Shell to restart crude units in Deer Park

MOSCOW (MRC) -- Royal Dutch Shell Plc is preparing to restart the crude distillation units (CDUs) at its 318,000 bpd joint-venture Deer Park, Texas refinery, reported Hydrocarbonprocessing with reference to sources familiar with plant operations.

The restart of the 270,000-bpd DU-2 CDU and the 70,000-bpd DU-1 CDU between Sunday night and Monday, assuming no setbacks, will begin the restart of all other units at the refinery, the sources said.

A Shell spokesman did not immediately reply to a request for comment.

Shell began preparing to restart the crude units on Saturday. The CDUs were shut by a pump seal failure on Feb. 14. Other units at the refinery were shut on Feb. 15 because of the effects of severe cold weather.

The Deer Park refinery is last to begin restarting following the severe cold that cascaded across the US Gulf Coast in mid-February.

The Deer Park refinery is a 50-50 joint-venture between Shell and Mexico’s national oil company, Pemex. Shell is the managing partner.

As MRC informed before, Royal Dutch Shell Plc pushed back the restart of its 318,000 bpd joint-venture Deer Park, Texas, refinery to March 13. Shell had planned to restart the 270,000-bpd DU-2 crude distillation unit (CDU), the largest at the refinery, by early last week. Shell is continuing repairs at the refinery to enable it to restart from the Feb. 15 shutdown because of cold weather. Repairs could last until April.

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.

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.
MRC

LyondellBasell, San Jacinto College celebrate completion of Glass Distillation Lab

MOSCOW (MRC) -- Employees from LyondellBasell and San Jacinto College, along with a small group of elected officials and community partners, gathered on Friday, March 5, for a socially-distant ribbon-cutting ceremony officially opening the new LyondellBasell Glass Distillation Lab at San Jacinto College, said Hydrocarbonprocessing.

The lab, located in the LyondellBasell Center for Petrochemical, Energy, & Technology (CPET) at San Jacinto College, is a scaled model distillation plant which shows the chemical and physical processes that take place within a chemical plant. It is designed to be a hands-on training tool for the next generation of operators, teaching process technology and instrumentation. San Jacinto College students will have a unique perspective on how a distillation unit operates, since the glass structure of the unit allows them to peek inside and see how it works.

"The LyondellBasell Glass Distillation Lab is an innovative educational tool which gives our future workforce hands-on experience before they step foot on a manufacturing site," said Michael VanDerSnick, Senior Vice President of Americas Manufacturing for LyondellBasell. “Our custom-built Glass Distillation Lab is the most realistic training experience a student can have without actually being at a plant, and it’s the only one of its kind. LyondellBasell employees are personally invested in the workforce of the future, which is evident in the 14,000 hours they dedicated to constructing the lab."

The LyondellBasell Glass Distillation Lab is one of 35 labs at CPET, which opened for classes in Fall 2019. The Center is the largest training facility in the Gulf Coast Region built for and designed by industry. It also includes an 8,000-square-foot glycol distillation unit, 20 interactive classrooms, and conference, training, and assembly spaces designed to accommodate academic, community, and industrial functions. The LyondellBasell Center for Petrochemical, Energy, & Technology was funded in part through a $425 million bond referendum in 2015 and through numerous monetary and in-kind donations from industry partners.

“When we began the process of planning this building several years ago, it was important to have our industry partners at the table from the beginning,” said San Jacinto College Chancellor Dr. Brenda Hellyer. “We are fortunate to have LyondellBasell as one of our many partners, and today we are here to celebrate them and the opening of the Glass Distillation Lab. This lab is going to benefit the next generation of process technology workers by providing them with a real-life, hands-on experience, just as they will use when they enter the workforce. We are thankful and grateful to LyondellBasell for its commitment to our students and our training programs at San Jacinto College."

As MRC wrote previously, LyondellBasell (Houston, Texas), one of the largest plastics, chemicals and refining companies in the world, reports fourth-quarter net income of USD855 million, up 40% year-over-year (YOY) from USD612 million on higher polyolefin volumes and margins. A USD147 million non-cash, lower-of-cost-or-market (LCM) inventory valuation benefit increased net income by USD119 million, or USD0.36 per share. Sales totaled USD7.937 billion, down 3.0% YOY from USD8.179 billion. Adjusted earnings per share of USD2.19 increased 15% YOY from USD1.91 and beat the consensus of USD1.31 as compiled by Zacks Investment Research.

Styrene is the main feedstock for the production of polystyrene (PS).

According to MRC's ScanPlast report, Russia's estimated consumption of PS and styrene plastics totalled 520,630 tonnes in 2020, which corresponded to the same figure a year earlier. December estimated consumption of PS and styrene plastics grew by 5% year on year to 47,490 tonnes.

LyondellBasell is one of the largest plastics, chemicals and refining companies in the world. Driven by its 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, improving the safety, comfort and fuel efficiency of many of the cars and trucks on the road, and ensuring the safe and effective functionality in electronics and appliances. LyondellBasell sells products into more than 100 countries and is the world"s largest producer of polymer compounds and the largest licensor of polyolefin technologies. In 2020, LyondellBasell was named to Fortune Magazine"s list of the "World"s Most Admired Companies" for the third consecutive year.
MRC

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

PVC production in Russia down by 4% in January-February

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

Lonza expands manufacturing collaboration for Altimmune COVID-19 vaccine candidate

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