Sudan to rely on imported petroleum during 70-day refinery maintenance

MOSCOW (MRC) - Petrol stations across Sudan will rely exclusively on imported fuel while the country's main oil refinery begins routine maintenance, said Reuters.

Sudan has operated a two-tier price system since October, in an attempt to decrease reliance on subsidies, whereby imported gasoline and diesel is sold at more than double the price of locally-produced fuel.

However, with the 70-day maintenance of the Khartoum refinery, only imported gasoline and diesel will be available to consumers. Any fuel produced locally during this period will be directed towards the agriculture, electricity, public transportation, and security sectors, the statement said.

Fuel shortages and long queues at stations are common in Sudan as the government struggles to come up with foreign currency for imports, which were opened up to the private sector in April.

A ministry spokesman said a policy for prices after the maintenance is completed has not yet been determined.

As mRC informed earlier, Sudan and South Sudan have begun negotiating with a Russian company to build a refinery on the Red Sea for both countries’ benefit.

We remind that in July 2020, Eni and NextChem, the Maire Tecnimont Group’s subsidiary for green chemistry, strengthened their partnership one year after their first agreement. This partnership will conduct research for a new project to be developed in Taranto, in addition to ongoing engineering studies for a waste-to-hydrogen production plant at the Eni bio refinery in Venice, Porto Marghera, and for a waste-to-methanol production plant at the Eni refinery in Livorno.

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

According to MRC's DataScope report, PE imports to Russia decreased in January-November 2020 by 17% year on year and reached 569,900 tonnes. High density polyethylene (HDPE) accounted for the greatest reduction in imports. At the same time, PP imports into Russia increased by 21% year on year to about 202,000 tonnes in the first eleven months of 2020. Propylene homopolymer (homopolymer PP) accounted for the main increase in imports.
MRC

MOSCOW (MRC) -- US governors from Massachusetts and Connecticut announced their commitment to a low-carbon transportation program on Monday, but gasoline-related trade groups say it has flaws that will harm, rather than promote, use of fuels that produce fewer pollutants, according to Hydrocarbonprocessing.

Some oil refiners and energy trade groups have been more supportive this year of low-carbon fuel programs nationwide because the incentives can prove profitable for their industries.

The Transportation and Climate Initiative Program, or TCI-P, favored by the states would require large gasoline and diesel suppliers to purchase auctionable "allowances" for the pollution caused by combustion of fuels they sell in participating areas.

Trade groups, including the National Association of Truckstop Operators (NATSO) and the National Association of Convenience Stores (NACS), argue that TCI-P fails to effectively encourage investment in alternative fuels, and instead only penalizes fuel retailers that sell traditional fuel, according to a letter seen by Reuters addressed to a Massachusetts state official.

Another incentive program, California's Low Carbon Fuel Standard, allows refiners to generate tradable credits with production of lower carbon-intensive fuels.

"Market-oriented incentive policies have proven to drive private sector investment in clean fuels, but TCI's centralized, punitive structure will make businesses reluctant to embrace alternative fuels," said David Fialkov, counsel to NATSO.

Kathleen Theoharides, secretary for the executive office of energy and environmental affairs in Massachusetts, said that through the program, the market would encourage investment.

"This is certainly going to send a market signal that if they make investments in renewable blends, they can pass on a cheaper cost to consumers and outcompete their competitors," Theoharides said.

As MRC reported previously, earlier this month, NextChem, Maire Tecnimont Group’s subsidiary for the development of projects and technologies for energy transition, and JFE Engineering Corporation, engineering and operative company of Japan Group JFE, have signed a commercial agreement which strengthens the cooperation between the companies. The agreement aims at developing in cooperation the model which considers waste as a resource to produce advanced fuels, hydrogen, fertilizers and low carbon chemical products.

We remind that in July 2020, Eni and NextChem, the Maire Tecnimont Group’s subsidiary for green chemistry, strengthened their partnership one year after their first agreement. This partnership will conduct research for a new project to be developed in Taranto, in addition to ongoing engineering studies for a waste-to-hydrogen production plant at the Eni bio refinery in Venice, Porto Marghera, and for a waste-to-methanol production plant at the Eni refinery in Livorno.

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

According to MRC's DataScope report, PE imports to Russia decreased in January-November 2020 by 17% year on year and reached 569,900 tonnes. High density polyethylene (HDPE) accounted for the greatest reduction in imports. At the same time, PP imports into Russia increased by 21% year on year to about 202,000 tonnes in the first eleven months of 2020. Propylene homopolymer (homopolymer PP) accounted for the main increase in imports.
MRC

MOSCOW (MRC) -- PQ Group Holdings Inc., a leading, global provider of specialty catalysts, materials, chemicals and services, says it has closed on the sale of its performance materials division, a maker of glass microspheres for transportation safety and electronics applications, to private equity firm The Jordan Company (New York, New York) for USD650 million, reported Chemweek.

The deal was announced in October, 2020.

PQ will use proceeds from the deal to pay down about USD465 million in debt and pay a USD250 million, or USD1.80/share, special dividend to shareholders. The dividend will be paid on 29 December to shareholders of record as of 21 December.

“With the sale of Performance Materials at an attractive valuation, we take a significant step in reshaping the PQ portfolio toward a higher-margin, higher-growth-potential business,” says Belgacem Chariag, PQ chairman and CEO.

The company did not provide an update on the sale of its performance chemicals segment, a manufacturer of sodium silicate and silicate derivatives. The two divestitures, which combined represent over 60% of PQ’s annual revenues, are part of a strategy to focus the company on its catalysts and refining services businesses.

As MRC informed earlier, in late 2019, PQ Group Holdings announced an agreement with INEOS Polyolefin Catalysts to commercialize certain polyethylene (PE) catalysts to customers of selected processes.

According to MRC's DataScope report, PE imports to Russia decreased in January-November 2020 by 17% year on year and reached 569,900 tonnes. High density polyethylene (HDPE) accounted for the greatest reduction in imports.
MRC

MOSCOW (MRC) -- Daelim Corporation has completed the expansion work at its existing linear low density polyethylene (LLDPE) line in Yosu, South Korea at the beginning of December, according to CommoPlast with reference to market sources.

The unit is now capable of producing 200,000 tons/year of LLDPE, up from the previous output of 150,000 tons/year.

In the meantime, Daelim is constructing a new polyethylene (PE) line with an annual production output of 210,000 tons/year at the same site. The company said that it has completed major processes and the line would be able to come online by mid of January 2021.

The expansion project would boost the overall LLDPE production at Daelim to 410,000 tons/year. However, the company plans to focus primarily on making metallocene grade (mPE).

As MRC reported earlier, in October 2018, Daelim Industrial shut its high density polyethylene (HDPE) plant for a 30-day maintenance turnaround. The exact date of the shutdown could not be confirmed. Located in Yeosu, South Korea, the plant has a production capacity of 270,000 mt/year.

According to MRC's ScanPlast report, October LLDPE shipments to Russia increased to 58,910 tonnes from 19,110 tonnes a month earlier. A producer cut its exports. Russia's overall LLDPE shipments totalled 335,220 tonnes in the first ten months of 2020, up by 2% year on year.

Daelim Industrial was established in 1939, and its E&C (Engineering & Construction) and Petrochemical Groups are the main lead of the Daelim Business Conglomerate (Chaebol). The fields covered by Daelim Industrial as one of the top EPC Company in Asia to the Middle East include gas, petroleum refining, chemical and petrochemical, power and energy plants, building and housing, civil works, and industrial facilities. Daelim Group has 17 subsidiary companies under its umbrella which includes Daelim Industrial (Construction Division), Daelim Industrial (Petrochemical Division), etc.
MRC

MOSCOW (MRC) -- AkzoNobel says it has agreed to acquire New Nautical Coatings (Clearwater, Florida), producer of the Sea Hawk brand of yacht coatings, reported Chemweek.

Terms of the transaction, including purchase price, were not disclosed. New Nautical Coatings chiefly produces antifouling coatings, along with primers, varnishes and other products.

The deal complements AkzoNobel’s existing yacht coatings business, and provides opportunities for growth in North America, the world’s largest market for yacht coatings, according to AkzoNobel CEO Thierry Vanlancker. New Nautical Coatings also does business in the Caribbean and Australasia.

As MRC informed before, in September 2020, AkzoNobel’s aerospace coatings facility in Dongguan, China, was qualified by aircraft manufacturer Boeing to color blend the company’s Aerodur 3001 basecoat. The certification means the site has been certified by Boeing to blend AkzoNobel’s industry-leading basecoat/clearcoat system, Aerodur 3001/3002, locally in China with OEM (original equipment manufacturer) approval. The Dongguan facility is also now listed on Boeing’s official QPL for BMS10-72 specification.

We remind that Russia's output of chemical products rose in November 2020 by 9.5% year on year. At the same time, production of basic chemicals increased in the first eleven months of 2020 by 6.6% year on year, 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-November 2020 output. Last month's production of polymers in primary form rose to 896,000 tonnes from 852,000 tonnes in October. Overall output of polymers in primary form totalled 9,240,000 tonnes over the stated period, up by 17.1% year on year.
MRC