EU gets down to details in search for deal on new climate target

MOSCOW (MRC) -- The European Union is offering assurances on funding for poorer members and countries' ability to choose their own energy mix, as it strives for a deal next week on a tougher target to cut greenhouse gas emissions, according to EU documents and sources, said Reuters.

To get on track for its plan to have "net zero" emissions by 2050, the EU's executive Commission says the bloc must cut its net emissions at least 55% by 2030, from 1990 levels. The EU's current 2030 target is for a 40% cut.

Leaders from the 27 EU countries aim to approve the new target - by unanimity - at a summit on Dec. 10-11. The challenge is to draft a deal that all countries will support - including states concerned by the economic transformation required, such as Poland and Bulgaria, which want more analysis and conditions attached to the goal.

The latest draft conclusions for the summit, dated Dec. 1 and seen by Reuters, would see countries endorse the "at least 55" target and ask the Commission to make cash available to help poorer states invest in clean energy - a request made by countries including Poland.

It also said countries can "choose the most appropriate technologies" to cut emissions - wording likely aimed at states including Bulgaria, Slovakia and Romania, which in government papers seen by Reuters, have sought assurances that countries will be able to use nuclear power to curb emissions - and natural gas, in the case of Bulgaria.

EU officials described the latest text as progress, and said Brexit and a spat over the EU budget had so far not derailed the climate talks - though they said it was too early to tell if the text could yield a deal. "Everyone should be able to hop on the bus now, but you never know who decides to get off before the final stop," one official said. An official from a country that has not yet publicly endorsed the 55% goal said it planned to make "further suggestions" to the text before next week's summit.

As MRC informed earlier, auctions of carbon permits in the European Union's emissions trading system (ETS) next year will not start until late January or early February. For "technical reasons", auctions of permits on behalf of most EU countries, plus Iceland, Liechtenstein and Norway, will kick off later than usual, the Commission said. This year's EU ETS auctions began on Jan. 7. Poland auctions its permits separately.

Ethylene and propylene are feedstocks for producing PE and 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.
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MOSCOW (MRC) -- The agreement reflects a strategic collaboration between ABB and CORYS, with both companies committed to delivering advanced digital twin technology to help drive down capital and operational costs and reduce risks for customers, said Hydrocarbonprocesing.

Leveraging ABB Ability 800xA Simulator, ABB delivers complete digital replicas of a plant’s control system. Combined with CORYS’ dynamic high-fidelity Indiss Plus® process modeling simulator, customers will benefit from a complete digital twin solution, that supports training and allows operators to validate and test control strategies and production processes, as well as manage changes during the lifecycle of operations. The collective digital solution is expected to reduce capital expenditure in greenfield projects, by improving quality of the control applications, reducing number of late changes, training the operators and by reducing the number of commissioning and start up hours.

Colin Ward, Chemicals and Refining SVP for ABB Energy Industries said: “In today’s economy, our oil, gas and chemical customers are exploring all ways to maximize return on investment in operations. Digital twin modeling and simulation creates more confidence in executing projects – reducing cost, schedule and risk – and helps operators identify and understand improvement opportunities across an asset’s complete lifecycle."

Also applicable for use in brownfield sites, operators can utilize the ABB CORYS digital twin package to build intelligent models and run scenarios to increase performance of plant operations. This includes improving plant efficiency and availability, as well as reviewing and managing equipment and assets across the plant, enabling maintenance teams to build an effective condition-based maintenance programme.

Charles Rosmorduc, CEO of CORYS, said: “We are proud to enter into this strategic partnership to develop and integrate CORYS’ products with ABB allowing our mutual clients to improve safety and operational efficiency." This global framework formalizes a successful business relationship between the two companies.

As MRC informed earlier, MOL Group and ABB embark on a three-year collaborative project to transform Asset Integrity Management (AIM) across four key chemical and refinery sites in Europe. ABB has been awarded the contract to improve asset integrity across MOL’s downstream assets, through changing mindset, standardizing processes and software and ensuring integrity management is focused on the right equipment. The project spanning MOL DS Production plants in Hungary, Slovakia, and Croatia, will implement standardized asset integrity procedures in a move to drive production efficiency, improve safety and reduce risk.

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 density 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, excluding producers" inventories as of 1 January, 2020). Supply increased exclusively of PP random copolymer.
MRC

MOSCOW (MRC) -- French waste management and recycling major Paprec is planning to build a new mixed-plastic waste sorting facility in Chalon-Sur-Saone, said the company.

Construction will start in the next few months for completion at the end of 2021. The facility will sort mixed-coloured waste by material and colour and is expected to have a capacity of approximately 30,000 tonnes/year.

Paprec is also adding a new 10,000 tonne/year recycled polypropylene (R-PP) extrusion line at its facility in the Lyon region, which will come onstream in September.

As MRC informed earlier, 380,000-metric tons/year steam cracker at Porvoo, Finland, operated by Borealis, has reached 100% capacity utilisation after the company lifted force majeure. The company declared force majeure, following a technical failure on 11 November. The cracker was shut down to allow necessary repair works, according to Borealis. The company began restart operations on 23 November, 2020, and resumed normal operations in early December.

As per MRC's ScanPlast report, Russian plants' total PP production dropped to 152,000 tonnes in October from 158,200 tonnes a month earlier ZapSibNeftekhim and Poliom's production capacitites were shut for maintenance. Russia"s overall PP production reached 1,529,000 tonnes in January-October 2020, compared to 1,170,300 tonnes a year earlier. Six out of eight producers raised their capacity utilisation, with a new producer - ZapSibNeftekhim - accounting for the main increase in the output.
MRC

MOSCOW (MRC) -- Royal Dutch Shell Plc plans to complete the permanent shutdown of its 211,146 barrel-per-day (bpd) Convent, Louisiana, refinery within 10 days, reported Hydrocarbonprocessing with reference to sources familiar with the company’s plans.

Shell spokesman Curtis Smith declined on Thursday to comment on the company’s timeline for idling the refinery.

Shell has been unable to sell the refinery since putting it on the auction block in July. The plant became unprofitable in March as fuel demand was hammered in the COVID-19 pandemic. Shell said on Nov. 5 it would shut the refinery.

Shell began shutting production unit at the refinery last Sunday, idling on Monday night the 12,000-bpd isomerization unit, the sources said. The 30,000-bpd diesel hydrotreater was brought down on Thursday.

Shell is in the process of shutting the 45,000-bpd heavy oil hydrocracker, called the H-Oil Unit, which converts residual crude oil into diesel fuels, the sources said. Before the pandemic, the H-Oil Unit was one of the most profitable units at the refinery.

The 92,000-bpd gasoline-producing fluidic catalytic cracker (FCC) is scheduled to be taken down over the weekend, according to the sources. Shutdowns of the alkylation unit and reformer will follow along with hydrotreaters next week, the sources said.

Among the last units to be shut are the light ends section of the small crude distillation unit and the entire large crude distillation unit (CDU), according to the sources.

As MRC informed before, 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

1. Crude oil futures retreat after overnight rally on vaccine news, US stock draw

MOSCOW (MRC) -- Crude oil futures slipped during mid-morning trade in Asia Dec. 3 after rallying overnight following fresh reports of COVID-19 vaccine approvals in the UK, crude oil inventory draw in the US and as signs of progress on OPEC+ talks emerge, reported S&P Global. At 10:40 am Singapore time (0240 GMT), ICE Brent February contract was 13 cents/b (0.27%) lower from the Dec. 2 settle at USD48.12/b, while the January NYMEX light sweet crude contract was down 15 cents/b (0.33%) at USD45.13/b. The markers retreated slightly during early Asian trade Dec. 3 after rising 1.75% and 1.64% to settle at $48.25/b and USD45.28/b, respectively, on Dec.2 as outlooks improved amid COVID-19 vaccine optimism and an unexpected US crude inventory draw.

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