Koppers to expand performance chemicals capacity in South Carolina

MOSCOW (MRC) -- Koppers (Pittsburgh, Pennsylvania) has announced plans to expand production capacity for performance chemicals at its manufacturing facility in Rock Hill, South Carolina, said Chemweek.

The size of the capacity hike, an investment figure, and the scheduling has not been given. The company says it is purchasing a tract of land adjacent to its existing facility, which manufactures wood treatment chemicals used in a variety of infrastructure-related industries. The expansion will also enable Koppers to enhance process efficiencies and hire more employees, it says.

In a financial update last week, Kopper said its performance chemicals business was continuing to see strong demand for residential wood treatment preservatives in most regions. “The positive trends that we experienced in the third quarter have thus far carried into the early part of the fourth quarter, and are expected to persist for the remainder of the year,” said Leroy Ball, president and CEO.

In its outlook for the fiscal year 2020, the company said it expects sales to be approximately USD1.6 billion, down from USD1.65 billion in 2019. The 2020 sales total excludes its Koppers Jiangsu Carbon Chemical Company (KJCC; Jiangsu, China) joint venture in China, in which it sold its 75% ownership stake in October for USD107 million to Fangda Carbon New Material Co. and C-Chem Co., a subsidiary of Nippon Steel Chemical & Material Co.

EBITDA for the fiscal year 2020 is forecast to be in a range of USD204-210 million, compared to USD201.1 million in the prior year, it said.

As MRC informed earlier, Koppers postponed a scheduled refurbishment of its phthalic anhydride plant in Stickney, Illinois, USA until next April. The company intends to close this production with a capacity of 100,000 tonnes of phthalic anhydride per year in April to May 2021. The company will shut down both of its lines for three weeks, then only start one line over the next three weeks, as the catalyst will be replaced on the other line. The shutdown was originally planned to begin in early September, but has been delayed due to coronavirus and other factors.

Phthalic anhydride is widely used in for the production of paints and varnishes and plasticizers for PVC products. In a small amount it is used in the manufacture of rubber products, tires. In addition, it is used in the light, pharmaceutical and electrical industries.

According to a MRC's DataScope report, last month"s SPVC imports into the Ukrainian market decreased to 2,100 tonnes from 2,100 tonnes in October, with North American PVC accounting for the decrease in shipments. Overall SPVC imports reached 31,100 tonnes in January-November, compared to 44,700 tonnes a year earlier.
MRC

MOSCOW (MRC) -- Overall polypropylene (PP) imports into Belarus rose in the first ten months of 2020 by 6% year on year to 95,500 tonnes. At the same time, homopolymer of propylene (homopolymer PP) accounted for the greatest increase in demand, according to MRC's DataScope report.
October PP imports to the Republic of Belarus were 11,600 tonnes, which virtually corresponded to the same figure a month earlier. Local companies maintained high volumes of purchases of all grades of propylene polymers in Europe and Russia. Overall imports of propylene polymers reached 95,500 tonnes in January-October 2020, compared to 90,000 tonnes a year earlier; demand only for homopolymer PP increased, whereas demand for propylene copolymers decreased. The supply structure by PP grades looked the following way over the stated period.

October imports of homopolymer PP dropped to 7,700 tonnes from 8,300 tonnes a month earlier, purchases of injection moulding homopolymer PP from Middle Eastern producers decreased. Overall imports of homopolymer PP reached 69,000 tonnes in the first ten months of 2020, up by 14% year on year.

October imports of propylene copolymers to Belarus were 3,900 tonnes versus 3,300 tonnes a month earlier, local companies significantly raised their procurement of injection moulding block-copolymers of propylene (PP block copolymer) from Middle Eastern producers. Thus, overall imports of propylene copolymers reached 26,500 tonnes in January-October 2020, down by 11% year on year.

MRC

MOSCOW (MRC) -- Overall imports of unmixed polyvinyl chloride (PVC) into Belarus totalled 44,600 tonnes in the first ten months of 2020, up by 39% year on year, according to MRC's DataScope report.

According to the statistics committee of the Republic of Belarus, local converters reduced their purchasing of PVC in October 2020 on the back of a slight seasonal reduction in demand for finished products, total imports were 5,800 tonnes, whereas this figure was 6,200 tonnes a month earlier. Russian resin accounted for the main decrease in purchasing.

Thus, imports of unmixed PVC reached 44,600 tonnes in January-October 2020, compared to 32,200 tonnes a year earlier.

Russian producers with the share of about 85% of the Belarusian market were the key suppliers of resin to Belarus over the stated period. Producers from Germany and Ukraine with the share of approximately 8% and 5%, respectively, were the second and third largest suppliers.

MRC

MOSCOW (MRC) -- Thomas Kloster, Senior Vice President, Automotive OEM Coatings Solutions EMEA, BASF Coatings GmbH, Munster, will, as President, assume responsibility for Performance Chemicals, effective February 1, 2021, as per the company's press release.

Kloster will take over from Anup Kothari.

Anup Kothari, President, Performance Chemicals, Ludwigshafen, will assume responsibility for the Division Nutrition & Health, Lampertheim at the same time.

As MRC informed before, Jose Carlos Corral Montilla has succeeded Dr. Marko Grozdanovic to become BTC Europe’s new Managing Director and Vice President. The company is BASF’s European sales organisation which focuses on specialty chemicals. Thus, as of November 1, 2020, Jose Carlos Corral Montilla has become the new Managing Director and Vice President of BTC Europe.

We remind that German chemicals maker BASF said in early November it 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. BASF signed a memorandum of understanding with Abu Dhabi National Oil Company (ADNOC), Adani Group and Borealis AG in October 2019 to evaluate a collaboration to build the chemical site in Mundra, in India’s Gujarat state.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,760,950 tonnes in the first ten months of 2020, up by 3% year on year. Only high density polyethylene (HDPE) and linear low density polyethylene (LLDPE) shipments increased. At the same time, PP shipments to the Russian market reached 978,870 tonnes in January-October 2020 (calculated using the formula: production minus exports plus imports minus producers' inventories as of 1 January, 2020). Supply of exclusively of PP random copolymer increased.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries.
MRC

MOSCOW (MRC) -- Following a 33-year career with Shell, Shell Canada President and Country Chair Michael Crothers has announced he will retire from the company in 2021. Crothers will be succeeded by Susannah Pierce, currently Director of Corporate Affairs, LNG Canada, and a Shell secondee. Both will remain in their current roles until the transition takes place, as per the company's press release.

“I am grateful to have had a long and rewarding career with a company that aligns with my values, working alongside exceptional people who deliver extraordinary results,” said Michael Crothers, Shell Canada President and Country Chair. “We have set Shell Canada on a course for a lower-carbon future and when I pass the baton to Susannah and an excellent team, I have every confidence they will continue to lead Shell Canada into that energy future to provide cleaner energy for Canadians and the world.”

“I’m looking forward to taking on this new challenge with Shell Canada, and am confident that together, we will build on Michael’s positive legacy as we move towards a more sustainable energy future, leveraging the talents of a diverse, equitable and inclusive organization while building relationships with Indigenous Peoples and local communities,” said Susannah Pierce, incoming Shell Canada President and Country Chair. “I’m extremely proud of what LNG Canada has already accomplished, and of the relationships and partnerships we’ve built in developing an LNG industry that aspires to have the highest standards for environmental, social and corporate governance. Rest assured that I will continue to foster those relationships in my new role while building relationships in other parts of the Shell portfolio in Canada.”

Susannah Pierce has held senior positions in the energy and technology sectors in Canada, the United States and Europe, most recently as Director of Corporate Affairs for LNG Canada. She joined LNG Canada in 2013 as a Shell secondee and has been responsible for the project’s federal and provincial regulatory approvals, Indigenous relations and negotiations, government relations, media relations, community consultation and communications. Under her leadership, the project achieved federal and provincial environmental approvals on schedule and received unprecedented support from First Nations, communities and governments. This support underpinned LNG Canada’s Final Investment Decision in October 2018, making it the largest private sector investment in Canadian history.

Prior to joining LNG Canada, Susannah served as Vice President, Value Chain Integration, Shell Canada. In this capacity, she was responsible for identifying new business opportunities across Shell’s multiple businesses in Canada. Prior to this position, Susannah was Vice President, Communications, Upstream International based in The Hague, where she oversaw a diverse communications and government relations team consisting of approximately 200 professionals in Asia, Australia, the Middle East, Africa, Russia/CIS and Europe.

As MRC reported earlier, Royal Dutch Shell plc. said in November that its petrochemical complex of several billion dollars in Western Pennsylvania is about 70% complete and in the process to enter service in the early 2020s. The plant's costs are estimated to be USD6-USD10 billion, where ethane will be transformed into plastic feedstock. The facility is equipped to produce 1.5 million metric tons per year (mmty) of ethylene and 1.6 mmty of polyethylene (PE), two important constituents of plastics.

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

According to MRC"s ScanPlast report, Russia's estimated PE consumption totalled 1,760,950 tonnes in the first ten months of 2020, up by 3% year on year. Only high density polyethylene (HDPE) and linear low density polyethylene (LLDPE) shipments increased. At the same time, PP shipments to the Russian market reached 978,870 tonnes in January-October 2020 (calculated using the formula: production minus exports plus imports minus producers' inventories as of 1 January, 2020). Supply of exclusively of PP random copolymer increased.

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