OQ Chemicals raises prices for oxo intermediates on stronger demand and higher costs

MOSCOW (MRC) -- OQ Chemicals (Monheim am Rhein, Germany) has announced price increases for several oxo intermediate products worldwide, citing strong demand and the rising cost of raw materials, reported Chemweek.

The rise, effective 1 April 2021 or as contracts allow, sees the nominated price for neopentyl glycol increase by 27 cents per pound (cts/lb) in North America and Mexico, by USD600/metric ton in South America and other regions worldwide, and by EUR500/metric ton (USD596/metric ton) in Europe. Trimethylolpropane will rise by a proposed 15 cts/lb in North America and Mexico, by USD330/metric ton in South America and elsewhere, and by EUR270/metric ton in Europe.

N-propanol and n-propyl acetate are both nominated to increase by 10 cts/lb in North America and Mexico, USD220/metric ton in South America and other regions worldwide, and by EUR180/metric ton in Europe.

OQ Chemicals has also announced a price rise in the Americas for 2-ethylhexanol (2-EH), also effective 1 April, with a nominated increase of 30 cts/lb in North America and Mexico, and USD660/metric ton in South America.

The company announced a number of increases in January and February for similar given reasons.

As MRC wrote before, in September 2020, OQ Chemicals entered into an agreement to license its advanced proprietary technology for the production of ethylene and propylene derivatives to Duqm Refinery and Petrochemicals Industries Company (DRPIC) in Oman. DRPIC, a joint venture between Oman Oil Company and Kuwait International Oil Company, is a planned grassroots petrochemical complex at Duqm, Oman. In all, DRPIC awarded twelve license packages to international licensors.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 241,030 tonnes in January 2021 versus 217,890 tonnes a year earlier. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, PP shipments to the Russian market reached 141,870 tonnes in January 2021 versus 123,520 tonnes a year earlier. Supply of homopolymer PP and PP block copolymers increased.

OQ Chemicals, formerly Oxea, is a global manufacturer of oxo intermediates and oxo derivatives, such as alcohols, polyols, carboxylic acids, specialty esters, and amines. These products are used for the production of high-quality coatings, lubricants, cosmetics and pharmaceutical products, flavours and fragrances, printing inks and plastics. OQ Chemicals is part of OQ, an integrated energy company that delivers sustainability and business excellence. OQ operates in 16 countries and covers the entire value chain from exploration and production to the marketing and distribution of its products.
MRC

MOSCOW (MRC) -- Overall production of polyvinyl chloride (PVC) reached 169,200 tonnes in the first two months of 2021, down 4% year on year. All producers decreased production volumes over the reported period, according to MRC ScanPlast.

February production of unmixed PVC in Russia was 79,400 tonnes from 89,400 tonnes a month earlier, RusVinyl and Kaustik Volgograd decreased capacity utilisation. Total PVC production in Russia reached 169,200 tonnes in January - February 2021 against 176,400 tonnes a year earlier, a decrease in production volumes was seen from all producers.

The structure of PVC production by plants looked the following way over the stated period.

RusVinyl (JV of SIBUR and SolVin) produced about 26,200 tonnes of PVC in February, with emulsion polyvinyl chloride (EPVC) accounting for 2,500 tonnes, compared to 31,100 tonnes a month earlier. Total SPVC production at RusVinyl decreased to 57,300 tonnes in the first two months of this year, compared to 62,300 tonnes in the same period in 2020.

SayanskKhimPlast kept capacity utilisation steady in February, having produced about 25,200 tonnes of suspension PVC (SPVC) compared to 27,900 tonnes a month earlier. The Sayansk plant managed to produce about 53,100 tonnes of PVC in January-February, compared to 54,100 tonnes a year earlier.

Baskhir Soda Company produced about 21,700 tonnes of SPVC in February, against 23,500 tonnes a month earlier. The Baskhir plant's overall production of resin reached 45,200 tonnes in January-February 2020, down by 1% year on year.


Kaustik (Volgograd) produced 6,300 tonnes of SPVC in February, compared with 7,400 tonnes in February. The plant's overall production of PVC reached 13,700 tonnes in January-February versus 14,500 tonnes a year earlier.


MRC

MOSCOW (MRC) -- Lonza says it has expanded its manufacturing collaboration with Altimmune (Gaithersburg, Maryland), a clinical-stage biopharmaceutical company, for Altimmune’s single-dose intranasal COVID-19 vaccine candidate, AdCOVID, said Chemweek.

Lonza will commission a dedicated manufacturing suite for clinical and commercial production of AdCOVID, at its facility near Houston, Texas, under the terms of the agreement. “Manufacturing capacity for COVID-19 vaccines has been severely constrained, and this limitation has presented considerable challenges for vaccine developers. By expanding our Lonza collaboration and commissioning our own dedicated manufacturing suite, we are building extra capacity and redundancy into our manufacturing to support potential late-stage clinical trials with AdCOVID and potential future commercial supply,” says Vyjayanthi Krishnan, vice president/product development at Altimmune.

AdCOVID is administered via nasal spray and preclinical studies have shown that it activates systemic immunity—neutralizing antibodies and T cell responses—and mucosal immunity in the respiratory tract, Lonza says. Activation of mucosal immunity may prevent infection and transmission of SARS-CoV-2 virus, responsible for the COVID-19 pandemic, the company says.

“We recently commenced our AdCOVID phase 1 clinical trial and anticipate having a data readout in the second quarter of 2021. If the clinical data from our phase 1 trial and subsequent clinical trials validate our preclinical observations and AdCOVID is successfully commercialized, we believe that it could become an important new option for vaccination against COVID-19, offering the simplicity of nasal administration, potential ease of deployment and storage, and the potential to block viral transmission,” says Vipin Garg, president and CEO at Altimmune.

We remind that in 2012, Lonza set up a task force to look at new supply routes and vendors to feed its cracker in Visp, Switzerland, following the shutdown of Petroplus’ refinery at Cressier in January, 2012. Lonza’s cracker has an ethylene capacity of 25,000 tonnes/year.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 241,030 tonnes in January 2021 versus 217,890 tonnes a year earlier. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, PP shipments to the Russian market reached 141,870 tonnes in January 2021 versus 123,520 tonnes a year earlier. Supply of homopolymer PP and PP block copolymers increased.

MRC

MOSCOW (MRC) -- Nexus Fuels, LLC (Nexus), has secured a major investment from Cox Enterprises to accelerate its market expansion, said Hydrocarbonprocessing.

Nexus converts waste plastics, formerly bound for landfills and oceans, back into their original components so they can be used to create new materials. Nexus’ environmentally friendly recycling process can convert waste plastics into virgin plastic precursors and resins that partners, like Shell and Chevron Phillips, can use to develop entirely new products.

Recent reports by the American Chemistry Council, Plastics News, McKinsey & Company, Inc., and others highlight the urgency of addressing environmental challenges posed by the growth in plastics waste. Nexus proves that plastics can positively meet society’s needs in their original form and then be converted into new products like furniture, home appliances and medical equipment — creating an infinite, circular lifecycle for plastics. This circular economy also reduces the need to continually mine for fossil fuels – delivering the tangible results the marketplace seeks.

Nexus has already sold more than 250,000 gallons of fuel and raw material, diverting more than 1,000 tons of waste plastics from landfills. “We appreciate Cox’s dedication to improving the environment and their support of Nexus to convert waste plastics into new, environmentally-friendly products,” said Nexus CEO Jeff Gold. “More importantly, Cox understands that recycling solutions like Nexus must be economically viable to be sustainable over the long term."

Nexus has partnered, from the outset, with Cox Enterprises — a company committed to healing and protecting our planet. "With Cox’s full support, Nexus has created an end-to-end business, poised to grow globally,” said Nexus President and Co-Founder Eric Hartz. “This circular solution means all plastics currently above ground are all that’s ever needed."

"Cox Enterprises is committed to protecting our planet and tackling sustainability challenges while growing our business,” said Steve Bradley, vice president of Cox Cleantech for Cox Enterprises. “By investing in cutting-edge companies like Nexus that bring viable solutions to real-world problems, we are building scalable businesses that create a positive impact on the planet."

Since 2007, Cox Enterprises has invested nearly USD1 billion in cleantech companies and solutions that are as diverse as they are innovative. These investments range from sustainable agriculture and energy services to waste conversion technologies, and include companies like Rivian, BrightFarms, Anuvia Plant Nutrients and Growers Edge, among others.

As per MRC, Chevron Phillips Chemical (CPChem; The Woodlands, Texas) says its Cedar Bayou facility in Baytown, Texas, where the company produces its Marlex Anew circular polyethylene (PE), has received certification through the International Sustainability and Carbon Certification PLUS (ISCC Plus) process. CPChem has also signed a long-term supply agreement with Nexus Fuels as its first supplier of pyrolysis oil, an ethylene feedstock derived from plastic waste.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 241,030 tonnes in January 2021 versus 217,890 tonnes a year earlier. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, PP shipments to the Russian market reached 141,870 tonnes in January 2021 versus 123,520 tonnes a year earlier. Supply of homopolymer PP and PP block copolymers increased.
MRC

MOSCOW (MRC) -- Neste announced in March 2020 an intention to increase its renewable products production capacity in Europe, according to the company strategy, reported Hydrocarbonprocessing.

The company has now concluded a thorough study phase concerning the two possible locations, Porvoo, Finland and Rotterdam in the Netherlands. Neste has existing sites in both locations. While there are many positive drivers for both sites, the difference between the costs is significant in favor of Rotterdam.

“I appreciate the open dialogue we have had with the authorities both in Finland and in the Netherlands throughout the study phase. We have witnessed a constructive approach to find the best solutions to support our future growth”, says Peter Vanacker, President and CEO of Neste.

“Based on the thorough studies and calculations, the overall cost of the investment is significantly lower in Rotterdam. Our decision relies on ensuring our future competitiveness and our renewables’ growth strategy execution”, continues Vanacker.

The criteria for site selection include current markets and regulatory framework supporting market growth, raw material sourcing opportunities, investment and operating costs, infrastructure and low carbon utilities as well as local synergies and incentives.

The key aspects contributing to the overall cost difference are logistics costs, site-specific construction costs and availability of low-carbon hydrogen supply. Further, Porvoo site is more complex which leads to a higher execution risk level and longer construction schedule. Rotterdam, in turn, benefits from the proximity of new markets for Renewable Aviation and Renewable Polymers and Chemicals as well as proximity to raw material sources.

Neste aims at creating readiness for a final investment decision by the Board of Directors towards the end of 2021 or early 2022. In any case, the company is investing significantly in Finland, and to the Porvoo site, driven by the commitment to reach carbon neutral production by 2035. Further, Neste is accelerating its investments also into future technologies and raw materials. Finland is, and continues to be, the company’s Research, Development and Innovation hub.

As MRC informed previously, Neste has recently announced that it would acquire Bunge Loders Croklaan's refinery plant in Rotterdam, the Netherlands. The refinery plant is located next to Neste’s existing biorefinery and it consists of a pretreatment facility, tank farm, jetties and has a pipeline connection to Neste’s site. The acquisition has been approved by regulatory authorities, and the transaction has been completed on 1 March 2021. The transition of operations and employees will be implemented in phases with the refinery plant’s full and modified pretreatment capacity available for processing Neste’s feedstock by the end of 2024.

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

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 241,030 tonnes in January 2021 versus 217,890 tonnes a year earlier. Only shipments of low density polyethylene (LDPE) and high density polyethylene (HDPE) increased. At the same time, PP shipments to the Russian market reached 141,870 tonnes in January 2021 versus 123,520 tonnes a year earlier. Supply of homopolymer PP and PP block copolymers increased.
MRC