Shell to restart its Norco, Louisiana, refinery in mid-October after Hurricane Ida

MOSCOW (MRC) -- Royal Dutch Shell, the largest oil producer in the US Gulf of Mexico, tentatively plans the first restart of a production unit at its 230,611 barrel-per-day (bpd) Norco, Louisiana, refinery for mid-October, reported Reuters with reference to sources familiar with plant operations.

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

The refinery, located 21 miles (34 km) west of New Orleans, was shut on Aug. 28 ahead of the landfall of Hurricane Ida. The refinery was flooded and damaged as the powerful storm passed over the plant, the sources said.

Shell is working to restart the boiler at the refinery, which is necessary for internal power and to produce steam used in the production process, the sources said. The refinery began attempting to restart the boilers over the weekend.

The Norco refinery was one of nine in Louisiana shut by Hurricane Ida. All have returned to production except for the Shell refinery and Phillips 66's 255,600-bpd Alliance, Louisiana, refinery. Sources familiar with operations at the Alliance plant have said it requires months of repairs.

As MRC informed earlier, Royal Dutch Shell plans to reduce its refining and chemicals portfolio by more than half, it said in July 2020 without giving a precise timeframe. The move is part of the Anglo-Dutch company's plan to shrink its oil and gas business and expand its renewables and power division to reduce greenhouse gas emissions sharply by 2050.

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 1,396,960 tonnes in January-July 2021, up by 7% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 841,990 tonnes in the first seven months of 2021, up by 29% year on year. Supply of propylene homopolymers (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of statistical copolymers of propylene (PP random copolymers) subsided.

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

MOSCOW (MRC) -- The blast happened at Westlake Chemical's site in the city of Sulphur just after 11 pm on Monday night, Sept. 27, reported KPLC News.

It occurred during maintenance at the company's Petro Complex 2 Unit, which processes ethylene, according to spokesperson Joe Andrepont. But there has been no fire as a result of the accident.

AT least six people were injured after an explosion at the cracker in Louisiana with the capacity of 740,000 mt/year of ethylene, reports say. Four of the six have since been released from the hospital, according to company spokesperson Joe Andrepont.

All six people injured were contract employees working on a planned maintenance turnaround, Andrepont said.

The cause of the explosion remains unknown and an investigation into the incident remains ongoing.

As MRC informed earlier, a fire at Westlake Chemical’s Petro 1 Unit in Lake Charles, Louisiana was reported on 25 June, 2021, according to KPLC News with reference to company officials' statement. The fire has been quickly contained.

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 1,396,960 tonnes in January-July 2021, up by 7% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 841,990 tonnes in the first seven months of 2021, up by 29% year on year. Supply of propylene homopolymers (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of statistical copolymers of propylene (PP random copolymers) subsided.

Westlake Chemical Corporation is an international manufacturer and supplier of petrochemicals, polymers and building products with headquarters in Houston, Texas. The company's range of products includes: ethylene, polyethylene, styrene, propylene, chlor-alkali and derivative products, PVC suspension and specialty resins, PVC Compounds, and PVC building products including siding, pipe, fittings and specialty components, windows, fence, deck and film.
MRC

MOSCOW (MRC) -- BASF, the world's petrochemical major, has curtailed ammonia production at its production sites in Antwerp and Ludwigshafen because of high gas prices, reported S&P Global with reference to the company's statement Sept. 27.

The Dutch TTF month-ahead gas contract traded up more than 10% at a high of EUR77.49/MWh (USD90.59/MWh) Sept. 27, having been assessed by S&P Global on Sept. 24 at EUR70.225/MWh.

BASF said it would "continuously monitor the gas price development and adjust its ammonia production accordingly".

Due to the recent rise on natural gas prices in Europe, the economics for operating an ammonia plant in the region had become extremely challenging, it said.

BASF also runs a large gas-fired power plant at Ludwigshafen with over 1 GW capacity.

As MRC informed before, BASF is strengthening its global catalyst development and helping customers to bring new products faster to the market. As part of this strategy, BASF is building a new pilot plant center at its Ludwigshafen site. The new Catalyst Development and Solids Processing Center will serve as a global hub for pilot-scale production and process innovations of chemical catalysts. The new building is scheduled for completion by mid-2024.

We remind that BASF aims is to electrify its production processes for basic chemicals, which are currently based on fossil fuels.

We also remind that in mid-February, BASF said it was restarting one of its steam crackers at its Ludwigshafen complex in Germany after operations were halted earlier that month due to a technical issue. The naphtha cracker produces ethylene and propylene, and is one of two crackers on the site. One has a production capacity of 420,000 metric tons/year, with the other"s capacity at 240,000 metric tons/year, according to IHS Markit data.

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 1,396,960 tonnes in January-July 2021, up by 7% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 841,990 tonnes in the first seven months of 2021, up by 29% year on year. Supply of propylene homopolymers (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of statistical copolymers of propylene (PP random copolymers) subsided.

BASF is the leading chemical company. It produces a wide range of chemicals, for example solvents, amines, resins, glues, electronic-grade chemicals, industrial gases, basic petrochemicals and inorganic chemicals. The most important customers for this segment are the pharmaceutical, construction, textile and automotive industries.
MRC

MOSCOW (MRC) -- Brazilian petrochemical producer Braskem said its Mexican subsidiary Braskem Idesa has reached a new gas supply agreement with Petroleos Mexicanos (Pemex) to settle differences between the companies and build a USD400 million ethane terminal, said Reuters.

Braskem Idesa will build a world-scale ethane terminal in Laguna de Pajaritos in Coatzacoalcos in Veracruz state, the joint venture said. The project will be in the CIIT - Interoceanic Corridor of the Tehuantepec isthmus.

Braskem Idesa did not specify the capacity of the terminal or whether Pemex will contribute any money towards the project. The joint venture did say that the project will be part of an investment plan announced by the federal government, which calls for development in Mexico's energy sector and in the southeastern part of the country.

Braskem Idesa, Pemex, the CIIT and the Port Administration of Coatzacoalcos have signed an agreement to work together. Braskem, the majority owner of Braskem Idesa, said the terminal is scheduled to start in the second half of 2024. It will allow Braskem Idesa to run its polyethylene (PE) operations at full capacity.

Braskem Idesa polyethylene and ethylene production has declined due to ethane feedstock supply problems with Mexican state oil company Pemex. The plant now runs at 75% of capacity.

Until the terminal starts operations, Pemex has agreed to supply Braskem Idesa with a minimum of 30,000 bbl/day of ethane under the amended supply agreement, Braskem said. That minimum commitment could be extended to February 2025 or later if the terminal has any delays in obtaining licenses.

As it was written earlier, Pemex had announced in March an agreement with Braskem for the delivery of 30,000 barrels of ethane per day until 2024, while the previous contract - signed in 2010 - determined the supply of 66,000 barrels per day for 20 years.

According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,396,960 tonnes in January-July 2021, up by 7% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 841,990 tonnes in the first seven months of 2021, up by 29% year on year. Supply of propylene homopolymers (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of statistical copolymers of propylene (PP random copolymers) subsided.

Based in Sao Paulo, Braskem is a leading Brazilian petrochemical company and the main producer of polyethylene and polypropylene in the country. The company owns the largest petrochemical facilities in Latin America and is the fifth largest in the world in petrochemical production. Braskem operates 18 chemical plants with a production capacity of over 11 million tonnes of chemical and petrochemical products per year.
MRC

MOSCOW (MRC) -- The North Dakota Department of Environmental Quality confirmed that Meridian met the deadline for commencement of construction under its Permit to Construct on June 12, 2021, according to Hydrocarbonprocessing.

“They’ve done what they need to do. As far as we’re concerned regarding air quality, they’ve commenced construction of a facility,” David Stroh, Environmental Engineer, North Dakota Department of Environmental said.

While the Company acknowledges that it has suffered delays due to litigation and the impact of COVID, Meridian Energy Group, Inc., the leading developer of innovative and environmentally-compliant oil refining facilities, continues to make steady and methodical progress on Davis.

On June 12, Meridian entered into an engineering, procurement and construction agreement for the crude distillation unit of the Davis Refinery, representing a substantial portion of the total installed cost of the full Davis Refinery. As design of the crude unit proceeds, Meridian will expand the scope of this EPC agreement to include the remaining units of Davis.

Meridian initiated site preparation in 2018. Most of the rough grading and additional site work was completed that summer following the award of the PTC. The bulk of the Davis activity for the next several months will be on detailed design and the procurement/fabrication of modules. As a result, substantial site activity will not resume until next year, when foundations and other subsurface work will commence.

As MRC wrote before, in late January 2019, Meridian Energy Group, Inc., announced that the company had signed an agreement with McDermott out of Houston, Texas under which McDermott will finalize the Front-End Engineering Design (FEED) for the Meridian Davis Refinery in Billings County, North Dakota.

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 1,396,960 tonnes in January-July 2021, up by 7% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 841,990 tonnes in the first seven months of 2021, up by 29% year on year. Supply of propylene homopolymers (homopolymer PP) and block-copolymers of propylene (PP block copolymers) increased, whereas supply of statistical copolymers of propylene (PP random copolymers) subsided.
MRC