Technip to revamp Pemex refinery in Mexico

MOSCOW (MRC) -- Technip consortium, including Construcciones Industriales Tapia, has been awarded a contract by Pemex for the revamp of a Mexican refinery, Technip said in its press release.

The contract includes the revamp of a conversion unit of the Ing. Hector R. Lara Sosa refinery, located in Cadereyta, Mexico. Technip's share of the contract is worth approximately USD40 million. The project is scheduled to be completed in the second semester of 2014.

The scope of work includes the detailed engineering, procurement, construction, training, commissioning and start up for the recondition of the combustion gases system of the No. 1 catalytic plant (FCC) of the refinery.

Technip's operating center in Mexico City, Mexico, will execute the project with the support of Construcciones Industriales Tapia for construction work.

We remind that, as MRC informed earlier, ZapSibNeftekhim LLC, an affiliate of JSC Sibur Holding, awarded two front-end engineering and design (FEED) contracts to Technip for polyethylene (PE) plants located in Tobolsk, in the Tyumen region of Russia. The first contract concerns a linear-low/high-density (LDPE and HDPE) gas phase polyethylene plant. Meanwhile, the second deal is for a high-density slurry phase polyethylene plant. Each plant will consist of two parallel production trains with a total capacity of 1.5 million tpa of polyethylene.
MRC

Shell Chemicals to expand US petrochemical facility

MOSCOW (MRC) -- Shell Chemicals is planning to add a new linear alpha olefin unit to its petrochemical facility in Geismar, Louisiana, US, said Chemicals-technology.

The proposed unit, which will be the fourth unit at the facility, will utilise the company's higher olefin process (SHOP) technology and use ethylene feedstock from other Shell Gulf Coast facilities.

By complementing its three existing linear alpha olefin units, the unit will support the growing demand for polyethylene comonomers, premium lubricants and lubricant additives, surfactants and offshore drilling fluids.
"The proposed unit, which will be the fourth unit at the facility, will utilise the company's higher olefin process."
Linear alpha olefins can also be used in various applications, including household plastics, laundry detergents, motor oils and drilling fluids.

Shell Chemicals higher olefins, alcohols and ethoxylates general manager Rutger Beelaerts was quoted by Chem Week as saying that the company is positioning itself for a strong chemicals future that will help meet the needs of its customers, particularly in North America and Asia.

"We intend to maintain our global leadership position by investing and taking further advantage of one of our existing assets to stay competitive," Beelaerts added.

As MRC wrote earlier, Ukraine chose Shell last May as a partner to develop the Yuzivska field in the east of the country and regional councils there approved the production-sharing deal last week, removing the last hurdle to signature.

Ukraine is said to have Europe's third-largest shale gas reserves at 42 trillion cubic feet (1.2 trillion cubic metres), according to the US Energy Information Administration.

Royal Dutch Shell, commonly known as Shell, 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 also one of the world"s most valuable companies.
MRC

Bericap reported a 7.6% increase in 2012 turnover

MOSCOW (MRC) -- German plastic closures manufacturer Bericap (Budenheim) has reported a 7.6% increase in turnover to EUR 640m in 2012, said Plasteurope.

The company, which currently employs around 2,950 people, said the rise is a result of higher resin costs and improving sales volumes in 2012. The company produced 64 bn closures last year, up from 60 bn in 2011. During the year, the group's manufacturing facility in Buenos Aires, Argentina – contributed to sales for the first time.

Looking forward, Bericap said it expects further growth in 2013 with a number of factory expansions and the start-up of a second manufacturing site in China.

As MRC wrote earlier, Bericap North America Inc. is investing USD29 million in an expansion that will double the size of its Cowpens plant. The expansion should be complete by early 2014.

Bericap, a subsidiary of Bericap GmbH & Co. of Budenheim, Germany, opened the 90,000-square-foot South Carolina plant in 2007. The plant does secondary operations like printing and assembly. Bericap North America is based in Burlington, Ontario and has a plant in Ontario, Calif. Bericap is a manufacturer of plastic closures with 21 factories in 19 countries across the world. The company offers a wide range of products for beverages, food, motor oil and agricultural industries.

MRC

Rio Tinto has abandoned plans to build new TiO2 facilities in Canada

MOSCOW (MRC) -- Abandoning plans for proposed titanium dioxide plants in Canada and Madagascar
Canadian Press reports that UK mining group Rio Tinto has abandoned plans to build new TiO2 facilities in Canada and Madagascar, said Plasteurope.

The group had originally planned to build a USD 4 bn facility in Becancour, Quebec, but now decided to scrap the project amid the on-going decline in global titanium dioxide prices. By contrast, progress reportedly continues to be made on expanding the mining and smelting capacities in Canada, Madagascar, South Africa and Mozambique.

Rio Tinto had first decided to build the plant in Becancour at a time when the price of the white pigment reached a record high in spring 2011. Since then, TiO2 notations have been on a steady decline. It is highly likely that the UK group is not the only mining company withdrawing from earlier ambitious plans. Nevertheless, the TiO2 market remains one of overall uncertainty, as a sudden rise in demand could easily trigger yet another shortage.

Rio Tinto Group is a British-Australian multinational metals and mining corporation with headquarters in London, UK and a management office in Melbourne, Australia. The company has grown through a long series of mergers and acquisitions to place itself among the world leaders in the production of many commodities, including aluminium, iron ore, copper, uranium, coal, and diamonds. Although primarily focused on extraction of minerals, Rio Tinto also has significant operations in refining, particularly for refining bauxite and iron ore.

As MRC wrote earlier, in 2012, calculated consumption of titanium dioxide by Ukrainian companies fell by 25% on a decline of production from Sumyhimpromom and Crimean Titan, as well as fall of TiO2 purchases in foreign markets.

MRC

January PS imports in Russia fell by 26%

MOSCOW (MRC) - In January 2013 Russia's imports of polystyrene and styrene plastics made 12,200 tonnes, according to MRC ScanPlast.

Last month, PS imports fell by 26% compared to December 2012, but in relation to January 2012 it increased by 21%.
In January 2013, general purpose polystyrene (GPPS) took the leading place in Russia's imports (35%), whereas in January 2012, it was imported only 1,700 tonnes of material, and imports in December 2012 made 4,500 tonnes.

Market participants explained this increase by the delayed deliveries of the contracts concluded in late 2012. Besides, it reflects a significant increase in the supply of European GPPS to Russia in 2012.

Imports of high-impact polystyrene (HIPS) made 2,300 tonnes of material, up 45% from December 2012. More than half of the supplies was provided by Polimeri Europa, and among the others suppliers were Styrolution, LG Chem and Dongbu.

Deliveries of EPS decreased significantly. In January 2013, they made only 2,300 tonnes, from 5,200 in December 2012 and 4,300 tonnes in January 2012. The decrease in EPS supplies resulted from a significant increase in the cost of Asian material in late 2012 - early 2013.


Imports of acrylonitrile-butadiene-styrene (ABS) in January 2013 made 2,200 tonnes, down 46% from last December. In 2013, the Russian market will be significantly affected by the launch of a new ABS production by Nizhnekamskneftekhim, which may result in imports decrease.

The share in imports of styrene plastics made 1,200 tonnes, where 843 tonnes were supplies of styrene-acrylonitrile, 109 tonnes - styrene-butadiene-styrene and 246 tonnes - other copolymers.


MRC