SEPC to shut cracker for scheduled turnaround on 23 May

MOSCOW (MRC) -- Saudi Ethylene and Polyethylene Company (SEPC), a subsidiary of Tasnee, is planning to start a routine maintenance at its cracker in Jubail on 23 May, 2021, according to CommoPlast with reference to market sources.

The cracker that produces 1 million tons/year of ethylene and 285,000 tons/year of propylene will be shut for a turnaround for about 27 days.

The company also operates a 400,000 tons/year of high density polyethylene (HDPE) and a 400,000 tons/year of low density polyethylene (LDPE) plant at the same site.

As MRC informed before, Saudi Arabia's National Industrialization Company, or Tasnee, had announced a curtailment of feedstock to petrochemical affiliates in varying proportions by an average of 41% due to the attacks on key Saudi Aramco facilities on Saturday, 14 September 2019. Tasnee owns a majority stake in Saudi Polyolefins Company and Saudi Ethylene and Polyethylene Company.

Ethylene and propylene are the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 576,270 tonnes in the first three month of 2021, up by 4% year on year. Low density polyethylene (LDPE) and high density polyethylene (HDPE) shipments increased. At the same time, PP shipments to the Russian market totalled 410,890 tonnes in January-March 2021, up by 56% year on year. Supply of homopolymer PP and PP block copolymers increased.

SEPC is a joint venture between Tasnee, Sahara Petrochemical Company, and LyondellBasell.
MRC

MOSCOW (MRC) -- OQ Chemicals (Monheim am Rhein, Germany) has announced global price increases for several oxo intermediate and polyols products, according to PCE with reference to the company's statement.

Thus, the company will increase prices for the following products effective 13 May, 2021, or as contracts allow: 2-Ethyl Hexanol, n-Butanol, Isobutanol, n-Butyl Acetate, Isobutyl Acetate, n-Propanol, n-Propyl Acetate, Neopentyl Glycol (NPG), Trimethylol Propane (TMP), n-Butyraldehyde, n-Propionaldehyde, and Isobutyraldehyde.

The present price increase is due to unprecedented strong demand and limited availability.

At the same time, details of the specific increases were not provided, with the company asking customers to contact its sales representatives to receive latest prices.

OQ Chemicals has already announced several price increases for its oxo intermediate products this year, citing strong demand and rising raw material costs.

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 the main feedstocks for the production of polyethylene (PE) and polypropylene (PP), respectively.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 576,270 tonnes in the first three month of 2021, up by 4% year on year. Low density polyethylene (LDPE) and high density polyethylene (HDPE) shipments increased. At the same time, PP shipments to the Russian market totalled 410,890 tonnes in January-March 2021, up by 56% year on year. 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) - The Interdepartmental Commission on International Trade (ICMT) of Ukraine has considered the information of the Ministry of Economy of Ukraine on the action of special measures regarding the import of polymer materials to Ukraine, regardless of the country of origin and export, Uryadovy Courier reports.

In accordance with Article 11 of the Law of Ukraine "On the Application of Special Measures Regarding Import to Ukraine", the Commission considered and decided that the following should be returned:

1. The difference between the amount of the preliminary special duty paid at the rate of 18% in accordance with the decisions of 22.05.2020 No. SP-445/2020 / 4411-03 and of 22.06.2020 No. SP-451/2020 / 4411-03, and the amount the final special duty payable at the rate of 12.4% in accordance with the decision of November 20, 2020 No. SP-466/2020 / 4411-03 for suspension polyvinyl chloride, with the Fikentcher constant ranging from 64 to 69, which is classified by code 3904 10 00 00 according to UKTZED regardless of the country of origin and export.

2. The amount of the preliminary special duty paid at the rate of 18% during the period of validity of decisions dated 22.05.2020 No. SP-445/2020 / 4411-03 and dated 22.06.2020 No. SP-451/2020 / 4411-03, on goods, imports which did not harm the national manufacturer, which has such a description "Suspension polyvinyl chloride, with Fikentcher constant up to 63.9 and from 69.1, classified by code 3904 10 00 00 according to UKTZED, regardless of the country of origin and export."

The amounts of the preliminary special duty are subject to return in the presence of a quality certificate drawn up by the manufacturer of the goods or the conclusion of expert institutions in accordance with part three of Article 357 of the Customs Code of Ukraine, confirming the physical and chemical properties of the goods. The decision of the Commission dated April 23, 2021 No. SP-492/2021 / 4411-03 comes into force from the date of publication of this message.

In November last year, it was reported that the Interdepartmental Commission on International Trade (ICMT) of Ukraine changed the import duty on suspension polyvinyl chloride (SPVC) and high-density polyethylene (HDPE). So, based on the results of the meeting, it was decided to extend the special measures of 22 June, 2020 regarding the import of HDPE and PVC with some changes. Special measures are introduced for three years from the date of the duty in the amount of: from the date of application of the duty - 12.4%, 12 months after the application of the duty - 12%, 24 months after the application of the duty - 11.5%. The corresponding decision was made by MKMT on November 20 at the request of Karpatneftekhim LLC (Kalush, Ivano-Frankivsk region). It was noted that the import of these goods to Ukraine from a whole group of African, Asian and a number of island countries, as well as member countries of the European Free Trade Association (EFTA) and the CIS, except Russia, will not be subject to special duty.

According to Market Report's DataScope review, in March import supplies of SPVC to the Ukrainian market decreased to 1,700 tonnes against 2,100 tonnes, European manufacturers further reduced their export sales due to a shortage in the domestic market. At the end of January - March 2021, the total volume of suspension imports reached 6,400 tonnes against 11,500 tonnes a year earlier. Limited export quotas from European and North American producers were the main reason for such a serious drop in imports.
MRC

MOSCOW (MRC) -- LyondellBasell Industries N.V. (Rotterdam the Netherlands) announced another step towards its ambition to advance the circular economy by making virgin quality polymers from raw materials derived from plastic waste at its Wesseling, Germany, site, said Chemengonline.

Produced by the thermal conversion of plastic waste, this raw material is converted into ethylene and propylene in the LyondellBasell production facilities, and then processed into polypropylene (PP) and polyethylene (PE) in the downstream units for plastics production. The first use of raw material derived from plastic waste follows the company’s successful production of plastic materials made from renewable-based raw materials such as used cooking oil, which helps to reduce CO2 over the product life cycle and reduce the use of fossil-based raw materials.

"Advancing the circular economy requires definitive action and by consistently using these new raw materials in the production of polymers on a commercial scale, we are doing our part to help eliminate plastic waste and address climate change,” says Richard Roudeix, SVP Olefins & Polyolefins for Europe, Middle East, Africa and India. “We are expanding our range of sustainable solutions through our Circulen brand and the use of recycled content, offering our customers a way to use recycled polymers in a wide variety of applications."

The products made from recycled and renewable-based raw materials will be marketed by LyondellBasell under the Circulen brand name enabling brand owners to improve the sustainability of consumer products. They enable the production of high-quality plastics for strictly controlled applications such as food packaging and healthcare items. The LyondellBasell facilities manufacturing these products are certified according to the ISCC (International Sustainability & Carbon Certification) PLUS standard.

LyondellBasell has pledged to reduce CO2 emissions in its operations worldwide by 15% per ton of product produced by 2030 compared with 2015 levels, and produce and market two million metric tons per year of recycled or renewable-based polymers by 2030.

Additionally, LyondellBasell commissioned a pilot plant last year in Ferrara, Italy, to further develop its molecular recycling technology where plastic waste is converted into raw materials for the production of new plastics. The use of plastic waste under real-life conditions helps to further improve research efforts, the goal of which is to build a possible industrial-scale molecular recycling plant, which will further grow the use of raw material derived from plastic waste to produce new plastics.

These developments complement LyondellBasell’s activities in the field of mechanical recycling. Here, the Dutch joint venture Quality Circular Polymers (QCP) produces high-quality.

As per MRC, LyondellBasell, the world's largest polyolefins producer, has declared a force majeure (FM) on shipments of some polypropylene (PP) grades from its Ferrara plant in Italy as of May 3, according to NCT with reference to a source familiar with the issue. This plant is able to produce 285.000 tons/year of PP. At the time of press, no details were shared regarding the reason or duration of the FM.

According to MRC's ScanPlast report, PP shipments to the Russian market totalled 410,890 tonnes in January-March 2021, up by 56% year on year. Supply of homopolymer PP and PP block copolymers increased.

LyondellBasell is one of the largest plastics, chemicals and refining companies in the world. Driven by its 13,000 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, and improving the safety, comfort and fuel efficiency of many of the cars and trucks on the road. LyondellBasell sells products into approximately 100 countries and is the world's largest licensor of polyolefin technologies.
MRC

MOSCOW (MRC) -- Asahi Kasei’s net profit for the fiscal year ending March 2021 slumped by 23.2%, weighed down by weakness in its materials business, and as the company booked a one-off loss for the period, as per the Japanese producer's statement.

The materials segment was hit by global economic deterioration amid the coronavirus pandemic.

Sales for the segment declined by 9.3% year on year to Y991.2bn, with operating profit falling by 28% to Y66.5bn.

“Performance recovered from the second quarter with recovery of automotive-related markets and recovery of petrochemical market prices, but there was a significant impact from the pandemic especially in the first quarter,” Asahi Kasei said.

Meanwhile, the sharp decline in net income was caused by an extraordinary loss of Y22.3bn for the fiscal year 2020 incurred because of a semiconductor plant fire.

For the fiscal year ending March 2022, Asahi Kasei expects higher sales and operating income, backed by “significant recovery of performance in Material”, aided by improving automotive, petrochemicals and apparel-related markets.

As MRC informed before, in July 2019, Asahi Kasei decided to expand its plant for the artificial suede LamousTM in Nobeoka, Miyazaki Prefecture, Japan, by four million m2/year, increasing the total production capacity to 14 million m2/year upon completion in 2021.

Asahi Kasei Corporation is a multinational Japanese chemical company. Its main products are chemicals and materials science. It was founded in May 1931, using the paid in capital of Nobeoka Ammonia Fiber Co., Ltd, a Nobeoka, Miyazaki based producer of ammonia, nitric acid, and other chemicals. Now headquartered in Tokyo, with offices and plants across Japan, as well as China, Singapore, Thailand, USA and Germany.
MRC