year to 1,063,700 tonne. ZapSibNeftekhim accounted for the main increase in the output.

Saint-Gobain Life Sciences is part of the Saint Gobain group, which is headquartered near Paris. The group operates in 70 countries with more than 180,000 employees. It reported sales of 42.6 billion euros in 2019.

Sika, a specialist in sealants and adhesives with origins dating back to 1910, employs some 25,000 people and has more than 300 plants worldwide. The group reported sales of CHF8.1 billion in the financial year 2019.

mrcplast.com

MOSCOW (MRC) -- Royal Dutch Shell is looking to slash up to 40% off the cost of producing oil and gas in a major drive to save cash so it can overhaul its business and focus more on renewable energy and power markets, reported Reuters.

Shell’s new cost-cutting review, known internally as Project Reshape and expected to be completed this year, will affect its three main divisions and any savings will come on top of a USD4 billion target set in the wake of the COVID-19 crisis. Reducing costs is vital for Shell’s plans to move into the power sector and renewables where margins are relatively low. Competition is also likely to intensify with utilities and rival oil firms including BP and Total all battling for market share as economies around the world go green.

“We had a great model but is it right for the future? There will be differences, this is not just about structure but culture and about the type of company we want to be,” said a senior Shell source, who declined to be named.

Last year, Shell’s overall operating costs came to USD38 billion and capital spending totalled USD24 billion.

The company’s integrated gas division, which runs Shell’s liquefied natural gas (LNG) operations as well as some gas production, is also looking at deep cuts, the sources said.

For downstream, the review is focusing on cutting costs from Shell’s network of 45,000 service stations - the world’s biggest - which is seen as one its “most high-value activities” and is expected to play a pivotal role in the transition, two more sources involved with the review told Reuters.

Besides cutting costs at its downstream retail business, Shell is pressing ahead with plans to reduce the number of its oil refineries to 10 from 17 last year. It has already agreed to sell three.

The review of refining operations also includes finding ways to sharply increase the production of low-carbon fuels such biofuels, chemicals and lubricants. That could be done by using low-carbon raw materials such as cooking oil, one source said.

As MRC wrote previously, Shell has recently announced that it will replace the ethylene steam cracker furnaces at its Moerdijk petrochemicals complex, The Netherlands, in a move that will reduce its greenhouse gas emissions.

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

According to MRC's ScanPlast report, Russia's overall PE production totalled 1,712,400 tonnes in the first seven months of 2020, up by 58% year on year. Linear low density polyethylene (LLDPE) accounted for the greatest increase in the output. At the same time, overall PP production in Russia increased in January-July 2020 by 24% year on year to 1,063,700 tonne. ZapSibNeftekhim accounted for the main increase in the output.

Royal Dutch Shell plc is an Anglo-Dutch multinational oil and gas company headquartered in The Hague, Netherlands and with its registered office in London, United Kingdom. It is the biggest company in the world in terms of revenue and one of the six oil and gas "supermajors". Shell is vertically integrated and is active in every area of the oil and gas industry, including exploration and production, refining, distribution and marketing, petrochemicals, power generation and trading.
MRC