Iraq to invite bids for new oil refinery in south

MOSCOW (MRC) -- Iraq plans to invite international energy companies and investors to compete to build an oil refinery in its southern port of Fao, reported Reuters with reference to the country's oil ministry.

The refinery in Fao will have a 300,000 bpd capacity and include a petrochemical plant, a statement said citing Oil Minister Ihsan Abdul Jabbar.

As MRC wrote previously, in July 2020, Iraq’s government agreed to sign a contract with JGC Corp to build a 55,000 barrels per day refinery in the southern region of Basra. The refinery will produce fuels including liquified petroleum gas, gasoline and gasoil, it said, estimating the cost of the facility at USD4 billion.

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

ccording 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

MOSCOW (MRC) -- Kemira says its board has approved updated financial targets for 2020. The company is now targeting an operative EBITDA margin of 15-18% instead of 15-17%, according to Chemweek.

The other financial targets remain unchanged. Kemira is aiming for growth above market rates and a debt/equity ratio below 75%.

The company confirmed in October its revised 2020 outlook as part of the announcement of its third-quarter results.

As MRC informed earlier, Kemira has signed a multi year extension of its polymer supply agreement with Ithaca Energy. Kemira says it has signed a multiyear extension to its polymer supply agreement with Ithaca Energy (Aberdeen, UK). The agreement extends the contract between the two companies, signed in 2018, covering the supply of polymers to enhance oil extraction performance at one of the assets operated by Ithaca Energy in the UK North Sea.

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

MOSCOW (MRC) -- BASF has increased its production capacity for advanced additives at its wholly-owned site in Nanjing, China, said the company.

The new asset with state-of-the-art technologies will allow BASF to produce high molecular weight dispersing agents, slip and leveling agents and other additives locally for Asian markets.

"The demand for additives in Asia Pacific is growing fast. It is important to have advanced production facilities in the region to support this development. Our investments in Asia Pacific will continue to strengthen our technical capabilities to better support our customers and grow with them together,” said Dr. Claus Dallner, Vice President of Global Business Management Performance & Formulation Additives, BASF.

“This expansion demonstrates our swift response to the growing market demand. Our customers will benefit from our enhanced local presence, operational efficiency and supply reliability,” said Dr. Stephan Kothrade, President and Chairman Greater China, BASF.

Strategically located in the logistic hub, this new facility will enable BASF to serve customers across end-use industries, including coatings, adhesives, printings, and composites. Along with shortened delivery time, this expansion will also help customers and suppliers reduce carbon emissions and ease logistics arrangements. BASF values sustainability and therefore implements the most advanced automation and state-of-the-art technologies for operational efficiency and safety enhancement. The BASF Nanjing site has been in operation since 2013, producing additives for customers across Asia. It is a zero liquid discharge site which produces off-gas emissions that comply with increasingly stringent environmental regulations in China.

As MRC informed earlier, BASF and Petronas were considering jointly investing around EUR1bn (USD1.34bn) to produce specialty chemicals in Malaysia.

However, Petronas and German chemical company BASF said they had scrapped a proposed joint venture to develop a specialty chemicals production facility in Malaysia. The proposed partnership was terminated because both parties couldn't agree on the "terms and conditions" for the project in the southern state of Johor, the companies said in a joint statement.

As MRC informed earlier, BASF had put a project to build a petrochemicals complex in India worth up to USD4 billion on hold due to the economic uncertainty caused by the COVID-19 pandemic.

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.

MRC

MOSCOW (MRC) -- Tyrata Inc. and Marubeni Corporation have announced a collaboration for the distribution of Tyrata’s IntelliTread Drive-Over System (DOS) in Japan, reported GV.

The DOS and corresponding data analytics platform have proven effective in the automation of tyre tread depth monitoring. In connection with the collaboration, Marubeni will obtain the right to distribute and service Tyrata’s DOS in Japan, and Tyrata gains the support of a trusted technology partner in the Japanese market. Marubeni will start introducing DOS units to its customer base in Japan in Q4 2020.

“As we expand our efforts into the global market, Marubeni is an important element of our distribution strategy,” said Jesko von Windheim, Tyrata’s CEO. “Marubeni not only gives us a capable and trusted sales and service partner in Japan, but they also offer established channels into many other Asian markets.”

Marubeni said it will introduce the DOS to Japan and, through demonstration tests with logistics companies, proceed with verification of demand for automatic tyre wear measurement, improvement of driver safety, and reduction of tyre maintenance costs. The company plans to conclude an exclusive distributor contract with Tyrata after verification.

"We see a demand for low-cost, automated tyre monitoring across our customer base and we believe that Tyrata’s products meet the cost and performance requirements in this market. Marubeni is pleased to be a partner for Tyrata in Japan and we look forward to providing customers with this innovative new technology," said Kazuyoshi Hosoi, General Manager, Tires and Rubber Materials Department.

As MRC informed before, earlier this year, Enterprise Products Partners LP (EPP), through one of its affiliates, entered a long-term agreement with Marubeni Corp. of Japan, under which Marubeni will offtake polymer-grade propylene (PGP) produced from a second propane dehydrogenation plant (PDH 2) currently under construction at EPP’s operations in Mont Belvieu, Tex., for supply to global customers. Concluded on June 16, the PGP offtake agreement is part of a long-term collaboration between EPP and Marubeni that also includes the export of liquefied ethylene, the first 25-million lb vessel of which loaded and sailed from EPP and Navigator Holdings Ltd.’s 50-50 joint venture marine terminal at Morgan’s Point, Tex., in early January, EPP and Marubeni said on June 30.

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

ccording 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

MOSCOW (MRC) -- Mitsubishi Chemical Corporation (MCC) has recently concluded a framework agreement with Konfoong Materials International Co. and KFMI Group company TCPR (Shanghai) Electro-Mechanical High-Tech Co. for the transfer of MCC’s light metal products business, said Chemweek.

KFMI and TCPR manufacture sputtering target materials for semiconductors and liquid crystal displays, and rank among the top companies in the world for the manufacture of aluminum target materials, in particular. KFMI and TCPR plan to strengthen their businesses by acquiring businesses positioned upstream from their own operations, and securing a base in Japan. The two companies have a wealth of expertise in the global high-purity aluminum industry, and are long-standing purchasers of MCC’s light metal products.

This transfer is part of the firm’s efforts to enhance portfolio management based on the Mitsubishi Chemical Holdings Group’s Aptsis 20 medium-term management plan, and is scheduled for completion in April 2021. In conjunction with the transfer, MCC is also considering withdrawal from the manufacture and sales of the KN series products (aluminum alloy for molding applications), which form part of its light metal products business but are not included in this transfer.

As MRC informed earlier, Mitsubishi Chemical, a subsidiary of Mitsubishi Chemical Holdings Corporation, plans to resume production of methyl methacrylate (MMA) in Otake, Japan, in early December after scheduled repairs. The company closed this plant with a capacity of 110,000 tonnes/year of MMA for scheduled repairs in early September this year.

The main application, consuming approximately 75% MMA, is in the production of polymethyl methacrylate acrylic plastics (PMMA). Methyl methacrylate is also used to produce methyl methacrylate-butadiene-styrene copolymer (MBS), used as a modifier for polyvinyl chloride (PVC).

According to MRC's ScanPlast report, October total production of unmixed PVC grew to 86,600 tonnes from 86,000 tonnes a month earlier, SayanskKhimPlast and Bashkir Soda Company increased their capacity utilisation. Overall output of polymer was 805,100 tonnes in the first ten months of 2020, which virtually corresponds to the last year"s figure. Two producers increased their production, whereas two other manufacturers reduced their output.

Mitsubishi Chemical, a Japanese integrated chemical company, was established on October 1, 1990 through the merger of Mitsubishi Kasei and Mitsubishi Petrochemical Co. Due to its wide range of activities, it is one of the ten leading chemical companies in the world.
MRC