MOSCOW (MRC) -- Lummus Technology announced that it has been awarded a technology contract by Shandong Yulong Petrochemical Co., Ltd., a subsidiary of China’s Nanshan Group, said Hydrocarbonprocessing.
Lummus will provide Master Licensor services for multiple licensed units, consisting of two mixed feed crackers, an EB/SM plant and two polypropylene (PP) lines. The scope includes technology licensing, process design package, training and advisory services, master licensor integration services and catalyst supply for the PP plant.
The plants will be part of Shandong Yulong’s 20,000 kta Refining and Petrochemical Integrated Project, a mega complex to be located in the Province of Shandong that recently received government approval.
"Being awarded the Master Licensor for multiple licensed units, and participation in such a large scale project in China, is very significant for Lummus” said Leon de Bruyn, President and Chief Executive Officer of Lummus Technology. “This award underscores our ability to deliver the best process technology from our comprehensive portfolio, ensuring that customers such as Shandong Yulong benefit from low operating expenses and high reliability throughout their entire asset lifecycle. It is also a testimony to our technology leadership, as we have captured many projects since China’s COVID-19 recovery."
The mixed feed ethylene crackers will utilize Lummus’ market-leading ethylene technology incorporating the SRT (Short Residence Time) VII cracking heaters that have the highest proven yields in the industry, and the low-pressure chilling train and patented multi-component refrigeration, which reduces investment costs and improves reliability by eliminating plant equipment. The EB/SM plants will utilize the Lummus/UOP EBOne and CLASSIC SM technologies for reliable and efficient production of ethylbenzene and styrene monomer, respectively. The PP plant will utilize Lummus Novolen Technology which demonstrates low overall capital and operating cost, while providing the best range in products and high reliability.
As MRC informed earlier. Haldia Petrochemicals (HPL), a flagship company of The Chatterjee Group (TCG), along with its international partner Rhone Capital has acquired US-based Lummus Technology at an enterprise value (EV) of USD2.725 billion (around Rs 20,590 crore) from McDermott International. In the joint acquisition, HPL’s share is at 57 per cent, the balance would be held by Rhone Capital. Under the new dispensation, Lummus Technology would function as a ‘standalone’ autonomous entity.
As MRC informed earlier, in late March 2020, India's private-sector Haldia Petrochemicals (HPL) shut its naphtha cracker after ports in the country declared force majeure to prevent the spread of the coronavirus.
Ethylene and propylene are feedstocks for producing polyethylene (PE) and polypropylene (PP).
According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,594,510 tonnes in the first nine months of 2020, up by 1% year on year. Only high denstiy polyethylene (HDPE) shipments increased. At the same time, PP shipments to the Russian market reached 880,130 tonnes in the nine months of 2020 (calculated using the formula: production minus exports plus imports, exluding producers' inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.
MRC