Pertamina, and Air Products aim coal-gasification, DME project in Indonesia

MOSCOW (MRC) -- U.S. company Air Products and Chemicals Inc is “prepared” to invest USD10 billion in Indonesia, including in a project involving the state oil company and a coal firm, the secretary general of Indonesia’s National Energy Council said, as per Reuters.

“Air Products has sent a letter to the government of Indonesia. They are prepared to invest USD10 billion,” Djoko Siswanto told CNBC Indonesia on Thursday. He said the first USD2 billion would be invested in a project with state coal miner PT Bukit Asam and state oil company PT Pertamina.

Bukit Asam has already partnered with Air Products on a coal gasification plant worth USD2.1 billion, which is expected to start commercial operation in 2024. Air Products could not immediately be reached for comment.

As per MRC, Pertamina halted production at two catalytic cracking units in Balongan (Balongan, West Java, Indonesia) on 29 March after a fire broke out at the complex. It is currently unknown when these units with a total capacity of 440,000 tonnes/year of propylene per year (260,000 and 180,000 tonnes) will be able to return to work.

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.

Pertamina is an Indonesian state-owned oil and gas corporation based in Jakarta, Indonesia. The company was formed in August 1968 through the merger of Pertamin (established in 1961) and Permina (established in 1957). The company is the world's largest producer and exporter of liquefied natural gas (LNG).
MRC

MOSCOW (MRC) -- Refiners booked at least five tankers to store gasoline stranded at US Gulf Coast plants following a cyberattack that crippled the biggest fuel pipeline in the country, reported Reuters with reference to sources and shipping data.

The attack on the Colonial pipeline network, which supplies half of the fuel consumed along the East Coast, has forced Gulf Coast refineries to scale back operations due to lack of storage space. North Carolina suspended restrictions on fuel shipments to combat gasoline shortages.

The tankers, booked by Marathon Petroleum, Valero Energy, Phillips 66 and PBF Energy, can hold around 350,000 tonnes of fuel. Two of them were booked for up to a month, and three were provisional bookings that could be cancelled, according to data and shipbroking sources.

As MRC informed earlier, Colonial on Friday shut its 5,500-mile (8,850-km) pipeline network, which moves fuels including gasoline, diesel and jet fuel, to protect its systems. It has restarted some smaller lines.

In the wake of the outage, traders also booked several tankers to ship gasoline and diesel from Europe to the US East Coast.

French oil major Total SE and commodities trading houses Vitol and Trafigura each booked 90,000-tonne tankers to ship diesel on the transatlantic route, shipping data showed, a relatively rare route as Europe consumes more diesel than it produces.

Several Gulf Coast refiners that rely on Colonial for shipments have cut output. Total and Motiva Enterprises cut gasoline production at their Port Arthur, Texas refineries and Citgo Petroleum pared back at its Lake Charles, Louisiana, plant, sources told Reuters.

We remind that Marathon Petroleum, the largest US refiner, can meet its supply commitments for now but is working to find alternative ways to ship motor fuels to the eastern United States if the Colonial Pipeline shutdown is extended.

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.
MRC

MOSCOW (MRC) -- Sadara Basic Service’s first-quarter profit jumped year on year on the back of firmer pricing and debt re-profiling, the Saudi-based joint venture producer said.

Sadara Chemical Company (Sadara) announced its first quarter financial performance for 2021, stating that the company’s revenues reached more than SR4.4 billion — 30.5% higher compared to the previous quarter in 2020 and an increase of more than 80% compared to the same quarter last year.

For the first time in its history, Sadara’s net profits after Zakat & Tax in this first quarter exceeded SR1.6 billion compared to net losses of more than SR1.27 billion and SR24 million in the same quarter of 2020 and last quarter, respectively.

These positive results reflect the company’s ongoing commitment toward shareholders and manufacturing high-quality products for customers in the Kingdom and beyond. The improvement in net profit in the first quarter compared to the previous period is mainly attributable to higher selling prices, continuous financial discipline, and the recognition of a modification gain of SR1.05 billion from debt reprofiling.

These results showcase Sadara’s better financial positioning after achieving its Project Completion Date (PCD) late last year, followed by lenders’ approval of its debt reprofiling in March 2021.

Despite the local and global challenges posed by the COVID-19 pandemic, the company has maintained a high level of performance and taken a series of proactive and preventive measures to ensure the health and safety of its employees, as well as ensuring that the business operations remain largely unaffected.

Sadara took many positive steps over the last period toward progressing its financial strength and operations. In addition, the company has been maintaining its focus on continuously excelling in key pillars, including safety, employee engagement, operations, customer service, sustainability, community service and financial performance.

As per MRC, Dow noted in late April that Sadara, along with other polyethylene joint venture complexes in Kuwait and Thailand, drove a strong increase in equity earnings during the first quarter.

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.
MRC

MOSCOW (MRC) -- China's Sinopec Corp, the top Asian oil refiner, is offering its refineries incentives to boost their output of very low sulfur fuel oil (VLSFO) three sources with knowledge of the matter said, to grab a bigger share of the fast-growing marine fuel market, reported Reuters.

The company is crediting its refineries 150 yuan (USD23.35) for every ton of VLSFO they produce, they said.

The scheme, which started earlier this year, is aimed at motivating its plants to produce more VLSFO as a domestic diesel supply overhang idled some of the state oil firm's refining capacities, the sources said.

Sinopec declined to comment.

As MRC informed previously, Sinopec Engineering (Group) and ExxonMobil (Huizhou) Chemical (EMHCC) have recently entered into a BEPC (basic design, engineering, procurement and construction) contract for the proposed Huizhou Chemical Complex Project (Phase I). The main units of the project include a 1.6 million tonnes/year ethylene flexible feed steam cracker, downstream polymer and derivative units and utilities. The main product units include two performance polyethylene (PE) lines and two differentiated performance polypropylene (PP) lines.

Ethylene and propylene are the main feedstocks for the production of PE and 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.

China Petrochemical Corporation (Sinopec Group) is a super-large petroleum and petrochemical enterprise group established in July 1998 on the basis of the former China Petrochemical Corporation. Sinopec Group"s key business activities include the exploration and production of oil and natural gas, petrochemicals and other chemical products, oil refining.
MRC

MOSCOW (MRC) -- Linde India Ltd., an Indian subsidiary of industrial gas manufacturer Linde Plc, has announced its results for the second quarter ended March 31, 2021, according to Kemicalinfo.

CY 2021 Q1 Results- QoQ: the company’s net profit grew 434% to Rs 303.23 crores (USD41.3 million) for the period ended March 31, 2021 as against net profit of Rs 56.8 crores (USD7.7 million) for the previous quarter.

Net sales dropped 7% to Rs 445.57 crores (USD60.7 million) during the period ended March 31, 2021 as compared to Rs 477.94 crores (USD65.1 million) during the previous quarter.

CY 2021 Q1 Results- YoY: the company’s net profit increased 677% to Rs 303.23 crores (USD41.3 million) for the period ended March 31, 2021 as against net profit of Rs 39.03 crores (USD5.3 million) for the the prior-year quarter.

Net sales grew 13.2% to Rs 445.57 crores (USD60.7 million) during the period ended March 31, 2021 as compared to Rs 393.79 crores (USD53.6 million) during the the prior-year quarter.

As MRC wrote before, in January, 2021, Linde said it will build, own, and operate the world’s largest proton exchange membrane (PEM) electrolyzer plant for the production of green hydrogen at the Leuna chemical complex in Germany.

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.
MRC