VEGA Americas is investing in sales, service, and training operations

MOSCOW (MRC) -- VEGA Americas, Inc., a leader in industrial level and pressure measurement instrumentation, is expanding its operations and growing its workforce across Texas, Oklahoma, and parts of New Mexico and Arkansas, said Hydrocarbonprocessing.

The company is expanding its sales force, increasing field service support, and investing in training capabilities to serve everywhere from the Gulf Coast to the High Plains and everywhere in between.

VEGA is implementing a direct sales model in the region to accommodate the company’s steady growth and maximize the region’s potential. In the short-term, the company will be hiring sales, service, and marketing to cover Texas, Oklahoma, eastern New Mexico, and northwest Arkansas, and in the long-term, the company will expand its office in the Greater Houston area. These investments in additional personnel and office space will enable the company to directly support customers in the variety of industries Texas, Oklahoma, New Mexico, and Arkansas have to offer.

"VEGA has a long history of working closely with our customers, helping them find the best measurement solution for their process,” said John Groom, Co-CEO of VEGA Americas. “This not only helps our customers make their processes safer and more efficient, but it allows us to make constant improvements to our instrumentation."

VEGA sensors perform critical measurement tasks in the Oil & Gas, Refining, and Petrochemical industries in addition to making important process measurements inside municipalities, Food and Beverage facilities, and other industrial plants, all of which play a prominent role in the Texas, Oklahoma, New Mexico, and Arkansas economies. By working directly with these facilities, VEGA will provide optimal service and support to plant managers, engineers, and technicians, enabling them to operate more safely, reliably, and efficiently.

"One of our core values at VEGA is ‘responsiveness’,” said John Kronenberger, Co-CEO of VEGA Americas, “and by making these investments across the great states of Texas, Oklahoma, New Mexico, and Arkansas, we’ll be able to provide better support to our customers and keep their processes running safely and efficiently."

We remind that Russia's output of chemical products rose in September 2020 by 6.7% year on year. At the same time, production of basic chemicals increased by 6.1% year on year in the first nine months of 2020, according to Rosstat's data. According to the Federal State Statistics Service of the Russian Federation, polymers in primary form accounted for the greatest increase in the January-September output. Last month's production of primary polymers decreased to 852,000 tonnes from 888,000 tonnes in August due to shutdowns in Tomsk, Ufa and Kazan. Overall output of polymers in primary form totalled 7,480,000 tonnes over the stated period, up by 16.4% year on year.

VEGA uses radar, guided wave radar, pressure, and radiometric technologies, among others, to make all-important level, point level, and pressure measurements. Most instrumentation is manufactured in the United States, and 85% of products ship within 2–5 business days of placing an order.
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North America chemical rail passes recovery milestone

MOSCOW (MRC) -- Chemical railcar traffic in North America has passed a milestone along the path to economic recovery, reported Chemweek.

During the week ended 24 October, volume increased 1.4% year-over-year (YOY) on a four-week basis, marking the first YOY gain since 4 April. The figure was down 1.5% from 2018, improving over the previous week’s shortfall of 2.5%, according to data released on 29 October by the Association of American Railroads (AAR).

For the year to date, chemical railcar traffic in North America was down 4.1% from 2019 and 5.6% from 2018.

Volume for the week totaled 42,375 carloads, up 1.1% YOY and down 1.8% from the previous week.

Chemical railcar traffic in the United States contributed 30,947 carloads to the total, up 2.8% YOY and up 4.1% from the previous week. For the year to date, US chemical railcar traffic was down 4.8%.

Canadian chemical rail traffic totaled 10,496 carloads, down 3.6% YOY and down 15.5% from the previous week. For the year to date, Canadian chemical railcar traffic was down 1.9%.

Chemical railcar traffic in Mexico totaled 932 carloads, a YOY increase of 1.4% and a sequential decrease of 7.1%. For the year to date, Mexican chemical railcar traffic was down 5.5%.

As MRC informed earlier, Russia's output of chemical products rose in September 2020 by 6.7% year on year. At the same time, production of basic chemicals increased by 6.1% year on year in the first nine months of 2020, according to Rosstat's data. According to the Federal State Statistics Service of the Russian Federation, polymers in primary form accounted for the greatest increase in the January-September output. Last month's production of primary polymers decreased to 852,000 tonnes from 888,000 tonnes in August due to shutdowns in Tomsk, Ufa and Kazan. Overall output of polymers in primary form totalled 7,480,000 tonnes over the stated period, up by 16.4% year on year.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,496,500 tonnes in the first eight months of 2020, up by 5% year on year. Shipments of all ethylene polymers increased, except for linear low desnity polyethylene (LLDPE). At the same time, PP shipments to the Russian market reached 767,2900 tonnes in the eight months of 2020 (calculated using the formula - production minus exports plus imports - and not counting producers' inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.
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DuPont surpasses Q3 estimates and raises full-year forecasts and cost-cutting targets

MOSCOW (MRC) -- DuPont forecasts higher-than-expected annual profits on Thursday as industrial material manufacturers’ quarterly results exceeded expectations due to rigorous cost checks and a recovery in the auto industry, one of the largest markets, said Reuters.

Manufacturing everything from brake fluid to fabrics used in protective clothing, the company has cut costs to combat the weak demand in some industries due to the COVID-19 pandemic.

DuPont has raised its cost-cutting target by renegotiating several contracts and speeding up headcount reduction plans, saying it expects to save USD280 million annually, USD100 million more than previously predicted.

The company, which is heavily exposed to the auto industry, has also benefited from the resurgence of automaker sales after the blockades in several economies have been eased.

Third-quarter sales in the transportation and industry business were down 14%, but up 20% from the previous quarter.

Sales in the electronics and imaging businesses increased 7%, supported by the construction of semiconductor technology prior to the launch of some premium smartphones.

Full-year earnings are projected to be between USD3.17 and USD3.21 per share, well above the estimated USD3.03, according to Refinitiv data. Net sales forecasts range from USD20.1 billion to USD20.2 billion, a midpoint, just above the estimated USD20.1 billion.

DuPont’s adjusted earnings per share is 88 cents, above the quarterly estimate of 75 cents. Sales of USD5.1 billion also exceeded analysts’ estimates of USD5 billion.

It was erlier reported, DuPont is investing USD400 million in the production capacity of Tyvek nonwoven fabric made from high density polyethylene (HDPE) at its site in Luxembourg. A new building and a third work line at the production site will be constructed. The launch of new facilities is scheduled for 2021.

As per MRC ScanPlast, September HDPE imports were 18,600 tonnes, which corresponds to the figure a month earlier. Overall imports of this PE grade totalled 202,500 tonnes in January-September 2020, down by 27% year on year. The largest decrease in supplies was due to film and pipe HDPE.

The DuPont Corporation, founded in the USA in 1802, operates in more than 70 countries. The company produces specialty chemicals, offers goods and services for agriculture, food production, electronics, communications, security and protection, construction, transport and light industry. In Russia, DuPont has 100% control over the DuPont Khimprom plant since 2005, and in 2006 established a joint venture between DuPont - Russian Paints and Russian Paints.
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COVID-19 - News digest as of 29.10.2020

1. Crude falls on bearish API data, concerns over coronavirus restrictions

MOSCOW (MRC) -- Crude oil futures took a dive during the mid-morning trade in Asia on Oct. 28, erasing most of their overnight gains, as the market grew anxious over a large build in the US crude inventories and over prospects of nationwide lockdowns in Europe, where countries are struggling to contain the second wave of the coronavirus pandemic, reported S&P Global. At 9:53 am Singapore time (0153 GMT), ICE Brent December crude futures were down 67 cents/b (1.63 %) from the Oct. 27 settle to USD40.53/b, while the NYMEX December light sweet crude contract was down 75 cents/b (1.90%) at USD38.82/b. Both markers had jumped 1.83% and 2.62% to settle at USD41.20/b and USD39.57/b, respectively, on Oct. 27, after Hurricane Zeta shuttered 55.35% of US Gulf crude output.



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Oil climbs as Hurricane Zeta takes more US output offline

MOSCOW (MRC) -- Energy prices settled higher Oct. 27 as US Gulf of Mexico operators shut in crude production ahead of Hurricane Zeta, tightening supply outlooks, reported S&P Global.

NYMEX December WTI settled USD1.01 higher at USD39.57/b and ICE December Brent climbed 74 cents to USD41.20/b.

Roughly half of all the oil and gas production from the US Gulf of Mexico was shut in Oct. 27 ahead of Hurricane Zeta, which is expected to make landfall in southeastern Louisiana.

An estimated 914,811 b/d of crude production and 1,500 MMcf/d of natural gas production was shut in, reflecting 49.45% and 55.35% of US Gulf output, respectively, according to the US Bureau of Safety and Environmental Enforcement. About 25% of the Gulf's platforms and rigs, or 157 facilities, have been evacuated thus far, BSEE said, with more underway.

Chevron, Shell, BP, BHP, Murphy Oil and Equinor all confirmed they've shut down platforms and production ahead of the storm. BP and Chevron count among those shutting in all of their operated platforms.

NYMEX November RBOB settled 3.18 cents higher at USD1.1434/gal and November ULSD was up 3.559 cents at USD1.1577/gal.

"Crude prices are rallying as Hurricane Zeta triggers further disruptions to crude output in the Gulf of Mexico," OANDA senior market analyst Edward Moya said in a note. "Risk aversion took a break today and that gave oil a chance to stabilize a bit before the lower boundaries of its two-month trading range."

Zeta, which weakened to a Tropical Storm after making landfall on Mexico's Yucatan Peninsula Oct. 26, was expected to regain hurricane status later on Oct. 27 and make a second landfall late Oct. 28 near southeastern Louisiana, according to the National Hurricane Center.

The current path of the hurricane targets roughly 2.7 million b/d of refining capacity, mostly in Louisiana.

Refiners continue to monitor the storm, based on their hurricane readiness and response plans. Decisions to slow or shut down plant depending on the intensity, location and timing of landfall of the storm are likely to be made within the next 24 hours, sources familiar with operations at several refineries said.

The Platts USGC unleaded 87 gasoline front-month crack against WTI climbed to USD6.504/b, up 48 cents from the session prior and the strongest since Oct. 14. The USGC ULSD crack against WTI jumped 51 cents to a 12-session high USD7.088/b.

As MRC informed previously, at least five Louisiana oil refineries in the path of Tropical Storm Zeta plan to remain operating as it makes a US landfall. Oil and gas producers evacuated offshore production platforms and shut wells as the storm moved across the Gulf of Mexico. Zeta could strike the Gulf Coast between Louisiana and Alabama at or near hurricane intensity, forecasters said.

Thus, Exxon Mobil Corp’s 517,700 barrel-per-day (bpd) Baton Rouge, refinery, Royal Dutch Shell Plc’s 227,400 bpd Norco and 211,146 bpd Convent, Louisiana, refineries are proceeding with normal operations. Exxon’s Baton Rouge plant is about 110 miles (177 km) northwest of the forecast path while Shell’s Convent and Norco refineries are 78 miles and 54 miles northwest of the latest storm track. Exxon and Shell are monitoring the storm, spokes people said. Shell also said it is prepared to take action as appropriate.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,496,500 tonnes in the first eight months of 2020, up by 5% year on year. Shipments of all ethylene polymers increased, except for linear low desnity polyethylene (LLDPE). At the same time, PP shipments to the Russian market reached 767,2900 tonnes in the eight months of 2020 (calculated using the formula - production minus exports plus imports - and not counting producers' inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.
MRC