PVC production in Russia remained the same YOY in Jan-May 2021

MOSCOW (MRC) -- Overall production of unmixed polyvinyl chloride (PVC) totalled 432,100 tonnes in the first five months of 2021, which virtually corresponds to the last year's figure. At the same time, two producers reduced their output, according to MRC's ScanPlast report.

May production of unmixed PVC in Russia was 86,100 tonnes versus 86,600 tonnes a month earlier, RusVinyl decreased its capacity utilisation. Overall output of polymer totalled 432,100 tonnes in May 2021, which corresponds the last year's figure. Two producers reduced their output, whereas Bashkir Soda Company and Kaustik, Volgograd managed to increase their production of resin.

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

RusVinyl produced 28,100 tonnes of PVC in May, with emulsion polyvinyl chloride (EPVC) accounting for 2,600 tonnes, compared to 29,100 tonnes a month earlier. RusVinyl's overall output of resin reached 145,400 tonnes in the first five months of 2021, compared to 149,100 tonnes a year earlier.

SayanskKhimPlast maintained high capacity utilisation last month and produced 26,500 tonnes of suspension polyvinyl chloride (SPVC), which corresponds to the April figure. The Sayansk plant managed to produce 133,500 tonnes of PVC in January-May 2021, compared to 137,300 tonnes a year earlier.

Bashkir Soda Company produced 23,800 tonnes in May, maintaining the previous month's level. The Baskhir plant's overall production of resin reached 117,300 tonnes in January-May 2021, up by 2% year on year.

Kaustik, Volgograd produced 7,700 tonnes of SPVC last month, whereas this figure was 7,200 tonnes a year earlier. The plant's overall production of resin reached 36,000 tonnes in January-May 2021 versus 30,600 tonnes a year earlier.

MRC

MOSCOW (MRC) -- Marathon Petroleum's Los Angeles refinery has been honored for a level of community investment that sets it apart from hundreds of companies in the surrounding region, according to Hydrocarbonprocessing.

The Long Beach Area Chamber of Commerce recently named the refinery its Corporate Citizen of the Year based on the facility’s employee volunteerism and financial assistance to charitable causes over the past five years.

“This award reflects our long tradition of involvement in the community,” said Los Angeles Refinery Vice President Brad Levi. “We go beyond corporate donations to encourage our employees and contractors to become agents for change and to give of themselves.”

For 2019-2020, the refinery’s community investments amounted to approximately USD2 million, and employees recorded almost 1,700 volunteer hours.

As MRC reported earlier, in May, 2021, US refiner Marathon Petroleum Corp said its board had approved the conversion of the Martinez refinery in California to a renewable diesel plant. Besides, the company made a final investment decision regarding this project. Martinez, once complete, will be one of the largest renewables facilities in the country.

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 744,130 tonnes in the first four month of 2021, up by 4% year on year. Shipments of all PE grades increased. At the same time, PP deliveries to the Russian market were 523,900 tonnes in January-April 2021, up by 55% year on year. Supply of homopolymer PP and PP block copolymers increased, whereas shipments of PP random copolymers decreased.

Marathon Petroleum Corporation (MPC) is a leading, integrated, downstream energy company headquartered in Findlay, Ohio. The company operates the nation's largest refining system. MPC's marketing system includes branded locations across the United States, including Marathon brand retail outlets.
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MOSCOW (MRC) -- Following a successful FEED study in 2019, Air Liquide Engineering & Construction will continue its partnership with Samsung Engineering to build a methanol production plant for Sarawak Petchem, a state-owned oil and gas firm established and owned by the State Government of Sarawak, Malaysia, said the company.

The new facility is planned to come into operation in 2023. The methanol plant, which will be located in Bintulu, Sarawak State, Eastern Malaysia, will produce 5,000 tons of methanol per day based on Air Liquide Engineering & Construction proprietary process technology, Lurgi MegaMethanol, which converts natural gas into methanol.

As part of the agreement, Air Liquide Engineering & Construction will be the technology licensor, also providing engineering, related equipment as well as an Air Separation Unit with a production capacity of 2,200 tons per day of oxygen.

Air Liquide Engineering & Construction is a world leading methanol licensor, with over 50 years of experience in plant design, engineering, procurement and construction offering customers safe, reliable and energy efficient technology solutions.

David Maloney, Group Vice President and Chairman of Air Liquide Engineering & Construction, stated: “We are proud to continue our partnership with Samsung Engineering which further enhances our position as the leading technology provider for Methanol plants. This renowned expertise and strong presence in Malaysia combined with Samsung Engineering’s strong track-record in South-East Asia as an Engineering, Procurement and Construction (EPC) and Project Management (PM) Company, along with the excellent FEED execution have been key to gain the trust of Sarawak Petchem and secure this new contract."

Cheonhong Park, Vice President of Samsung Engineering, stated: "Samsung Engineering and Air Liquide co-developed this project from the pre-feasibility study stage together by implementing exceptional engineering capabilities and showing superb commitment to this project. Through this collaboration, we will successfully deliver the world-scale methanol plant in Sarawak and hope to collaborate with Air Liquide for future joint projects."

As per MRC, Air Liquide Engineering & Construction, one of the world's leading industrial gas companies, has signed a contract with Zeeland Refinery, a joint venture between TotalEnergies and Lukoil, to provide a carbon capture and liquefaction solution in the Netherlands.

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 744,130 tonnes in the first four month of 2021, up by 4% year on year. Shipments of all PE grades increased. At the same time, PP deliveries to the Russian market were 523,900 tonnes in January-April 2021, up by 55% year on year. Supply of homopolymer PP and PP block copolymers increased, whereas shipments of PP random copolymers decreased.
MRC

MOSCOW (MRC) -- Crude oil futures dipped during mid-morning Asian trade June 8, amid softening demand cues from independent Chinese refineries, even as strong demand indicators from the West and slow progress in US-Iran nuclear talks, which could lift sanctions on Iranian crude, continue to support sentiment, reported S&P Global.

At 11.05am Singapore time (0305 GMT), the ICE Brent August contract was down 66 cents/b (0.92%) from the previous settle at USD70.83/b, while the July NYMEX light sweet crude contract was down 63 cents/b (0.91%) at USD68.60/b.

Ongoing investigations into China's independent refining sector regarding the illegal trade of government issued crude oil import quotas, as well as destocking activity amid strong crude prices, have resulting in easing demand.

According to preliminary data from the General Administration of Customs, China's crude imports slumped 14.6% on the year to a five-month low of 9.69 million b/d in May, S&P Global Platts reported earlier.

"Crude's rally came to a screeching halt overnight after WTI tested the USD70/b level and as China's imports dropped to a five-month low. The weakness in Chinese demand appears to be more of a story about China's private refining sector tentatively slowing purchases as they deal with investigations to address structural overcapacity," OANDA's senior market analyst, Edward Moya, said in a June 8 note.

However, the weakness in the market is expected to be temporary, as recovery in the West continues to buoy sentiment in the market amid easing travel restrictions and the strong seasonal summer demand.

Citing data from creator of location technology, TomTom, analysts at ANZ noted in a June 8 note that traffic in 15 European cities was as busy as in 2019. "This is the highest level of traffic since the pandemic began," they said.

"Travel data in the US continues to improve. The number of passengers passing through airport security checkpoints continues to climb strongly," ANZ analysts added.

Along with strengthening demand signals from the US and Europe, concerns of tightness in the oil markets are further amplified by sluggish progress in US-Iran nuclear talks, which are keeping Iranian crude exports at bay.

As MRC informed earlier, Indian refiners, anticipating a lifting of US sanctions, plan to make space for the resumption of Iranian imports by reducing spot crude oil purchases in the second half of the year. The world"s third-largest oil consumer and importer halted imports from Tehran in 2019 after former US President Donald Trump withdrew from a 2015 accord and re-imposed sanctions on the OPEC producer over its disputed nuclear programme.

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 744,130 tonnes in the first four month of 2021, up by 4% year on year. Shipments of all PE grades increased. At the same time, PP deliveries to the Russian market were 523,900 tonnes in January-April 2021, up by 55% year on year. Supply of homopolymer PP and PP block copolymers increased, whereas shipments of PP random copolymers decreased.
MRC

MOSCOW (MRC) -- Former Shell Oil U.S. President John Hofmeister, who led the oil firm's U.S. efforts to help restore investor confidence after an accounting scandal nearly two decades ago and later set up an energy advocacy group, has died, said Reuters.

A memorial service is planned June 29 in Houston. He died on May 24 after a short illness, his family said on Sunday night. Hofmeister was named president of the U.S. arm of Royal Dutch Shell (RDSa.L) in 2005 shortly after a reserves accounting scandal hit its parent. The scandal led to several restatements and cost $350 million to settle investor lawsuits.

He launched a U.S. outreach effort the following year that took Shell executives to 50 U.S. cities to mend the company's reputation and gather views on energy security that he used to guide the company. Hofmeister, who spent more than a decade at Shell, became an industry critic and advocate for alternative fuels after his 2008 retirement. He formed energy policy and advocacy group, Citizen for Affordable Energy, and called for the embrace of long-term energy policies in his 2010 book "Why We Hate the Oil Companies."

Hofmeister joined the board of Australia's ioneer Ltd (INR.AX), which is developing U.S. sources of lithium, to advance prospects for energy transition. "John was a genius at his ability to understand the scale and technology needed to make this energy transition succeed," said James Calaway, ioneer's chairman. Hofmeister was an unusual oil chief, one of the few without an engineering background, and outspoken on the industry's need for engagement. He derided politicians who used price swings to batter energy executives while privately seeking donations.

In a 2014 CNN interview, he recalled being asked in his last year at Shell to testify before Congressional panels probing price spikes and then hit up for campaign donations by panel members, a system he called "pay to play." Hofmeister joined Shell in 1997 as group human resources director after stints at General Electric and other companies.

As MRC reported earlier, last week, a court in the Netherlands ordered Shell to cut its emissions by 45% by 2030, putting pressure on the company to move faster than it had otherwise planned.

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.

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.
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