Successful operation of Axens units and digitalization at the ERC refinery

MOSCOW (MRC) -- All Axens’ units of the Egyptian Refining Company (ERC) refinery project are now successfully operating and reaching full production and performances, said Hydrocarbonprocessing.

The refinery produces Euro 5 refined products, including diesel and jet fuel, for Egyptian local market by processing annually 4.7 million tons of mainly atmospheric residue from the Cairo Oil Refinery Company.

Axens was involved in providing licensing, Process Design Package (PDP), catalysts, proprietary equipment and services for:
- The naphtha Block: a naphtha hydrotreating unit (NHT), a CCR-reforming unit OctanizingTM,
- The distillate Block: a diesel hydrotreating unit Prime-D™,
- A single stage Hydrocracking unit HyK™ with recycle meeting high conversion.

All the units are performing well with the full satisfaction of ERC after a successful commissioning and start-up supported by Axens’ technical services teams. Moreover, units’ performances are optimized thanks to Axens’ Connect’In digital services.

“ERC is very proud of the fruitful cooperation with Axens in this megaproject to start the production of this state-of-the-art refinery. We, as ERC, are keen to build on this cooperation with Axens by using latest catalysts and to continue with the digital technology Connect’In that allows close monitoring of the units and opens a direct channel between ERC and Axens’ technical teams,” said Dr. Mohamed Saad, ERC Managing Director.

"Axens is very proud of the trust expressed by ERC following the provision of Axens’ support to operate our technologies in the most efficient way. They demonstrated their confidence in Axens by securing the implementation of Connect’In digital services which proactively enables the monitoring of Axens units performances,” stated Patrick Sarrazin, Axens’ Process Licensing Global Business Unit Executive Vice-President.

As MRC informed earlier, Sumitomo Chemical and Axens signed a license agreement of ethanol-to-ethylene technology Atol for Sumitomo Chemical’s waste-to-polyolefins project in Japan. In the project, to promote circular economy, Axens’ Atol technology will transform ethanol produced from waste into polymer-grade ethylene that will be polymerized in Sumitomo Chemical’s assets into polyolefin, a key product in the petrochemical industry. At full roll-out, the project will enable the production of waste-based polyolefin at industrial scale, which will represent a leapfrog towards a sustainable economy based on renewable carbon.

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

According to MRC's ScanPlast report, Russia's estimated polyethylene (PE) consumption totalled 1,990,280 tonnes in the first eleven months of 2020, up by 1% year on year. Only high density polyethylene (HDPE) shipments increased. At the same time, polypropylene (PP) shipments to the Russian market reached 1 090,900 tonnes in the first eleven months of 2020 (calculated using the formula: production, minus exports, plus imports, excluding producers' inventories as of 1 January, 2020). Supply of exclusively PP random copolymer increased.
MRC

MOSCOW (MRC) -- Ineos has completed the USD5-billion acquisition of BP’s global aromatics and acetyls businesses, consisting of 15 manufacturing sites and 10 joint ventures, reported Chemweek.

The businesses will be known as Ineos Acetyls and Ineos Aromatics, says Ineos, which first announced the acquisition in June last year. The acquisition consists of five manufacturing sites in the Americas, two in Europe and eight in Asia, as well as the 10 JV site locations, and will extend both the portfolio and the geographic reach of the business, it says.

The purchase “is a logical development of our existing petrochemicals business, extending our interest in acetyls and adding a world-leading aromatics business supporting the global polyester industry,” says Ineos chairman Jim Ratcliffe. The acquisition provides “good scope for expansion and integration with our existing business,” he says.

The acquired aromatics business is a global leader in purified terephthalic acid (PTA) and paraxylene (PX) technology, with six manufacturing sites, according to Ineos. The business supplies the global polyester business, which includes polyester fiber, film, and polyethylene terephthalate (PET) packaging. It also licenses its PTA production technology to other producers worldwide.

The acetyls business produces acetic acid and a range of derivatives from nine manufacturing sites, supplying sectors such as the food, pharmaceuticals, paints, adhesives, and packaging industries, it says.

Ineos Styrolution, the wholly owned styrenics subsidiary of Ineos, is the formal acquirer of BP’s businesses.

As MRC informed earlier, in June 2020, BP agreed to sell its global petrochemicals business to INEOS for USD5 billion as part of plans to "reinvent" BP into a more focused, integrated energy company. In 2019 BP’s petrochemicals business produced 9.7 million metric tons of petchem products, according to BP. The businesses included in the transaction together employ more than 1,700 staff worldwide.

PX and PTA is used to produce polyethylene terephthalate (PET), which, in its turn, is used in the manufacturing of plastic bottles, films, packaging containers, in the textile and food industries.

According to MRC's ScanPlast report, Russia's estimated PET consumption reached 61,110 tonnes in November 2020, up by 1% year on year. Overall PET consumption in Russia reached 648,110 tonnes in the first eleven months of 2020, down by 18% year on year.

BP is one of the world's leading international oil and gas companies, providing its customers with fuel for transportation, energy for heat and light, retail services and petrochemicals products for everyday items.

Ineos Group Limited is a privately owned multinational chemicals company consisting of 15 standalone business units, headquartered in Rolle, Switzerland and with its registered office in Lyndhurst, United Kingdom. It is the fourth largest chemicals company in the world measured by revenues (after BASF, Dow Chemical and LyondellBasell) and the largest privately owned company in the United Kingdom.
MRC

MOSCOW (MRC) -- Sahara International Petrochemical Co.’s (Sipchem) board of directors approved, on Dec. 15, the resignation of chief executive officer (CEO), Saleh M. Bahamdan, citing his request for retirement, said Chemweek.

The resignation took effect from Jan. 1, 2021, the company said in a bourse statement. Meanwhile, the board approved the recommendation of the remuneration and nominations committee, to appoint Abdullah S. Al-Saadoon as the CEO of Sipchem effective from Jan. 1, 2021.

The new CEO has extensive experience in the field of petrochemicals extending for over 30 years, where he worked for the General Corporation for Desalination of Water and then moved to the Saudi Basic Industries Corporation (SABIC), where he held a number of leadership positions, Sipchem stated.

Al-Saadoon joined Sipchem in 2001, participating in many vital projects that the company implemented during the period of its establishment, where he held the position of head of operations and manufacturing for all the company's plants in Jubail Industrial City, as well as the position of Shared Services President to oversee the transformation process carried out in several sectors, including information technology, human resources and supply chains.

In 2019, he was appointed as operations manager of Sipchem after merger with Sahara. This is in addition to his membership in the board of directors of Sipchem in the last tenure and his current chairmanship and membership in several boards of directors of Sipchem's subsidiaries, the statement also said.

As per MRC, Sahara International Petrochemical Co. (Sipchem) is planning to mothball the Polybutylene Terephthalate (PBT) plant, owned by its affiliate, Sipchem Chemical Co., and Ethylene Vinyl Acetate (EVA) Film plant that is owned by affiliate firm, Saudi Specialized Products Co. Steps to implement the decision are underway, Sipchem said in a statement to Tadawul, adding that the suspension of both plants will start on Jan. 1, 2021, until further notice. The company expects a positive financial impact starting from Q1 2021 results.

As per MRC ScanPlast, November imports of other ethylene polymers, including ethylene-vinyl-acetate (EVA), were 9,100 tonnes, compared to 10,100 tonnes in October. Overall imports of other ethylene polymers reached 90,200 tonnes over the stated period versus 85,200 tonnes a year earlier.
MRC

MOSCOW (MRC) -- Sahara International Petrochemical Co (Sipchem) and industrial gas firm Linde have signed an exclusive agreement to set up a joint venture for developing industrial gas projects and networks in Saudi Arabia, said Gasworld.

Under a 50/50 joint venture, Linde and Sipchem said they intend to connect existing hydrogen and syngas plants owned and operated by the two parties in Jubail Industrial City.

"The main focus will be on the development of new production facilities in order to supply carbon monoxide, hydrogen, syngas, ammonia and associated gases alongside efficient solutions for the decarbonisation of downstream production in industrial clusters in the Kingdom," a statement on the Saudi stock exchange said.

"The Strategic Joint Venture is expected to open the door to substantial investment opportunities of approximately USD500m over the next five years subject to the economic viability," it continued.

The equal joint venture aims to build an industrial gases network in Jubail Industrial City by connecting via pipeline the existing hydrogen and syngas plants owned and operated by the two firms, Sipchem said to the Saudi bourse, Tadawul.

As MRC informed earlier, Linde announced it has signed a memorandum of understanding (MoU) with Snam to jointly develop clean hydrogen projects and related infrastructure in Europe. Snam, a world leading energy infrastructure company, owns and operates the largest natural gas transmission network in Europe, having approximately 42,000 kilometers of pipeline across the continent.

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

According to MRC's ScanPlast report, Russia's estimated polyethylene (PE) consumption totalled 1,990,280 tonnes in the first eleven months of 2020, up by 1% year on year. Only high density polyethylene (HDPE) shipments increased. At the same time, polypropylene (PP) shipments to the Russian market reached 1 090,900 tonnes in the first eleven months of 2020 (calculated using the formula: production, minus exports, plus imports, excluding producers' inventories as of 1 January, 2020). Supply of exclusively PP random copolymer increased.

Linde is a global leader in the production, processing, storage and distribution of hydrogen. It has the largest liquid hydrogen capacity and distribution system in the world. The company also operates the world"s first high-purity hydrogen storage cavern coupled with an unrivaled pipeline network of circa 1,000 kilometers to reliably supply its customers. Linde has installed close to 200 hydrogen fueling stations and 80 hydrogen electrolysis plants worldwide. The company offers the latest electrolysis technology through its newly formed joint venture ITM Linde Electrolysis GmbH.
MRC

MOSCOW (MRC) -- A blaze is now under control at the Synthos Dwory (Oswiecim) 185,000 metric-ton/year (mt/y) emulsion styrene butadiene rubber (ESBR) facility in Poland, following an explosion last Thursday, reported Chemweek.

"At 6:46 p.m. (local time), an uncontrolled ignition catalyzed an explosion and a fire in the incinerator of the ESBR rubber production installation. The fire fighting operation began immediately. The fire was extinguished by the teams of the company firefighters and the state fire brigade within about 45 minutes," Synthos said in a statement Friday.

Windows in nearby halls were damaged, pipelines discharging off-gases from the rubber drying installation were also damaged, according to the Synthos Group, who are currently holding an investigation with local authorities into the cause and extent of the damage.

Production at the ESBR production unit in Oswiecim, Poland, has been idled, the company confirmed to OPIS.

"We expect to go back to standard operating rates at the beginning of next week," the producer said. The explosion had "no significant impact on other production facilities," Synthos added.

The idling of production comes as ESBR rubber supplies have been under pressure for a while, according to IHS Markit analysts.

"Synthos are the number one ESBR producer in Europe," said Remko Koster, associate director global olefins at IHS Markit. "The plant in Poland is about 30% of Europe's ESBR capacity. Meanwhile the ESBR market has been rather tight in the last quarter of 2020 so there will be an impact felt in the market."

Synthos produces 120,000 mt/y of styrene and 105,000 mt/y of expandable polystyrene (EPS) at the Oswiecim site. It also produces 50,000 mt/y of polystyrene (PS) at Oswiecim, according to IHS Markit data. It also manufactures synthetic rubber, adhesives, and latex.

As MRC informed earlier, Polish chemicals and plastics group Synthos has launched a new eco-friendly EPS grade for heat insulation panels which includes recycled polystyrene raw material. Synthos, headquartered at Oswiecim in southern Poland, started extruding the product, ‘InVento Optima’ on a dedicated line installed at its base manufacturing site at the end of 2018.

SM is the main feedstock for the production of PS.

According to MRC's ScanPlast report, Russia's estimated consumption of PS and styrene plastics totalled 454,990 tonnes in the first eleven months of 2020, which corresponds to the previous year's figure. November estimated consumption of PS and styrene plastics grew by 4% year on year to 45,830 tonnes.

Synthos SA is one of the largest producers of petrochemical products in Poland and is the largest producer of emulsion rubbers in Europe. Besides, it is the third largest European EPS producer.
MRC