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Shell to provide licensing and basic engineering for grassroots refinery and petrochemical complex

February 25/2021

MOSCOW (MRC) -- Shell Catalysts & Technologies has signed an agreement with PT Pertamina Rosneft Pengolahan dan Petrokimia (PT PRPP) located in Tuban, Java Timur, Indonesia to provide licensing and basic engineering for state-of-the-art proprietary technologies, Hydrocarbonprocessing.

This includes Shells OMEGA process for the production of mono-ethylene glycol, as well as distillate hydrotreating process for the catalytic removal of sulfur and/or nitrogen and/or hydrogenation of aromatics from diesel fractions of certain crude oils.

"We are grateful that PT PRPP has selected Shell Catalysts & Technologies for their major grassroots refinery and petrochemical complex, which is a testament to the technology offerings of Shell Catalysts & Technologies and our owner-operator experience enabling PT PRPP to achieve a high return on investment, said Gurminder Singh, Director, technology licensing of Shell Catalyst & Technologies.

The refinery will have a crude processing capacity of 300,000 barrels per day and include a petrochemical complex equipped to produce more than one million tons per year of ethylene, 1.3 million tons per year of aromatic hydrocarbons, and 650,000 tons per year of polyethylene. The complex is expected to be completed in 2025.

"Our comprehensive agreement with Shell Catalysts & Technologies will provide PT Pertamina Rosneft Pengolahan dan Petrokimia with the technology and engineering needed in order for the integrated refinery and petrochemical complex to be one of the most competitive in the Asia-Pacific Region, said Carlos Mondolfi, Project Director with PT PRPP. We look forward to a collaborative and successful relationship, and future working together."

We remind that Royal Dutch Shell has reported an outage at its olefins plant in Deer Park, Texas, USA, on 5 January, 2021. The plant flared for 16 hours following unspecified process upset. Maximum steam cracker operating rate in Texas falls to 89%.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 2,220,640 tonnes in 2020, up by 2% year on year. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, polypropylene (PP) shipments to the Russian market reached 1 240,000 tonnes in 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.

PT PRPP was established to manage the New Grass Refinery Root (NGRR) project in Tuban, East Java, which is a joint project between PT Pertamina (Persero) and Rosneft Oil Company. The shareholders of the Company are PT Kilang Pertamina Internasional as representative of the interests of PT Pertamina (Persero) and Rosneft Singapore Pte. Ltd as a representative of the interests of Rosneft Oil Company.

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.
Author:Anna Larionova
Tags:petroleum products, PP, PE, neftegaz, petrochemistry, PTT Chemical, Shell, USA.
Category:General News
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