US Phillips 66 partners with Plug Power to develop low-carbon hydrogen for its refinery operations

MOSCOW (MRC) -- Phillips 66 has teamed up with Plug Power to develop low-carbon hydrogen and deploy that technology within the US oil refiner’s operations, reported Bloomberg.

Objectives include scaling low-carbon hydrogen in the industrial sector and increasing hydrogen fueling for transportation, the companies said Wednesday in a separate statement.

Under a memorandum of understanding (MoU), the companies will explore ways to deploy Plug Power’s technology within Phillips 66’s operations, they said in a statement on Wednesday.

Phillips 66 has also begun construction on green hydrogen production facilities in California, New York, Tennessee and Georgia that will ultimately supply 500 tonnes/day of liquid green hydrogen by 2025.

“We believe hydrogen is an important pathway for hard-to-electrify industries in a lower-carbon energy landscape,” said Heath DePriest, vice president of Phillips 66’s Emerging Energy group, which is focused on building lower-carbon business platforms.

Green hydrogen is produced with renewable energy sources like solar or wind and can be used to power vehicles, ships or industry that traditionally burn fossil fuels. It’s seen as a potential source of energy that could help the US and other nations reach their carbon-cutting goals and avoid the worst effects of global warming.

As MRC informed earlier, Phillips 66's 255,600-barrel-per-day (bpd) Alliance, Louisiana, refinery faces a monthslong shutdown for repairs following flooding from Hurricane Ida. Phillips 66 said it was still assessing the refinery and a timeline for operational restarts was not available. The sources said the company plans to complete its damage in late September next week when floodwaters fully recede. So far, the company still plans to restart the refinery, which in August it announced was up for sale.

We remind that US-based Phillips 66 remains open to developing another ethane cracker for its Chevron Phillips Chemical (CP Chem) joint venture, the refiner's CEO said in March 2018.

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.

Phillips 66 is a diversified energy manufacturing and logistics company. With a portfolio of Midstream, Chemicals, Refining, and Marketing and Specialties businesses, the company processes, transports, stores and markets fuels and products globally. Phillips 66 Partners, the company’s master limited partnership, is integral to the portfolio. Headquartered in Houston, the company has 14,300 employees committed to safety and operating excellence. Phillips 66 had USD55 billion of assets as of Dec. 31, 2020.
MRC

MOSCOW (MRC) -- Clariant unveils two innovative reactive emulsifiers for polymeric binders – Emulsogen CPA 100 XS and Emulsogen CPN 100 XS - to help paint makers achieve architectural coatings offering outstanding water-resistance and greater resistance to dirt pick-up and snail trails, said the company.

Clariant’s new emulsifiers firmly “anchor” to pure acrylic or styrene acrylic binders to create stabilized, outstandingly hydrophobic, small-particle binders. They prevent emulsifier migration that would typically impair key attributes such as paint water resistance and substrate adhesion, or cause unsightly aesthetic defects like snail trails and dirt pick-up, boosting chances for coatings manufacturers to address latest requirements.

"Dirt pick-up and leaching resistance are increasingly demanded of today’s exterior architectural coatings. Although influenced by various factors, an acrylic or styrene acrylic binder that is less sensitive to water uptake will form a tightly-sealed film able to retain ingredients and protective qualities. Without emulsifier leaching to contribute adverse effects to the paint performance, there’s much less chance for unwanted snail trails etcetera to occur. In testing, our new anchored emulsifiers deliver whitening-free, clear films compared to alternatives, an industry-recognized sign of a higher quality, water-resistant binder to advance higher-performing paints and fewer defects," comments Sebastian Prock, Global Marketing Segment Leader Industrial Applications at Clariant.

On top of paint benefits, Clariant’s new emuslifiers bring the advantages of a smoother, less disrupted binder production process. Because the binder has smaller, stabilized particles, there is less clogging or coagulation from large particles to cause slower stirring or a need for frequent cleaning breaks.

As it was said before, Clariant’s new ODH catalysts prove ideal for the oxidative dehydrogenation of ethane and are available exclusively for Linde Engineering’s innovative EDHOX catalytic on-purpose ethylene technology. As compared to conventional steam cracking, the new catalysts and process design reduce costs as well as CO2 emissions by up to 100 %.

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.
MRC

MOSCOW (MRC) -- China's crude oil imports fell 4.7% on the month to 10.03 million b/d in September, reported S&P Global with reference to the latest data from the General Administration of Customs, or GAC, on Oct. 13.

The reduction indicated weak momentum for imports for the rest of the year, analysts said.

The country's crude imports have been under pressure due to destocking activity and limited import quotas, which recovered to 10.53 million b/d in August. This was the first time since April that imports had crossed the 10 million b/d mark.

Data intelligence firm Kpler showed that China's crude inventory fell 2.1% from August to 847.32 million barrels in September, indicating that destocking had continued amid rising crude markers.

It is more likely that state-run oil companies had contributed most to the decline both in the country's crude imports and inventory in September by drawing down their crude stocks, because S&P Global' data showed that China's independent refineries had increased their crude imports by 13.7% to 12.19 million mt, or 2.98 million b/d, from an 18-month low in August.

With the increase in imports and stable throughput in September, feedstock inventory at major ports in Shandong rose 11.6% on the month to 7.57 million mt as of Sept. 31, data from local information provider JLC showed.

The GAC releases data in metric tons, which S&P Global converts to barrels using a 7.33 conversion factor.

On a metric tons basis, volume fell 7.8% on the month and 15.3% on the year to 41.05 million mt in September.

This led imports in the first three quarters to decline 6.8% on the year to 10.4 million b/d, or 387.4 million mt, the GAC data showed.

Meanwhile, oil product outflows in September rose 10.8% to 4.14 million mt from the 13-month low of 3.73 million mt in August due to the allocation of new export quotas, the data showed.

Beijing, in mid-August, allocated 7.5 million mt of oil product export quotas, allowing oil companies to ship more barrels overseas. As a result, China's product outflows rose 8.3% year on year to 48.94 million mt in the first nine months.

However, market sources expect China to suspend exporting gasoline and gasoil in November and December following a month-on-month reduction of about 30% in October due to tight supply in the domestic market, while export quotas are running out.

Moreover, it is more and more unlikely that Beijing would allocate additional quotas for the remainder of the year, leaving oil companies with little choice, but to save quotas for exporting jet fuel, demand of which is bad in China, sources said. This means only 5.87 million mt, or 1.47 million mt/month, of oil product export quotas are available for September-December, compared with 31.13 million mt, or 3.89 million mt/month, in January-August.

As MRC wrote before, China's oil consumption is likely to peak around 2026 at about 16 million barrels per day and that of natural gas by around 2040, said a top executive of Sinopec Corp. in September 2021.

We remind that in August 2021, China Petroleum and Chemical Corp, also known as Sinopec, the world's petrochemical major, launched the first phase of the Gulei refining complex in Zhangzhou city in China’s southeastern Fujian province. The refining complex, a 50:50 joint venture between Sinopec’s Fujian Petrochemical Company Ltd and Taiwan Xuteng Investment Company Ltd, invested 27.8 billion yuan (USD4.28 billion) in the first phase. That will result in an 800,000 tonnes per annum ethylene plant, a 600,000 tonnes per annum styrene unit and seven other downstream petrochemical units, Sinopec said.

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.
mrccplast.com

MOSCOW (MRC) -- Neste recently conducted a life cycle assessment (LCA) study on the environmental impacts of the usage of its 100% renewable feedstock, Neste RE, said Hydrocarbonprocessing.

It shows a greenhouse gas (GHG) emission reduction of more than 85% over the life cycle when Neste RE was used to replace conventional fossil feedstock in the chemical and polymers industry. The study thereby confirms the results from earlier studies on Neste’s feedstock for the polymers industry.

The study followed a “cradle-to-gate” approach, taking into account the renewable raw materials used, the refining process based on Neste’s NEXBTL technology, all transportation steps along the value chain, as well as end-of-life emissions. The LCA study and its results were reviewed by an external panel of experts from VTT Technical Research Centre of Finland Ltd, Quantis GmbH and Aequilibria Srl-SB.

Compared with fossil feedstock, Neste RE’s GHG emissions are more than 85% smaller, corresponding to a carbon footprint of 0.45kg CO2-equivalent per kg of Neste RE. The study also concludes that fossil resource depletion is reduced by more than 85% when virgin fossil feedstock is switched to Neste RE.

As a concrete example, the study also evaluated the impact on the product’s environmental performance when Neste RE is used in the production of polypropylene, a common polymer used in various everyday applications such as cars, fashion, electronics and food packaging. For this particular polymer, the GHG emission reduction over the life cycle of the product is more than 80%, taking into account not only the life cycle emissions of Neste RE, but also the processing of Neste RE into renewable polypropylene plastic. This corresponds to a carbon footprint of 0.90kg CO2-equivalent per kg of renewable polypropylene, resulting in significant potential for the global polypropylene industry to contribute to GHG savings. Fossil resource depletion is reduced by more than 75% in the production of renewable polypropylene.

“The study provides clear confirmation of the positive impact provided by Neste RE feedstock. It underpins the potential for polymers manufacturers and brands to achieve their climate goals. Considering Neste RE is available here and now, it is a solution which supports reaching even ambitious goals already in the short and medium term”, says Maiju Helin, Head of Stakeholder Management from Neste’s Renewable Polymers and Chemicals business unit.

Renewable Neste RE is produced primarily from waste and residue oils and fats of renewable origin, such as used cooking oil. Neste RE can also be produced from chemically recycled waste plastics. Polymers produced from Neste RE have the same high quality as those made from conventional fossil feedstock, and are safe to use, even in sensitive applications in the healthcare, toy and food industries, among others. Neste RE can be used on its own or in a blend with fossil feedstock. It is a drop-in solution suitable for the existing production infrastructure.

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) -- The White House has been speaking with U.S. oil and gas producers in recent days about helping to bring down rising fuel costs, according to two sources familiar with the matter, said Hydrocarbonprocessing.

Energy costs are rising worldwide, in some cases leading to shortages in major economies like China and India. In the United States, the average retail cost of a gallon of gas is at a seven-year high, and winter fuel costs are expected to surge, according to the U.S. Energy Department. Oil-and-gas production remains below the nation's peak reached in 2019.

"We are closely monitoring the cost of oil and the cost of gas Americans are paying at the pump. And we are using every tool at our disposal to address anti-competitive practices in U.S. and global energy markets to ensure reliable and stable energy markets," a White House official said, without addressing whether it has been in touch with the industry.

U.S. crude oil recently hit $80 a barrel for the first time in seven years, as the Organization of the Petroleum Exporting Countries and their allies known as OPEC+ restrict output. The average retail price of a gallon of gasoline has risen to USD3.29, according to AAA figures. The U.S. Energy Department said on Wednesday that household heating costs are expected to rise dramatically this winter for all fuels, but particularly for heating oil and propane.

U.S. oil production has been slow to rebound from 2020, when output dropped during the coronavirus outbreak. Production hit a record of nearly 13 million barrels per day (bpd) in late 2019, but the U.S. Energy Department said Wednesday that output will only average 11 million bpd in 2021, rising to 11.7 million bpd in 2022. Natural gas prices are up sharply this year, the result of supply shortages and stronger-than-expected demand in Europe and Asia.

President Joe Biden's administration has been conducting internal discussions about rising fuel costs, one of the two sources added. U.S. shale producers, who are responsible for the boom in crude oil output in the last 10 years, have been less willing to drill for more oil after years of weak financial performance, and have instead focused on cutting spending to boost returns for investors.

As per MRC, ExxonMobil Synthetics (ExxonMobil) announced it is responding to customer needs and has confirmed plant feasibility to significantly increasing high viscosity metallocene polyalphaolefin (High Viscosity mPAO) synthetic base stock production. The demonstration of higher production capability is a result of a successful plant trial and planned subsequent expansion of the Baytown manufacturing facility in Texas, USA that has been serving customers for 100 years. This resulted in a proven run rate of approximately 20% over design basis and would move the capacity to 60 kilo-tons of High Viscosity mPAO production per year for the plant.

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