LyondellBasell and SUEZ increase plastics recycling capacity

MOSCOW (MRC) -- LyondellBasell, one of the world's largest plastics, chemicals and refining companies and SUEZ, a world leader in environmental services, has jointly announced the acquisition of TIVACO, a plastics recycling company located in Blandain, Belgium, as per LyondellBasell's press release.

The company will become part of Quality Circular Polymers (QCP), the companies' existing 50/50 plastics recycling joint venture. With this transaction, QCP will increase its production capacity for recycled materials to approximately 55,000 tonnes per year.

LyondellBasell and SUEZ jointly announced the acquisition of TIVACO, a plastics recycling company located in Blandain, Belgium. The acquisition will increase production capacity for recycled materials at the companies' existing 50/50 plastics recycling joint venture, Quality Circular Polymers (QCP).

"This latest investment in QCP supports LyondellBasell's ambition to produce and market 2 million tons per year of recycled and renewable source-based polymers by 2030. Extending the plastics lifecycle through recovery, recycling and reuse not only eliminates waste but also produces a product with a lower CO2 footprint," said Richard Roudeix, Senior Vice President Olefins & Polyolefins, Europe, LyondellBasell. "This innovative approach is key to unlocking additional value from existing plastics while addressing brand owners' needs for sustainable products."

"We are thrilled to take a step forward with our long-term partner LyondellBasell. With the new acquisition,?we will together speed up the use of quality circular polymers in Europe and support industrial manufacturers' efforts to reach their environmental targets," commented Jean-Marc Boursier, SUEZ Group COO. "It also confirms SUEZ's ambition to become the world leader in environmental services by 2030."

The TIVACO facility operates five production lines capable of processing approximately 22,000 tonnes of recycled plastic per year. This acquisition builds on the companies' 2018 acquisition of QCP, a plastics recycling company in Geleen, the Netherlands which is capable of processing approximately 35,000 tonnes of material per year. Today, recycled materials from QCP can be found in consumer products including Samsonite's S'Cure ECO luggage collection.

QCP is committed to ending plastic waste in the environment. The joint venture leverages the two partners' respective strengths. SUEZ will utilize its leading-edge technology solutions in sorting and recycling to improve the preparation of materials to be recovered at QCP. LyondellBasell will apply its long-standing leadership in innovative plastic production technology, vast experience in product development and deep knowledge of important end markets such as consumer goods, where the company has a strong presence.

Both SUEZ and LyondellBasell are members of the Alliance to End Plastic Waste, a global, cross-value chain non-profit organization committed to ending plastic waste in the environment. The Alliance brings together a diverse network of resources and expertise to create and scale innovative solutions around the world.

As MRC reported earlier, in September 2020, LyondellBasell, the world’s largest licensor of polyolefin technologies, announced that Duqm Refinery and Petrochemical Industries Company LLC (DRPIC) hds selected LyondellBasell’s world-leading PP and high-density polyethylene (HDPE) technologies for a new facility.

The new plants will comprise of a PP plant that will utilize LyondellBasell’s Spheripol PP process technology to produce 280,000 metric tons per year (m.t./yr) of PP and a 480-m.t./yr high-density polyethylene (HDPE) plant which will utilize LyondellBasell’s Hostalen ACP process technology and will be built in Al Duqm, Oman.once again the trust investors and operators place in our leading polyolefin expertise."

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.

LyondellBasell is one of the largest plastics, chemicals and refining companies in the world. Driven by its 13,000 employees around the globe, LyondellBasell produces materials and products that are key to advancing solutions to modern challenges like enhancing food safety through lightweight and flexible packaging, protecting the purity of water supplies through stronger and more versatile pipes, and improving the safety, comfort and fuel efficiency of many of the cars and trucks on the road. LyondellBasell sells products into approximately 100 countries and is the world's largest licensor of polyolefin technologies.
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1. Shell plans to complete Convent, Louisiana, refinery shutdown in 10 days

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.


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MOSCOW (MRC) -- Crude oil futures rose during mid-morning trade in Asia Dec. 4, extending overnight gains, as uncertainty over OPEC+ production plan abated after the alliance settled on a compromise deal that would see a gradual and deliberated increase in production quotas from 2021 onward, reporter S&P Global.

At 11 am Singapore time (0300 GMT), ICE Brent February contract was up 94 cents/b (2.05%) from the Dec. 3 settle to US49.65/b, while the January NYMEX light sweet crude contract was up 82 cents/b (1.8%) at US46.46/b.

Prior to this, clarity over the OPEC+ production had also propelled the Brent market 0.95% higher on Dec. 3 to settle at its highest level since March 5, with the WTI marker also rising 0.80% to settle just a shade under its most recent high on Nov. 25.

During its Dec. 3 meeting, OPEC+ increased the alliance's collective production quota by 500,000 b/d from January 2021, and decided to meet monthly to determine if further increases are warranted.

Each monthly adjustment, according to Russian energy minister Alexander Novak, will not exceed 500,000 b/d in either direction, with Iranian oil minister Bijan Zanganeh telling state media that this arrangement will persist until total production rise reaches 2 million b/d.

"This was a compromise deal designed to hold together the members who are faced with varying economic conditions and have conflicting agendas," Vandana Hari, CEO of Vanda Insights, said.

This production plan falls short of expectations, which were centered around a three-to-six month extension of the current 7.7 million b/d production cuts, but nevertheless placated the market, which had started to grow uneasy over reports of fractiousness within the alliance.

"This is a relief rally that we are seeing in crude prices more in response to what did not happen as compared to what was decided. The market is relieved that the two possibilities of a supply increase of 2 million b/d or even a complete breakdown of collaboration over the disagreements did not come to pass," Hari said.

Hari, however, noted that this arrangement will introduce more volatility to oil prices going forward, as each monthly meeting over the production cuts will create apprehension in the market, and repeated discussion over an issue this contentious may also threaten the unity of the alliance.

"As the market digests the full implications of this deal, the bullish mood that we are seeing right now will dissipate a little, and as the market looks beyond, the focus is going to settle back once again on the vaccine versus virus debate, and what impact these two factors will have on the oil demand in the immediate term."

As MRC invofmed previously, global oil demand may have already peaked, according to BP's latest long-term energy outlook, as the COVID-19 pandemic kicks the world economy onto a weaker growth trajectory and accelerates the shift to cleaner fuels.

Earlier this year, BP said the deadly coronavirus outbreak could cut global oil demand growth by 40% in 2020, putting pressure on Opec producers and Russia to curb supplies to keep prices in check.

And in September 2019, six world's major petrochemical companies in Flanders, Belgium, North Rhine-Westphalia, Germany, and the Netherlands (Trilateral Region) announced the creation of a consortium to jointly investigate how naphtha or gas steam crackers could be operated using renewable electricity instead of fossil fuels. The Cracker of the Future consortium, which includes BASF, Borealis, BP, LyondellBasell, SABIC and Total, aims to produce base chemicals while also significantly reducing carbon emissions. The companies agreed to invest in R&D and knowledge sharing as they assess the possibility of transitioning their base chemical production to renewable electricity.

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) -- Arcanum (Houston, Texas) and Axens (Paris, France) say successful ongoing operations and production have been achieved at Arcanum’s Raven Butene-1 facility at Baytown, Texas, according to Chemweek.

The ethylene-to-butene-1 production asset is utilizing licensed Axens AlphaButol technology.

Startup activities began late last year and reached “full performance” around mid-year, says Raven Butene-1’s general manager Nicholas Stewart. The nameplate capacity of the on-purpose high purity butene-1 facility has so far not been given. Butene-1, a linear alpha-olefin, is used as comonomer in the production of linear low-density polyethylene (LLDPE) and high-density polyethylene (HDPE).

Production at the facility also marks the first startup of the technology on US soil, Axens says. There are now 40 AlphaButol licensed units operating worldwide using homogeneous catalysis, it says.

The Raven facility is operated by Arcanum subsidiary SBE Chemical Partners I LLC. Arcanum said in 2018 it would expand the capacity of its butene-1 facility, then under construction, by adding two more production lines. Long-term, fee-based offtake agreements from multiple buyers had been secured for “substantially all” of the first plant’s nameplate capacity, it said at the time. Startup of the unit was originally scheduled for late 2018.

As MRC reported earlier, Chevron Phillips Chemical, part of Chevron Corporation, still has not lifted force majeure on its polyethylene (PE) products after assessing the impact of Hurricane Laura to its Gulf Coast PE operations. The force majeure circumstances were declared on 1 September, 2020. CP Chem operates a 420,000 mt/year high-density polyethylene (HDPE) plant in Orange, Texas, and an 855,000 mt/year cracker in Port Arthur. The company plans to minimize the impact of the event and return to full PE deliveries as soon as possible.

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.
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MOSCOW (MRC) -- Dow Packaging and Specialty Plastics, a business unit of Dow announces the commercial availability of a wide range of tenter frame, biaxially-oriented polyethylene (TF-BOPE) for linear low, medium and high density packaging films, said the company.

This offering has been developed through a joint value chain effort, combining Dow’s INNATETM TF80 technology with the production know-how and experience of Plastchim-T and Ticinoplast, leading producers in PE and BOPP, and the processing knowledge of machine manufacturer Bruckner Maschinenbau. These solutions enable customers to use printable, tough, stiff and visually appealing BOPE films to produce resource-efficient, mono-material packaging that is designed for recyclability.

Dow’s TF-BOPE-based solutions for oriented films are already commercially available in Asia-Pacific and appreciated for their remarkable appearance, and puncture and impact resistance. Applications range from downgauged frozen food films, to triplex laminates without BOPA, and duplex PE-based laminates used for home and personal care pre-made pouches.

"Building on our global experience with BOPE to design packaging for recyclability, the positive reaction of converters and brand owners in Asia has given us confidence to commercialize these solutions throughout Europe, Middle East, and Africa,” said Jaroslaw Jelinek, global marketing manager for oriented PE technologies, Dow Packaging and Specialty Plastics. ”Our global teams have been working through Pack Studios to bring the success of this LLDPE1 based solution to other regions and to broaden the offering for the growing BOPE market."

"One main focus of our research work was to make BOPE a comprehensive offering and explore higher density spaces that would make this replacement viable and robust,” said Karlheinz Hausmann, global technical fellow, Dow Packaging and Specialty Plastics. “As a result, we have developed a unique blend approach that gives converters of BOPE the flexibility to tailor the film performance to the needs of their customers as effectively and economically as possible."

"BOPE is a breakthrough technology in flexible packaging, comparable to the launch of BOPP in the 1970’s,” said Paolo Rossi, managing director of Ticinoplast. “BOPE needs strong technical efforts for the complete industrialization, and thanks to the active engagement of all value chain members, the development and production of BOPE is growing. We have already seen its benefits including excellent sealability and mechanical characteristics which are comparable to optics and printability available in current films. The joint efforts of the participants in this BOPE development will lead to recyclable flexible packaging solutions as requested by all stakeholders in the market."

"Our company is strategically focused on environmental protection, and the novel BOPE solutions are one of the few significant developments in the last years that will make a real difference,” added Aydin Faik, owner of Plastchim-T. “There’s a growing interest in tenter frame BOPE and its usage for different applications, which are designed to be recyclable and downgaugeable. The grades we have produced in cooperation with Ticinoplast and Dow have achieved very positive test results by converting companies across the globe."

"For us, BOPE opens the door to a new generation of biaxially oriented films to meet market demand while enabling a closed life-cycle for plastic packaging”, Sebastian Ruhland, sales manager at Bruckner Maschinenbau. “All the key factors needed – processing know-how, machine design, and various BOPE film grades – have been developed collaboratively. Now printable and metallizable BOPE-HD based films with high stiffness, low shrinkage and high transparency are ready for the market."

As MRC informed earlier, Dow develops simplified, lightweight design for face shields to help protect healthcare professionals, shares open-source design to encourage additional production. To help address the urgent need for personal protective equipment (PPE) among healthcare professionals battling the COVID-19 pandemic, Dow developed a simplified face shield design and is sharing its design through an open-source file to help accelerate production rates of this critically-needed PPE. In addition, the Company is collaborating to produce 100,000 face shields for donation to the state of Michigan for distribution to hospitals.

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.

The Dow Chemical Company is an American multinational chemical corporation headquartered in Midland, Michigan, United States. Dow is a large producer of plastics, including polystyrene (PS), polyurethane, polyethylene, polypropylene, and synthetic rubber.
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