Construction of a solar power plant at the Polief plant reaches 60%

MOSCOW (MRC) -- SIBUR Holding continues construction of a solar power plant at the Polief plant (Blagoveshchensk, Bashkortostan) for the production of polyethylene terephthalate (PET), the company said.

The installation of all supporting structures for the photovoltaic modules of the power plant with a total weight of 329,500 tonnes was completed on 5 October. As a result, the construction readiness of the facility reached 60%.

A total of 5460 piles were installed on an area of 8 hectares. In the near future, the installation of 10,080 photovoltaic modules that generate electricity will begin. The design capacity of the power plant will be about 4.9 MW, which is 7.1% of the capacity of all operating solar power plants in the Republic of Bashkortostan.

It is noted that the project will significantly increase the share of "green" electricity in the energy balance of the enterprise and reduce the carbon footprint of production. Investments in the project will amount to more than a quarter of a billion rubles. It is planned to complete the construction of the solar power plant and integrate it into the energy supply chain of the enterprise in January 2022.

Earlier it was reported that SIBUR at the Polief plant in Blagoveshchensk is starting a project to produce "green" PET granules. It is planned to use about 34 thousand tons of secondary raw materials in its production annually. PET-flakes - flakes made from used food packaging - will be involved in the production cycle of the primary polymer synthesis.

According to MRC's ScanPlast report, Russia's estimated PET consumption totalled 411,200 tonnes in the first six month of 2021, up by 12% year on year. Russian companies processed 62,910 tonnes in June, compared to 85,890 tonnes a month earlier.

Polyef is the largest producer of terephthalic acid (TPA) and polyethylene terephthalate (PET) in Russia (raw material for polymer food packaging). Capacities for the production of TPA are 350,000 tonnes per year, PET - 219,000 tonnes. SIBUR owns 100% of the company's shares.

PJSC SIBUR Holding is the largest petrochemical company in Russia and Eastern Europe with full coverage of the industry cycle from gas processing, production of monomers, plastics and synthetic rubbers to plastics processing.
MRC

MOSCOW (MRC) -- Finnish oil refiner and biofuels maker Neste said it estimates demand for the aviation fuel to exceed 12 MMtpy by 2030, according to Hydrocarbonprocessing.

The company expects to be able to produce 1.5 MMtpy of biofuels for the aviation industry by the end of 2023 vs. about 100,000 tpy currently.

Renewables now account for 90% of Neste's operating profit and the company says it aims to have three strong renewables businesses by 2030 in sustainable aviation fuel, biodiesel and polymers and chemicals.

In its strategy update it added it sees road transportation biodiesel demand possibly rising to as high as 30 MMt. It also reduced its capital expenditure for 2021 to 1.1 B euros ($1.29 B) from 1.2 B, excluding acquisitions.

The company added it has made no changes to financial targets or dividend policy.

As MRC reported before, Neste, the world’s leading sustainable aviation fuel producer, and TripActions and Reed & Mackay, the fastest-growing travel and spend management group, have announced a groundbreaking global partnership to offer Neste MY Sustainable Aviation Fuel to all TripActions Group customers.

We remind that in July, 2021, Finnish Neste and LyondellBasell announced a long-term commercial agreement under which LyondellBasell will source Neste RE, a feedstock from Neste that has been produced from 100% renewable feedstock from bio-based sources, such as waste and residue oils and fats. This feedstock will be processed through the cracker at LyondellBasell’s Wesseling, Germany, plant into polymers and sold under the CirculenRenew brand name.

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.

Neste (Helsinki) creates solutions for combating climate change and accelerating a shift to a circular economy. The company refines waste, residues and innovative raw materials into renewable fuels and sustainable feedstock for plastics and other materials. The company is the world’s leading producer of renewable diesel and sustainable aviation fuel, developing chemical recycling to combat the plastic waste challenge. In 2020, Neste's revenue stood at EUR11.8 billion, with 94% of the company’s comparable operating profit coming from renewable products.
MRC

MOSCOW (MRC) - Concern Jokey Group (Germany) and the World Wide Fund for Nature (WWF) intend in the future to jointly promote a working economy with a closed cycle of using plastic packaging in Germany, the company said.

The companies announced a collaboration, one of the goals of which is to create closed cycles for the use of plastics, allowing the reuse and production of high-quality recycled granules.

WWF will accompany the Jokey Group in integrating sustainability across the company in line with Jokey's vision and mission. In addition, the facility, in collaboration with WWF, aims to limit the average temperature rise to 1.5 ° C in line with the Science Based Targets Initiative (SBTi), and thus embarks on a scientifically based path to reduce greenhouse gas emissions. gases in line with the goals of the Paris Climate Agreement.

Along with this, a consistent course towards maximum energy and resource efficiency is being promoted in all divisions of the company. Supply chains and value-added processes will be examined even more closely to achieve the greatest possible transparency regarding constituents, social and environmental impacts.

The Jokey Group is developing its comprehensive "Eco-Concept" as a sustainable development strategy and has campaigned for many years to increase the presence of recycled granulates on the market.

In order to achieve a greater degree of isolation in plastics production, the company intends to develop and implement flagship projects with WWF, for example, in the area of ??closed-loop production of high-quality food-grade recycled materials or innovative reusable models. The partnership with WWF will initially last until 2025.

The Jokey Group is a global expert in plastic injection molding and a manufacturer of plastic packaging. The head office of the Jokey Group is located in the German city of Wipperfurth. The shareholders of the holding are members of the Kemmerich family, who run the company in the second and third generations.

Earlier it was reported that Jokey Plastik will double its packaging capacity in Spain. The new building will be located in a newly developed industrial area and will have improved infrastructure. Construction work on the new 30,000 m2 site began at the end of February and continues as planned, despite the restrictions imposed by the pandemic. The Jokey Group is investing around EUR12 million in the construction of a new plant.

According to MRC's ScanPlast report, Russia's estimated PET consumption totalled 411,200 tonnes in the first six month of 2021, up by 12% year on year. Russian companies processed 62,910 tonnes in June, compared to 85,890 tonnes a month earlier.

The production of the companies covers 15 factories in 12 countries, including Russia (Ulyanovsk) and Belarus (Mogilev), where a total of about 2 thousand employees work. In 2017, the company's turnover amounted to EUR 455 mln.

MRC

MOSCOW (MRC) - Lukoil, the second largest oil company in Russia, has begun supplying electricity to Stavrolen in Budennovsk from its own solar power plant (SPP) located on the territory of the Volgograd refinery, the company said.

The annual volume of supplies will be about 11 mln kWh.

The use of electricity generated from renewable energy sources will reduce the carbon footprint of Stavrolen's products with an expected reduction in the volume of indirect energy emissions of greenhouse gases by almost 5 thousand tons of CO2 per year.

The development of renewable energy sources for its own production needs is an important instrument of the company's decarbonization program, and Lukoil plans to continue implementing such projects in accordance with its climate strategy.

SPP in Volgograd with a capacity of 10 MW was commissioned in 2018. After the commissioning of the second stage in May 2021, the capacity of the SPP was increased to 30 MW.

Earlier it was reported that in July of this year, Lukoil began construction of a polypropylene (PP) production complex on the territory of the Nizhny Novgorod refinery in the city of Kstovo. The complex will become the largest polypropylene production facility in Russia integrated into an oil refinery. The raw material for polypropylene production at Lukoil's Nizhny Novgorod site will be propylene from two modernized catalytic cracking units with a capacity of 4 million tons per year. After putting the complex into operation, the enterprise will be able to produce about 500 thousand tons of polypropylene grades.

Earlier it was reported that in July of this year, Lukoil began construction of a polypropylene (PP) production complex on the territory of the Nizhny Novgorod refinery in the city of Kstovo. The complex will become the largest polypropylene production facility in Russia integrated into an oil refinery. The raw material for polypropylene production at Lukoil's Nizhny Novgorod site will be propylene from two modernized catalytic cracking units with a capacity of 4 million tons per year. After putting the complex into operation, the enterprise will be able to produce about 500 thousand tons of polypropylene grades.

According to the ICIS-MRC Price Report, from 12 October, Stavrolen began a shutdown of its HDPE capacities for scheduled preventive maintenance. The idle capacity will be quite long and will take about 36 days. The annual production capacity is 300,000 tonnes/year.

Stavrolen (Stavropol Territory, part of Lukoil) is the second largest producer of low-density polyethylene (HDPE) in Russia after Kazanorgsintez and the fifth in terms of PP production. Stavrolen's capacities for the production of HDPE and PP are 300 thousand tons and 120 thousand tons per year, respectively, the plant also produces 80 thousand tons of benzene and 50 thousand tons of vinyl acetate per year.
MRC

MOSCOW (MRC) -- Trinseo, a global materials company and manufacturer of plastics, latex binders, and synthetic rubber, and its affiliate companies in Europe, have announced a price increase for all polystyrene (PS), acrylonitrile-butadiene-styrene (ABS) and acrylonitrile-styrene copolymer (SAN) in Europe, according to the company's press release as of October 4.

Effective October 1, 2021, or as existing contract terms allow, the contract and spot prices for the products listed below rose, as follows:

- STYRON general purpose polystyrene grades (GPPS) -- by EUR55 per metric ton;
- STYRON and STYRON A-Tech and STYRON X- Tech and STYRON C- Tech high impact polystyrene grades (HIPS) - by EUR55 per metric ton;
- MAGNUM ABS resins - by EUR60 per metric ton;
- TYRIL SAN resins - by EUR45 per metric ton.

As MRC reported earlier, Trinseo reduced its prices for its PS grades on September 1, 2021, as stated below:

- STYRON GPPS -- by EUR65 per metric ton;
- STYRON and STYRON A-Tech and STYRON X- Tech and STYRON C- Tech HIPS - by EUR55 per metric ton.

According to ICIS-MRC Price report, in Russia, October prices of Nizhnekamskneftekhim's GPPS were in the range of Rb152,750-163,700/tonne CPT Moscow, including VAT, and HIPS prices were at Rb156,750-167,700/tonne CPT Moscow, including VAT. Penoplex contracted its GPPS quantities at Rb169,000-171,000/tonne CPT Moscow, including VAT, in October, whereas last week's prices of Gazprom neftekhim Salavat's GPPS were heard at Rb152,500-156,500/tonne CPT Moscow, including VAT.

Trinseo is a global materials company and manufacturer of plastics, latex and rubber. Trinseo's technology is used by customers in industries such as home appliances, automotive, building & construction, carpet, consumer electronics, consumer goods, electrical & lighting, medical, packaging, paper & paperboard, rubber goods and tires. Formerly known as Styron, Trinseo completed its renaming process in 1Q 2015. Trinseo had approximately USD3.0 billion in net sales in 2020, with 17 manufacturing sites around the world, and approximately 2,600 employees.
MRC