KPIC to reduce run rates at its Onsan cracker by 15% in late January

KPIC to reduce run rates at its Onsan cracker by 15% in late January

MOSCOW (MRC) -- Korea Petrochemical Industry Co (KPIC) plans to cut capacity utilisation at its naphtha cracker in Onsan, South Korea by, at least, 15% by late January, 2022, due to negative profit margins, according to CommoPlast.

The cracker with the production capacity of 800,000 mt/year of ethylene and 410,000 mt/year of propylene will be operating at the reduced rates throughout February.

As MRC informed previously, in June 2017, KPIC finilized the expansion of its ethylene production capacity. Thus, KPIC started commercial operation at its Ulsan-based Naphtha Cracking Center (NCC) from Jun 23, 2017. Earlier, KPIC produced about 470,000 mt/year of ethylene from its Ulsan-based NCC. With the expansion, the company added 330,000 mt/year of ethylene, and its combined ethylene capacity reached 800,000 mt/year.

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 2,265,290 tonnes in the first eleven months of 2021, up by 14% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,363,850 tonnes in January-November, 2021, up by 25% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding PP random copolymers decreased significantly.

KPIC is one of the key producers of ethylene in South Korea. The company's ethylene capacity accounted for about 6% of total ethylene production in South Korea before the expansion was completed, and now the company's market share will be increased to nearly 10%.
MRC

PE imports to Kazakhstan fall by 9% in Jan-Nov 2021

MOSCOW (MRC) -- Polyethylene (PE) imports into Kazakhstan fell in the first eleven months of 2021 by 9% year on year to 147,400 tonnes. At the same time, high density polyethylene (HDPE) and linear low density polyethylene (LLDPE) accounted for the decrease in shipments, said MRC analysts.

November PE imports to Kazakhstan reached 15,900 tonnes versus 14,000 tonnes a month earlier, Russian producers and the Uzbek manufacturer increased their footprint in the local market after scheduled shutdowns for maintenance. Overall PE imports totalled 147,400 tonnes in January-November 2021, compared to 162,400 tonnes a year earlier. Purchases of low density polyethylene (LDPE) grew significantly, whereas HDPE and LLDPE imports decreased.

The structure of PE imports by grades looked the following way over the stated period.


November HDPE imports rose to 11,800 tonnes from 10,500 tonnes a year earlier, Uzbek and Russian producers increased their export sales. Overall HDPE imports totalled almost 115,600 tonnes in the first eleven months of 2021, down by 14% year on year.

November LDPE imports virtually remained at the previous month's level, totalling 2,600 tonnes. Overall LDPE imports reached 21,600 tonnes over the stated period, up by 28% year on year.

November LLDPE imports grew to slightly over 1,400 tonnes versus 0,900 tonnes a month earlier. Overall LLDPE imports reached 10,400 tonnes in January-November 2021, down by 9% year on year.

MRC

PP imports to Belarus rose by 1.5% in January-November 2021

MOSCOW (MRC) - Imports of polypropylene (PP) into Belarus increased to about 106,400 tonnes in first eleven months of this year, up 1.5% year on year. The greatest increase in imports accounted for homopolymer PP, according to MRC DataScope.

November PP imports into Belarus dropped to 9,000 tonnes from 9,100 tonnes a month earlier. Local companies increased their purchases of injection moulding propylene copolymers in Russia. Overall imports of propylene polymers reached 106,400 tonnes in January-November 2021, compared to 104,900 tonnes a year earlier. The volume of homopolymer PP imports increased, while the demand for propylene copolymers decreased.

The structure of PP imports by grades looked the following way over the stated period.

November imports of homopolymer PP practically remained at a level a month earlier and amounted to less than 6,800 tonnes. Overall imports of homopolymer PP reached 78,800 tonnes in the first ten months of the year, up by 2.9% year on year.

November imports of propylene copolymers to Belarus were about 2,200 tonnes versus 2,300 tonnes a month earlier, local companies decreased significantly their procurement of injection moulding block-copolymers of propylene (PP block copolymer) from Russian producers.
Thus, overall imports of propylene copolymers reached 27,600 tonnes in January-November 2021, down by 2.4% year on year.

MRC

PT Polytama Propindo selects LyondellBasell Spheripol technology for its PP plant in Inonesia

PT Polytama Propindo selects LyondellBasell Spheripol technology for its PP plant in Inonesia

MOSCOW (MRC) -- LyondellBasell announced that PT Polytama Propindo will use the LyondellBasell Spheripol technology for expanding their existing facility, according to Hydrocarbonprocessing.

The process technology will be used for an additional 300 KTA polypropylene (PP) plant to be built in Balongan, West Java, Indonesia, that is expected to be completed in 2024.

“PT Polytama Propindo is a long time customer of LyondellBasell and we are excited to be part of their growth aspirations with this new license for Spheripol technology,” said Jim Seward, Senior Vice President, R&D, Technology and Sustainability at LyondellBasell. Seward added, “Our Spheripol technology has been operating reliably at the Balongan site since the mid-90s, producing high value polypropylene resins. We therefore believe that the selection of this new Spheripol technology line was a natural choice for PT Polytama Propindo.”

Mr. Didik Susilo, President Director at PT Polytama Propindo stated: “The teams showed tremendous efforts to develop a site and specific solution allowing us to produce a wide range of polypropylene products based on LyondellBasell’s Spheripol technology. Opting again for a license from the market leader allows us to stay focused on implementing the project in a safe and timely manner.”

As MRC reported earlier, LyondellBasell announced it has been selected by Jiangsu Fenghai High-tech Materials Co. to supply the technologies for a polyolefin project to be built in Lianyungang, Jiangsu, China. The new facility will include the production of 400,000-t/y PP, based on LyondellBasell?s Spheripol technology, and 300,000 t/y of high density polyethylene (HDPE) using its Hostalen ACP process.

According to MRC's ScanPlast report, PP shipments to the Russian market were 1,363,850 tonnes in January-November, 2021, up by 25% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding PP random copolymers decreased significantly.

LyondellBasell is one of the largest plastics, chemicals and refining companies in the world. Driven by its 13,000 employees around the globe, LyondellBasell produces materials and products that are key to advancing solutions to modern challenges like enhancing food safety through lightweight and flexible packaging, protecting the purity of water supplies through stronger and more versatile pipes, and improving the safety, comfort and fuel efficiency of many of the cars and trucks on the road. LyondellBasell sells products into approximately 100 countries and is the world's largest licensor of polyolefin technologies.MRC

Shell to shut Pernis, Netherlands oil refinery for five-month turnaround until late June

Shell to shut Pernis, Netherlands oil refinery for five-month turnaround until late June

MOSCOW (MRC) -- Royal Dutch Shell said it plans to carry out major maintenance work at its Pernis oil refinery in the Netherlands in the coming five months, reported Reuters.

"We will inspect a large number of installations from the inside and out, clean them and replace parts", Shell said in a statement.

The work at Europe’s largest oil refinery, which has a capacity to process 404,000 bpd, will start at the end of January and is expected to last until the end of June, the company said.

As MRC informed earlier, Shell conducted a major maintenance on a unit at its Pernis oil refinery in the Netherlands from mid-October to end November, 2020.

We remind that 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 2,265,290 tonnes in the first eleven months of 2021, up by 14% year on year. Shipments of all grades of ethylene polymers increased. At the same time, PP shipments to the Russian market were 1,363,850 tonnes in January-November, 2021, up by 25% year on year. Supply of homopolymer PP and block-copolymers of propylene (PP block copolymers) increased, whereas supply of injection moulding PP random copolymers decreased significantly.

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